On Time Delivery Rate
The on-time delivery rate is a key performance metric in logistics and supply chain management. It measures the percentage of orders or shipments that are delivered to their destination on or before the scheduled delivery date. This metric indicates how reliably a company meets its delivery commitments, which is crucial for customer satisfaction, inventory planning, and overall operational efficiency.
Related glossary terms
Key Performance Indicator (KPI)
Key Performance Indicator (KPI) is a measurable logistics metric—such as on-time delivery rate or inventory turnover—used to evaluate and guide operational…
Vessel Schedule Reliability
Vessel schedule reliability measures how consistently ships arrive on time. Learn how it drives inventory costs, demurrage risk, and supply chain disruptions.
Must-Arrive-By Date (MABD)
Must-Arrive-By Date (MABD) is the date a shipment must reach its destination, critical for coordinating time-sensitive deliveries and promotional inventory…
Lead Time
Lead Time is the total time from placing an order to receiving it, encompassing order processing, production, and transit, essential for managing inventory…