Key Performance Indicator (KPI)
A Key Performance Indicator (KPI) is a measurable value that reflects the effectiveness and efficiency of an organization’s operations. In logistics, KPIs such as on-time delivery rate, order accuracy, and inventory turnover are used to evaluate performance, identify areas for improvement, and guide strategic decision-making.
Related glossary terms
On Time Delivery Rate
On-time delivery rate measures the percentage of shipments delivered as scheduled, reflecting reliability, customer satisfaction, and operational efficiency.
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.
Actual to Theoretical Cycle Time
Actual to theoretical cycle time is real process time divided by ideal rated time. It reveals inefficiencies and helps teams improve operational throughput.
Supply Chain Visibility
Supply Chain Visibility is the ability to track and monitor goods, information, and resources across the entire supply chain in real time to reduce risk and…
