KPI of the Day – Logistics: $ Penalties cost due to unsatisfied demand
Definition
Measures the penalties value generated by the inability to satisfying demand.
15 bits of advice on KPI documentation and configuration
When we talk about configuring KPIs,what we mean is that after you select the ones you think are right, you create a comprehensive documentation of each and every relevant set of details for each KPI and activate them, so that the data these indicators collect will be easily reported on and analyzed.
In order to get a grasp on how the processes of KPI documentation and configuration work, we have 15 tips for you to keep in mind at all times.
1. Link KPIs – upstream with business objectives and downstream with organizational initiatives.
KPIs should be connected to organizational objective as they make objectives SMART. Initiatives should be establish to support the achievement of objectives by improving KPI results.
KPI of the Day – Logistics: $ Cost per ton-mile
Definition
Measures the average amount of money spent per one mile of distance traveled, in order to ship to a customer a ton of purchased merchandise.
6 Supply Chain KPIs You Need to Consider in 2019
Key performance indicators (KPIs) are measurements enterprises use to determine how they’re doing with meeting their goals. High-level KPIs relate to the overall performance of the business, while low-level ones typically evaluate the processes of respective departments.
KPI of the Day – Retail: % Sales order cancellation rate
Definition
Measures the ratio of sales orders that are canceled within a given time period.
