Supply chain KPI (key performance indicators) & metrics:

Supply chain KPIs and metrics are used to measure the performance of different functions
within the supply chain. These metrics help companies to track progress towards their goals,
identify opportunities for improvement, and make informed decisions to optimize the supply
chain.

Examples of supply chain KPIs and metrics include:

1. Delivery performance: This metric measures the percentage of orders delivered on time.
This is critical for ensuring customer satisfaction and loyalty.
2. Inventory turns: This metric measures the number of times inventory is sold and replaced in
a given period. Higher inventory turns indicate more efficient use of inventory.
3. Order fill rate: This metric measures the percentage of orders that are filled completely and
accurately. High order fill rates indicate a high level of accuracy in order processing.
4. Cost per unit: This metric measures the cost of producing and delivering one unit of
product. Lower cost per unit indicates higher efficiency and profitability.
5. Supply chain cycle time: This metric measures the time it takes from when an order is
placed to when it is delivered to the customer. Reducing cycle time can improve customer
satisfaction and reduce costs.

These KPIs and metrics can be tracked using advanced data analytics tools and software. This
data can then be used to identify trends and patterns, make informed decisions and predict
future performance. By improving supply chain performance, companies can increase
efficiency, reduce costs and improve the customer experience.

In conclusion, supply chain KPIs and metrics are critical in measuring the overall
performance of the supply chain. By tracking and analyzing these metrics, companies can
identify areas for improvement, make informed decisions, and optimize the supply chain to
drive business success.