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Eight key KPI indicators for warehouse management

Views: 2     Author: Site Editor     Publish Time: 2022-05-16      Origin: Site

Eight key KPI indicators for warehouse management

The person in charge of the warehouse all the time emphasizes good warehouse management, but what kind of warehouse management is good management? At what level is good management? Are there any effective indicators? Of course, the answer is yes, there is no quantitative, there is no standard, the quantitative evaluation of warehouse management, can effectively improve the management efficiency of the warehouse, liberate the company's funds, obtain the maximum income.

KPI refers to key performance indicator, also known as main performance indicator, important performance indicator, performance evaluation indicator, etc. It refers to the most important indicator to measure the effectiveness of a management work. It is a data management tool, and must be an objective and measurable performance indicator, which can help optimize the performance of the organization and plan the vision.

Warehouse key KPI indicators

1) Timely accuracy of receiving and delivering goods

There are actually several indicators. Raw material, semi-finished product, finished product, receive goods, and deliver goods, timely, accurate, permutation combination rises to have 12 indicators.

Received (shipped) timely (accurate) quantity/received (shipped) total quantity x100%= received (shipped) timely (accurate) rate.

The difficulty of receiving and delivering timely accuracy index lies not in definition, but in data collection. Without a proper system, it is almost impossible to assess this index by manual recording. Of course, we can adopt a curve method, such as collecting the number of complaints. If there are no complaints, it is accurate and timely, but this will not achieve the purpose of process monitoring.

2) Breakage ratedouble axle shaft with universal joint for sale - Xinsanming

Inspect the damage of packing materials or goods caused by improper warehouse operation. This index is intended to examine the physical practices of constrained warehouses, especially third-party warehouses.

Number of broken (damaged) goods/Total number of goods handled x100%= Broken (damaged) rate.

3) Consistency rate of accounts and goods

The ratio of account and goods conformity is the total number of varieties in account and the number of varieties in fact, the ratio of the latter to the former. If there are 10 varieties of goods in stock, but there are actually 10 varieties, but the quantity of 5 varieties of the 10 varieties is not verified, then the actual coincidence rate of accounts is 5/10=50%.

4) Inventory turnover

This is a classic warehouse-related financial metric.

Inventory turnover = (goods turnover/total inventory) ×100%

Because the numerator of inventory turnover is the turnover of goods, and the denominator is the total inventory, these two rely on sales, one depends on material planning or procurement, the warehouse is really not up to force ah, so many companies do not need to provide this index warehouse, but financial processing.

5) Proportion of material in long inventory

This index has a great correlation with inventory turnover.

Amount of long-aged materials/Total amount of stock x100%= proportion of long-aged materials.

This index has more practical significance for warehouse and inventory management. First, it is necessary to define a lot of materials that have not been consumed or delivered for a long time as long-aged materials. After defining the long-aged material, you can derive two numbers and a list, two numbers are the average storage age of the material in stock, the other is the average storage age of the material in long-aged, and a list is the long-aged material list. Both the percentage and the stock age can serve as a warning, and the inventory can help each department to really deal with the long stock age material one by one. In addition, the proportion of statistics once a month can also pay attention to the trend change of the health degree of the entire inventory, forming a trend index.

6) Storage space utilization rate, average number of storage space occupied by SKU, and storage space turnover rate

These three indicators are related to the use of physical storage space in the warehouse.

Number of occupied locations/total number of locations x100%= storage utilization rate;

Total number of repositories/total skux100% = average number of repositories occupied by SKU;

Number of changed locations/total number of locations x100%= rate of location turnover.

These three indicators reflect the remaining capacity of the warehouse to store materials. Every warehouse has a limited storage capacity and can't hold an infinite amount of stuff, so it's crucial to know how much you have and how much you have left. These indicators are established to understand the current situation, forecast and early warning, and whether the warehouse will expand or shrink in the long term.

7) Inventory accuracy

This data should be determined by a fixed period of time (daily, weekly, monthly...) Inventory (moving touch plate, circular plate, stop production plate...) Data to support it.

Accurate count/total count x100%= inventory accuracy.

8) Customer satisfaction

In the process of warehousing service, especially the three-party logistics, customer satisfaction has always been a very important indicator, and each logistics enterprise has different emphasis on customer satisfaction, and the tables designed to investigate customer satisfaction are also different, but there are some common research needs on some necessary data points. Such as: quality assurance of goods; Attentive details of service; Report the dynamic situation of customer's goods; the fineness and simplicity of the process; the attitude of the personnel is also an important factor.

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  : The Innovation Industrial Park, No.36, Jingwei Road ,Xi'an Economic and Technological Development Zone,Xi'an City,Shaanxi Province,China
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