Supply Chain Management

[nickoedwards]

Can anyone recommend any books / web sites on Supply Chain Management? More specifically the kind of KPI's we should be aiming for.

 

[GraemeL]

More specifically the kind of KPI's we should be aiming for.

Hello Nick,

Depends on what your business is and what you need to do to meet customer needs?

For example, an electrical component business supplying electricians might require a high first time order fill as their most important KPI, but a manufacturer of high priced handbags made of leather might require 100% quality at goods in.

 

[nickoedwards]

I understand. In your examples, we're more like the electrical componets supplier.

If we were aiming to have a high first time order fill as you suggested, is there anywhere I could find tested and proven KPIs?

 

[GraemeL]

Not too difficult to guide you as to the KPI's, though these are general and will vary between distribution businesses. Your challenge will be getting the right data to ensure the KPI's make sense.

Availability (maybe split into top 20% and the rest or other measures)
First time order fill or demand failure - if this matters
OOS timescales
Backorder %
Backorder skus
Stock value
Stock over xx weeks
Supplier performance

Being more specific will depend on the exact nature of what your unique business does and what customers value.