Question

If a customer orders 10 parts to be delivered next Tuesday, and we deliver 8 parts on Tuesday, what is the on-time and complete metric for this customer?

Answer 1

The most inportant factor factor that you consider while calculating On Time Delievery time is The date.

Remember such things as Request Date, Original Promise Date, Delivery Date, Dock Date, Ship Date, Revised Promise Date, and Actual Ship Date. These terms have a particular importance – yet they're frequently utilized reciprocally. Ensure you, your providers and your clients are utilizing a similar dialect.

In the event that you don't have Supply Agreements, Master Agreements, Terms and Conditions, Quality Agreements or another type of an agreement that particularly portrays what on-time conveyance is and how it is estimated – well, you should. In case you're your organization's store network professional – deal with this. In case you're not, discover your store network genius' work area and remain on it until the point when this is taken care of.

What's more, here are a portion of the factors:

The quantity of units on the request.

Appears like an easy decision. In the event that we arrange 10 every, we need 10 each conveyed.

Approve, however imagine a scenario in which the provider conveys 9 and the client consents to close the request short. Is that 100% on-time conveyance or 99% on-time conveyance?

For sure if the provider conveys 9 each on-time and the client consents to change the request so the adjust (1 each) can be conveyed 3 days after the fact. Did the provider simply get two requests with 100% on-time conveyance on every one – or did the provider simply hit 90% on-time conveyance?

The date of conveyance.

This is the place it begins.

Consider the possibility that the client expects conveyance on February 15, however says it can take conveyance 2 days early and 1 day late. For whatever length of time that you hit that multi day window (check them once more), would you say you are 100% on-time? Or on the other hand would you say you are punished for not hitting the correct conveyance date?

The quantity of details on the request.

On the off chance that the client orders 10 unique things on a similar request, does the provider need to convey every one of the 10 on-time to get 100% on-time conveyance? The response to this ought to ordinarily be yes.

In any case, consider the possibility that the provider conveys 8 out of 10 on-time. Did the provider simply hit 80% on-time conveyance? Or then again 0%?

There are a wide range of factors having an effect on everything when managing on-time conveyance. Along these lines, having in advance understanding is the key. On the off chance that on-time conveyance will be an imperative metric amongst you and your customers or your suppliers and you then it's critical to characterize how to quantify it before you both begin estimating it.