{"id":3451,"date":"2013-07-14T20:59:55","date_gmt":"2013-07-15T00:59:55","guid":{"rendered":"https:\/\/www.thelogisticsoflogistics.com\/?p=2863"},"modified":"2021-04-21T19:23:57","modified_gmt":"2021-04-21T23:23:57","slug":"warehousing-kpis","status":"publish","type":"post","link":"https:\/\/www.thelogisticsoflogistics.com\/warehousing-kpis\/","title":{"rendered":"Warehousing KPIs"},"content":{"rendered":"<p>To effectively and efficiently manage a warehouse, you need to use warehousing KPIs.\u00a0 Below is a listing of commonly used warehousing KPIs.<\/p>\n<p>KPI is an acronym for key performance indicators (or key process indicators).\u00a0 A key performance indicator (KPI) is a metric that you have chosen that will give an indication of your performance and can be used as a driver for continuous improvement.<\/p>\n<p><b><span style=\"text-decoration: underline;\">Selecting Warehousing KPIs<\/span><\/b><\/p>\n<p>Every warehouse is different with different goals and objectives, so choosing just the right warehousing KPIs is tough.\u00a0 Generally speaking, measure the things that you can\u2019t afford to go wrong.<\/p>\n<p>Also, select just a few critical KPIs rather than a dozen.\u00a0 Better to really understand the measurements and drivers than spend your week calculating every KPI under the sun.<\/p>\n<p>Ideally, the KPIs chosen will align to the most important deliverables in your warehouse.<\/p>\n<h6><b><span style=\"text-decoration: underline;\">Types of Warehousing KPIs<\/span><\/b><\/h6>\n<p>Below, some of the commonly used KPIs are listed under the following KPIs types: inventory, product availability, item fill rate, product damage, warehouse processing time, order entry, order documentation accuracy and transportation.<\/p>\n<p><b><span style=\"text-decoration: underline;\">Warehousing KPIs<\/span><\/b><\/p>\n<ul>\n<li><b>Inventory <\/b>\n<ul>\n<li>Inventory Turnover<\/li>\n<li>Inventory accuracy<\/li>\n<li>Inventory to Sales Ratio<\/li>\n<li>Carrying Cost of Inventory<\/li>\n<\/ul>\n<\/li>\n<li><b>Product Availability<\/b>\n<ul>\n<li>Stock-out percentage<\/li>\n<li>Percentage of orders filled complete<\/li>\n<li>Order fill rate &amp; weighted average fill rate<\/li>\n<li>Average percentage of items on back order<\/li>\n<\/ul>\n<\/li>\n<li><b>Item Fill Rate<\/b>\n<ul>\n<li>Percentage of order items that the picking operations actually fills within a given period of time<\/li>\n<\/ul>\n<\/li>\n<li><b>Product Damage<\/b>\n<ul>\n<li>Number of returns to total orders<\/li>\n<li>Value of returns to total sales<\/li>\n<li>Rate of Return (reason for return)<\/li>\n<\/ul>\n<\/li>\n<li><b>Production \/ Warehousing Processing Times<\/b>\n<ul>\n<li>Min, max, average time to process orders<\/li>\n<\/ul>\n<\/li>\n<li><b>Order Entry<\/b>\n<ul>\n<li>Min, max, average time for order handling<\/li>\n<li>Percentage of orders handled within target time<\/li>\n<li>Perfect Order Rate<\/li>\n<li>Back Order Rate<\/li>\n<\/ul>\n<\/li>\n<li><b>Order Documentation Accuracy<\/b>\n<ul>\n<li>Percentage of order documents with errors<\/li>\n<\/ul>\n<\/li>\n<li><b>Transportation<\/b>\n<ul>\n<li>Percentage of deliveries on time<\/li>\n<li>Percentage of orders delivered by customer request date<\/li>\n<li>Damage and loss claims<\/li>\n<li>Order tracking<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p>For additional information on warehousing KPIs, check out <a href=\"http:\/\/www.klipfolio.com\/resources\/kpi-examples-top-inventory-metrics\">Klipfolio<\/a>.<\/p>\n<p>What warehousing KPIs do you recommend?<\/p>\n","protected":false},"excerpt":{"rendered":"<p>To effectively and efficiently manage a warehouse, you need to<\/p>\n","protected":false},"author":2,"featured_media":3468,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_bbp_topic_count":0,"_bbp_reply_count":0,"_bbp_total_topic_count":0,"_bbp_total_reply_count":0,"_bbp_voice_count":0,"_bbp_anonymous_reply_count":0,"_bbp_topic_count_hidden":0,"_bbp_reply_count_hidden":0,"_bbp_forum_subforum_count":0,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_feature_clip_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_post_was_ever_published":false},"categories":[710],"tags":[],"class_list":["post-3451","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-warehousing"],"featured_image_src":"https:\/\/www.thelogisticsoflogistics.com\/wp-content\/uploads\/2013\/07\/Warehousing-KPIs.jpg","author_info":{"display_name":"joelynch","author_link":"https:\/\/www.thelogisticsoflogistics.com\/author\/joelynch\/"},"yoast_head":"<!-- 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