Companies are in business to make money and a profit. In order to do both, company executives must be able to define performance measurements and have clear performance indicators. Key Performance indicators in the Supply Chain include:
- Percentage of quality rejects.
- Forecast Bias
- Forecast Accuracy
- Total Inventory Level
- Inventory turns
- Inventory days of supply
- Production to schedule
- Delivery to schedule (procurement)
- Exception Messages
- Capacity Utilization
- Overall Financial margin
- Comparison to budget
- Cost of goods sold
- Targets – inventory, turns, margins and capacity utilization.