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Supply Chain Metrics

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Supply Chain Metrics
1. Overall Inventory Turns

Annual cost of goods sold (company info)  average total inventory (12)
2. Raw Materials Inventory Turns (manufacturing companies only)

Annual cost of raw materials purchased (3)  average raw material inventory (13)
3. Work-in-Process Inventory Turns (manufacturing companies only)

(Annual cost of raw materials purchased (3) + Annual cost of conversion (4))  average work in process inventory (14)
4. Finished Goods Inventory Turns

Annual cost of goods sold (company info)  average finished goods inventory (15)
5. Percentage of safety stock

Average safety stock (16)  total inventory (12)
6. Purchase operating expense dollars as a percent of supply chain purchase dollars

Purch operating expense dollars (21)  supply chain purchase dollars (2)
7. Purchase order cycle time (in days for purchasing department and excludes supplier lead time)

Average amount of time (in days) elapsed from point of intention to place order to receipt of order by vendor (32)
8. Supplier lead time

Average amount of time (in days) elapsed from point of order to delivery (32)
9. Supplier on-time delivery

Percentage of orders supplier delivers on scheduled due date (34)

10. Percent of transactions processed via procurement card

Total value of transactions via procurement card (5)  total value of supply chain transactions processed (2)
11. Percent of transactions handled under blanket contract

Value of transactions handled under blanket contract (6)  total value of supply chain transactions processed (2)
12. Percent of transactions handled through “one time” purchase orders

Value of transactions handled under purchase order (7)  total value of supply chain transactions processed (2)
13. Value of purchases per buyer/purchasing agent

Value of transactions processed by purchasing department (9)  # of buyer/purchasing agents (20)
14. Percent of transactions processed electronically

Value of transactions processed electronically (8)  total

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