A key performance indicator (KPI) called On-Time Delivery (OTD) calculates the proportion of customer orders that are delivered on or before the scheduled delivery date. It shows how well a business can fulfill its obligations and is essential to supply chain dependability and customer satisfaction. Strong coordination between the logistics, production, inventory, and procurement departments is indicated by high OTD rates. On the other hand, faulty forecasting, stockouts, delayed transit, or ineffective procedures can all contribute to subpar OTD performance. By monitoring OTD, businesses can identify supply chain flaws and implement fixes to increase responsiveness and dependability.
