(This is a guest blog post from our partner Boltrics, this post has previously been posted on their website)
Key Performance Indicators (KPIs) are essential to easily identify the health of your organization. In a single overview, they show how far you have reached your goals and which parts need extra attention. But what are the right KPIs for your organization?
Enter the term ‘KPI’ on Google and the online search engine offers thousands of hits. But that does not offer you the KPIs that should fit your needs as a logistics service provider. There must be another way, right? We think so too. Therefore, Boltrics conducted a survey among their customers to map the main KPIs for logistics service providers.
1. The occupancy rate
How many (pallet) places are still available – whether it’s euro, block or, for example, Düsseldorf-pallets? And what is the minimum occupancy you need to cover the costs? The KPI occupancy rate provides the opportunity to gain insight into the extent to which the capacity of warehouse (s) is utilized.
2. Turnover rate
How long are stocks stored in your warehouse? And does your revenue model still match the activities? The KPI turnover rate will give you insight into the number of days a pallet is stored in the warehouse and the trend line for the coming period.
3. Stock per period
What is the inbound and outbound flow of last month and what is the expectation for the coming period? What is the stock flow (per warehouse and/or per customer) and how does the number of pallets compare with the number of packages.
4. Order Shipped Complete On Time (OSCOT)
Your customers expect you to meet your (SLA) agreements and deliver orders quickly and efficiently. Of course, because that is after all why they hire your services. Then you – and your customer – want to be sure that you can guarantee a timely and complete delivery. The KPI Order Shipped Complete On Time is therefore an important measure for your customers to gain insight into your performance. At the same time, you see at a glance the percentage of orders delivered completely and on time to the customer.
5. Performance per warehouse employee
What is the number of colli per order picker per hour against the standard time? Or the number of pallet movements per hour per reacher? By measuring productivity, you know exactly how many packages, pallets or boxes you can process with the current occupation.
Where are the opportunities in terms of sales and what are the “bleeders”? Simply show sales by activity, period, warehouse and/or customer. And drill down at the level of article or batch for more detailed information.
Visual reports with Power BI
Step 1 is, obviously, mapping the relevant KPIs for your organization.
Step 2 is converting this data into rich analyzes and clear visual reports.
Boltrics have created pre-defined Power BI data sets and reports that provide a solution. These data sets and reports are fully aligned with the needs of logistics service providers and provide decision makers at all levels with insight into relevant information. Anytime, anyplace and via any device. This will help you to better manage your goals for the future.