On time delivery heavily influences customer satisfaction and financial performance … so better constantly measure it !
Usual measurement is actual delivery date versus customer requested date … and usually also against the promised supply date.
Good on time delivery also means you managed to get your revenue in time. A typical way to bucket performance is by major performance …
Early … shipment was done too early. Can cause space or finance issues.
On Time … the ultimate customer satisfaction.
Late …causing severe customer production issues and / or claims.
What is typically being measured …
- Actual delivery date compared to the customer requested delivery date.
- Actual delivery data compared to the manufacturer confirmed delivery date.
What are the usual metrics …
Most used is measuring number of shipments or deliveries. Sometimes, measurement of number of products delivered is being used.
Measurement can also be value of the products delivered … a typical internally focussed measurement as it detects optimization of company finance.
Good delivery also means good cash flow !
Some examples of graphs …
A few excuses … to be used with care 🙂