Measurement

Most supply chain metrics measure the wrong thing.

On-time delivery tells you last month was late. It does not tell a planner what to do on Tuesday.

Craig Bennett · · 3 min read

The monthly pack looks complete. Inventory accuracy. On-time delivery. Efficiency. Then someone asks what we should do differently this week, and the room goes quiet.

Those numbers tell you last month happened. They do not tell a planner whether to release the order, a storeperson whether the count is worth correcting today, or a supervisor whether the changeover is the reason the line looks slow.

You already have the data. You are just measuring the scoreboard and skipping the thing the team can actually change.

What the pack usually misses

Accuracy without time-to-correct. The count is wrong, and it stays wrong until stocktake, so the number never moves and nobody owns the lag.

On-time delivery without why. Late could mean the job sat in a queue, the material was not there, or sales promised a date the plant did not have. One percentage cannot distinguish those, so the argument starts again next month.

Efficiency without the changeover. Runtime looks fine. The loss is in the hour between jobs, against a standard that has not been true for years.

Complaints without close-out. The list gets longer. Nothing comes off it.

Pair the number you already fight over

You do not need a new dashboard. Pick the result the team already watches. Add the input that actually moves it.

If the fight is on-time delivery, watch order-release lead time. A lot of "late production" is a late release. If it is forecast accuracy, count how many SKUs you actually reviewed this cycle, not how pretty the MAPE looks. If it is availability, ask when safety stock was last recalculated. If it is efficiency, put planned versus actual changeover next to it.

One pair is enough to start. The point is that Tuesday has a number, not just a post-mortem in four weeks.

Questions this usually raises

What is wrong with most supply chain metrics?

They tell you what happened last month. They do not tell anyone what to do on Tuesday. Inventory accuracy without time-to-correct. On-time delivery without why. Efficiency without what happened at the changeover.

How do you pair a result metric with an input metric?

Pick the number the team already argues about. Add the input that actually moves it. On-time delivery with order-release lead time. Forecast accuracy with how many SKUs you actually reviewed. Availability with how often safety stock was recalculated, not last year's guess.

If the numbers you watch don't tell the team what to do next, get in touch. A consultation is ninety minutes: we'll pair the result metrics you already have with the inputs that actually move them.
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