On Time Shipping/Delivery - Supply Chain Metric

On Time Shipping/Delivery - Supply Chain Metric

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On Time Performance
OnTime Shipping Performance is a calculation of the number of Order Lines shipped on or before the Requested Ship Date versus the total number of Order Lines. Throughout the following text, I refer to "shipped" ontime. BUT if actual "delivery" data is available, it may be substituted and compared to the Requested Delivery Date. (such as with an EDI#214 ).

*OnTime: Shipped on or before the requested ship date (except if the receiving party does not accept early shipments).

Sample OnTime Metrics:
OnTime Line Count: The amount of order lines shipped OnTime*  versus the amount of  lines ordered.
example-  ABC Company orders 10 products (one order line each) on its Purchase Order #1234. The Order has a Requested Ship Date of March 1. The manufacturer ships out 5 line items on February 28 and 2 items on March 1 and the remaining 3 items on March 10. The OnTime LineCount for  this Purchase Order is 70%. It is calculated based on the Requested Ship Date OR, if available, substitute actual Delivery Date vs Requested Delivery Date.
Calculation: Number of Order Lines Shipped on or before the Requested Date / Total Number of Order Lines Ordered
(7/10 = 70%)

OnTime SKU Count: The number of SKU's (Stock Keeping Units) ordered and shipped is taken into consideration. Above, we consider each Order Line to have an equal value (1 ). Here, we count the SKU's per Order Line.
example: If on Line 1, the order was for 30 skus of product "AB" and on line 2, they  ordered 10 skus of item "AC". The Requested Ship Date is April 1st. If Line 1 ships on March 28 and line 2 on April 20, the the SKU Fill Rate is 75%
Calculation: Number of SKUs Shipped OnTime / Total Number of SKUs Ordered (30/40 = 75%).
OnTime Case Count: The amount of cases shipped OnTime versus the amount of cases ordered.
example-  ABC Company orders 6 products that total 200 cases, on its Purchase Order #1235. The manufacturer ships out  140 cases on 3/1/01 and the remaining 60 cases on 3/10/01. The Requested Ship Date is 3/1. The Case OnTime Rate for  this Purchase Order is 70%.  The number of Order Lines is not considered in this calculation. This OnTime measure gives "weight" to the order lines that are shipped out.
Calculation: Number of Cases Shipped OnTime / Total Number of Cases Ordered . (140/200 = 70%)
OnTime Value Rate: Same as above, except the order line value is used instead of cases.
Calculation: Value of Order Lines Shipped OnTime / Total Value of the Order   ($400/$500 = 80%) 
 
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