FMi Logistics Calgary Exceptional. Logistics. Delivered

Warehousing Vancouver | Measuring KPI’s

Key performance indicators allow a business to assign measurable values to key functions in the business. This is especially critical for back-office functions, such as warehousing. Common warehouse KPIs include the number of returns processed, inventory turnover, employee turnover, and accuracy in both inventory and payables. Warehouse rental Vancouver solutions are important to your supply chain, and as such, the warehouse function should be measured to ensure you are achieving value.

Since it’s often the very last link in the chain between you and your customers. Therefore, its role in customer satisfaction can’t be overstated. What are your competitors measuring?

On-time delivery, as the name suggests, is the number of deliveries that are on time. A higher on-time delivery shows that your Vancouver warehouse lease is beneficial to your bottom line. In other words, it is reliable and does the planning of transportation well.

Your order fill rate is the rate per day of fulfilling orders. A higher rate shows that the warehouse is fast and efficient in completing orders. Order accuracy is the number of orders which are completed with no mistakes; things are packed and shipped out correctly. A higher number of accurate orders show how meticulous the warehouse staffs are. And your location accuracy refers to the storing of goods in the correct location so that it is easy to find them and pickers can do their job more efficiently.

Order cycle time involves the total elapse time to move a unit of work from the beginning to the end of a physical process. It includes process time and delay time during which a unit of work is spent waiting to take the next action. Change orders obviously refers to orders which are changed. Changing orders incurs cost and thus it is best to not have any changed orders.

Your inventory turnover ratio calculates how many goods go out compared to incoming goods, it shows how fast inventory moves and the higher the better. Inventory accuracy means that the physical count matches inventory records. Accurate inventory records show that your Vancouver warehouse rent is returning dividends. It’s vital that your warehouse has good storage systems and keeps records meticulously.

Damaged or lost inventory is the number of damaged, stolen, or lost goods in a lot. Naturally, it is more desirable if this number is lower as it shows that the warehouse has proper equipment and procedures to keep inventory safe and has good security.

Certainly, these suggested KPI’s aren’t the only ones. Since the warehouse is often the busiest area of a thriving operation, it makes sense to measure it in a meaningful way. Hard metrics make it easier for logistics and Vancouver warehousing management to demonstrate the tremendous value to any organization.

More FMi Blog Posts

FMi Logistics Calgary Exceptional. Logistics. Delivered.

Transportation Of Heavy Equipment

Moving heavy equipment can be a pretty tricky task. You will face many hurdles when it is time to move your large and heavy machinery.
FMi Logistics Calgary Exceptional. Logistics. Delivered.

5 Steps for Successful Transportation of Construction, Building, and Lumber Materials

Shipping and handling of lumber and construction materials requires in-depth planning and logistics expertise.
FMi Logistics Calgary Exceptional. Logistics. Delivered

Message from the President

I trust this message finds you safe and well. A brief update on what FMi continues to do in the spirit of keeping our people healthy and safe.
FMi Logistics Calgary Exceptional. Logistics. Delivered

Message From The President

Greetings to all of our readers! It’s been great to receive your positive feedback on our monthly blog and newsletters – keep the comments coming we LOVE it!
FMi Logistics Calgary Exceptional. Logistics. Delivered

Canadian International Freight Forwarders

As with all aspects of international trade, it’s prudent to do your research before choosing a Canadian international freight forwarder to look after the transportation of your goods.
FMi Logistics Calgary Exceptional. Logistics. Delivered

Intermodal Efficiencies

The term intermodal refers to moving a container or trailer by more than one mode of transportation—generally truck plus rail, ocean plus rail, ocean plus truck, or all three modes.
FMi Logistics Calgary Exceptional. Logistics. Delivered

How Does Cross-Docking Help Me?

Cross-docking is a fast-track process that eliminates the need for warehouse storage space, providing a cost-effective and quick method of transporting goods from one place to another.
FMi Logistics Calgary Exceptional. Logistics. Delivered

FMi Logistics Winter Update December 2017

Winter is upon us, kids have returned to school, summer vacations are a distant memory, business is in high gear as we look towards the approaching Christmas / Holiday Season… its approaching fast so let’s embrace our Winter Season like The Tragically Hip with all the CANADIAN that we are.
FMi Logistics Calgary Exceptional. Logistics. Delivered

5 reasons why Manufacturers should consider using a 3PL logistics provider

Are you a manufacturing company look for a better way of doing things? As a 3PL provider, FMi can offer many services to improve your supply chain.
Get An Estimate

REQUEST A QUOTE NOW