Delivery Performance

Delivery performance (DP) is a broadly used standard KPI measurement in supply chains to measure the fulfillment of a customers demand to the wish date.[1] Following the nomenclature of the DR-DP-Matrix three main approaches to measure DP can be distinguished:

* DPTV
* DPDS
* DPTS

Type of measurement: volume (V)/singular(S)
Type of view: on time (T)/ delivery (D)

## Contents

* 1 Volume/on time
* 1.1 Formula
* 2 Singular/delivery and singular/on time
* 2.1 Singular case definition
* 2.2 Formula
* 3 Result
* 4 References
* 5 See also

## Volume/on time

### Formula

If ((Demandp,c+Backlogp−1,c)>0)

DPTV = Deliveredp,c+Predeliveryp−1,cDemandp,c+Backlogp−1,c

Else

NULL

Demand:= customers wish c:= product identifier p:= Time period e.g. a day, a week, a month ...

The cumulation over a period and a group of product identifiers c is done as follows: DPp,c=∑p,c(DPTV)countp,c(DPTV<>NULL)

whereas p is determined by demand period

## Singular/delivery and singular/on time

### Singular case definition

To fit to the needs of the environment, the granularity of a singular case (DP*S) has to be defined. In general a singular case is described by a n-Tuple consisting of a set of the following order and delivery details:

* order number
* customer identifier
* product identifier
* wish date of customer
* confirmed date of supplier
* ship to information
* delivery date
* delivery note number

### Formula

* DPDS

After a singular case has been delivered to the customer its DP is measured as follows:

If (wish date = arrival date) then

DPsingular case=1
else

DPsingular case=0

arrival date = delivery date + transit time

By cumulating the results of singular cases over a certain period p and, if necessary, additional criteria c (e.g. customer, product, ...) the delivery performance is calculated as follows:

DPp,c=∑p,c(DP)countp,c(singularcases)

whereas p is determined by the arrival date

* DPTS

After a period has elapsed all singular cases with wish date within period are considered and their DP is measured as follows:

If (wish date = arrival date) then

DRsingular case=1
else

DRsingular case=0

arrival date = delivery date + transit time

By cumulating the results of singular cases over a certain period p and, if necessary, additional criteria c (e.g. customer, product, ...) the delivery performance is calculated as follows:

DPp,c=∑p,c(DP)countp,c(singularcases)

whereas p is determined by the first confirmed date

## Result

0%≤DPT/DS/V≤100%

## References

1. ↑ "Delivery performance Measurement on Serbian Journal of Management". http://www.sjm06.com/SJM ISSN1452-4864/6_2_2011_November_123-282/6_2_205-220.pdf.

## See also

* Delivery reliability

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