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Inventory service level

Service Level KPI is to measure the level of service performed by Inventory or Stock Control in fulfilling their customer (user) requirement. It is reflected by the percentage of quantity or value fulfilled toward total quantity or value requested (demand) during the period of reporting.

Details

Unit: Percentage

Direction: Maximize

This KPI is most used for:
Operational Excellence

Comments

  1. Muzzammil Ahmad

    It means it is a value we can say:

    % ISL = (Value fulfilled / Value demanded) x 100

    and one important thing to be considered is that it should not be higher than 100%.

  2. Biswajit N.

    I feel that one more angle to be covered is the value fulfilled within the required time frame.

  3. Muzzammil Ahmad

    yes value fulfilled with in requested or required time frame should only be considered.

  4. Tom G.

    Is this measure based on customer request date or sourcing company measures?
    Can you explain the time frame? Would it not be by month?

  5. Denis Santos Luy

    What should be the standar value for a non-wholesale or retail enterprise??

  6. Muhammad Mushtaq

    Inventory Service Level KPI is to measure the level of service performed by Inventory in fulfilling their user requirement. It is reflected by the percentage of quantity or value fulfilled toward total quantity or value requested (demand) during the period of reporting.

    How can we measure the Inventory Service Level against the Preventive maintenance work orders? Work Order might contain planned material but it is possible that planned material would not be required during maintenance.

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