Open Standards Benchmarking Measure List

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1 Cost Effectiveness Page Inventory carrying cost as a percentage of average inventory value Total cost to perform the logistics process logistics" per $1, Total cost to perform the logistics process logistics" per function FTE Total cost to perform the logistics process logistics" per sales order shipped Total cost to perform the process "operate outbound transportation" per $1, Total cost to perform the process "operate warehousing" per $1, Total cost to perform the process "plan and manage inbound material flow" per $1, f /( *.001) a Total logistics cost as a percentage of sales a Cost of goods sold as a percentage of Freight cost to perform the process "operate outbound transportation" per $1, Other cost to perform the process "operate outbound transportation" per $1, Other cost to perform the process "operate warehousing" per $1, Other cost to perform the process "plan and manage inbound material flow" per $1, a /( *.001) a /( d c b a) a / a g /( *.001) a f /( *.001) a ( / ) * f /( *.001) d /( *.001) d /( *.001) d /( *.001) Outsourced cost to perform the process e /( *.001) "operate outbound transportation" per $1, Outsourced cost to perform the process "operate warehousing" per $1, Outsourced cost to perform the process "plan $1, e /( *.001) e /( *.001) 10339

2 Cost Effectiveness Overhead cost to perform the process c /( *.001) "operate outbound transportation" per $1, Overhead cost to perform the process "operate warehousing" per $1, Overhead cost to perform the process "plan $1, Personnel cost to perform the process a /( *.001) "operate outbound transportation" per $1, Personnel cost to perform the process "operate warehousing" per $1, Personnel cost to perform the process "plan $1, Premium freight charges as a percentage of total freight charges Systems cost to perform the process "operate outbound transportation" per $100, Systems cost to perform the process "operate warehousing" per $100, Systems cost to perform the process "plan $100, Total cost to perform the logistics process logistics" as a percentage of cost of goods sold Total cost to perform the process "operate outbound transportation" as a percentage of cost of goods sold Total cost to perform the process "operate outbound transportation" per process FTE Total cost to perform the process "operate outbound transportation" per sales order Total cost to perform the process "operate warehousing" as a percentage of cost of goods sold c /( *.001) c /( *.001) a /( *.001) a /( *.001) b /( *.00001) b /( *.00001) b /( *.00001) ( / ) * ( g / ) * g / d g / ( f / ) * Page 2

3 Cost Effectiveness Process Efficiency Total cost to perform the process "operate warehousing" per process FTE Total cost to perform the process "operate warehousing" per sales order Total cost to perform the process "plan and manage inbound material flow" per process FTE Inventory accuracy a Number of FTEs that perform the logistics process group "manage logistics and warehousing" excluding "manage returns; manage reverse logistics" per $1 billion Number of FTEs that perform the process "define logistics strategy" per $1 billion Number of FTEs that perform the process "operate outbound transportation" per $1 billion Number of FTEs that perform the process "operate warehousing" per $1 billion Number of FTEs that perform the process "plan $1 billion Perfect order performance a Accurate documentation rate Actual position storage utilization Raw material inventory turns c Average monthly national forecast error measured by the mean absolute percentage error (MAPE) Average monthly product family forecast error measured by the mean absolute percentage error (MAPE) f / c f / f / b ( d c b a) / ( * ) a a /( * ) a d /( * ) a c /( * ) a b /( * ) a Order fill rate a a c Page 3

4 Process Efficiency Average monthly shipping location forecast error measured by the mean absolute percentage error (MAPE) Cost of damaged product as a percentage of sales "Define logistics strategy" FTEs as a percentage of logistics FTEs Expedited costs as a percentage of total logistics process group "manage logistics and warehousing" excluding "manage returns; manage reverse logistics" costs Finished goods inventory turns b Inventory value per $1,000 total /( *.001) "Operate outbound transportation" FTEs as a percentage of logistics FTEs "Operate warehousing" FTEs as a percentage of logistics FTEs Percentage of full-load trailer/container capacity utilized per shipment Percentage of logistics costs associated with the physical transportation, storage, or handling of returned product Percentage of sales orders shipped as part of full-load shipments Percentage of supplier orders delivered on time Perfect condition rate "Plan and manage inbound material flow" FTEs as a percentage of FTEs b ( a /( a b ( d /( a b + ( c /( a b + ( b /( a b Percentage of orders expedited Percentage of sales orders delivered on time Percentage of returned product (by value) flowing through the same logistics network as primary products (as opposed to an independent returns channel) Total inventory turns a Unit fill rate Page 4

5 Process Efficiency Cycle Time Staff Productivity Value of sales order line items not fulfilled due to production capacity or stockouts as a percentage of Value of returned products as a percentage of sales Days sales outstanding a Cash-to-cash cycle time in days a Customer order cycle time in days a Dock-to-stock cycle time for supplier deliveries in hours Time to receive and prepare an order for selection in hours Number of sales orders filled per "operate warehousing" FTE a Pick-to-ship cycle time in hours a Return processing cycle time in days a Customer shipment to delivery cycle time in days / / c a Page 5

6 About APQC's Open Standards Benchmarking APQC is the steward of the open standard benchmarking content. Content is developed and reviewed by various subject matter experts. Participation in APQC's Open Standards Benchmarking is complimentary for APQC Enterprise Members. APQC Functional Members can benchmark in their functional membership at no cost. By participating, you will receive a detailed table comparing your responses with those of your peers. In essence, you ll get a row-by-row comparison of your responses versus those of your peers. The data tables will feature your answers as well as indicate the high, median and low performance ranges. Past participants have used open standards benchmarking research reports to set baselines for process improvement projects, to build a business case for new initiatives, to prioritize high-impact opportunities, and even to validate success or return on investment from efforts. For more information, call or visit Page 6

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