Key logistics figures: Central to sound business decisions
Many processes are interrelated, and in logistics in particular there are many interactions and thus also interdependencies. The better these processes can be controlled, the more key figures are usually in focus. The goal: to make processes controllable and measurable in a targeted manner in order to map facts precisely and thus ultimately identify weak points and optimization potential.
Advantages and goals of the use of logistics key figures
Whether you are a wholesaler or a processor in the food industry, a lot depends on goods that are available on time and in exact quantity and quality. Identifying key logistics indicators therefore has the primary aim of reducing complexity and identifying developments that deviate from the norm. The earlier and more holistically this can be done, the better companies can respond and reduce negative influences on their business.
Other benefits associated with logistics metrics:
- Simplified analysis and planning of goods flows
- Better management and control at any time
- Linking with other KPIs, e.g. warehouse key figures such as lead time
- Comparison and prioritization of processes, e.g. by defining target values
- Holistic operationalization of entire business areas, including those with cross-sectional functions
Important: Logistics key figures are usually classified according to type, basis, time horizon and purpose. They can be defined on the basis of mathematical or statistical methods or in the form of reference values, depending on the desired nature in the respective company.
Overview of selected key logistics figures
The close link between warehouse and distribution makes it complex to determine key figures completely, e.g. with regard to intralogistics. However, it is possible to map individual key figures that are set in relation to each other and used for comparison. The aim here is to make concrete facts comprehensible and to put them in relation to (sub-)goals of the company.
Typical logistics metrics include:
- Unit delivery costs
- Shipping value factor
- Lead time fulfillment rate
- Delivery quality
- Turnover rate
- Capital commitment
- Delivery flexibility
- Share of logistics costs