Why Fill Rate Ratio is Important for Your Business?
High fulfillment rates indicate that a company can fulfill customer orders quickly and efficiently. The fill rate gives a picture to the company of which parts of the supply chain are already productive and efficient.
Generally, why is fill rate important for your business?
Build a good reputation
Consistency of order fulfillment certainly has an impact on the business, especially in the eyes of customers.
Drive customers loyalty
A high fulfillment ratio also illustrates that the company has a good relationship with its customers. Customers can sense the company’s ability to process and fulfill orders quickly.
Provide operational Insight
Tracking orders, warehouses, vendors, and fill rates can help your business determine how effective the supply chain process is.
Read More: Using B2B Loyalty Program to Improve Retention
5 Types of Fill Rate in The Supply Chain
Order Fill Rate
Order fill rate refers to the total number of orders that have been successfully fulfilled. High fulfillment rate signifies that the company fulfilled customer orders quickly and efficiently.
Line Fill rate
Line fill rate is the percentage of the order lines a company fills. When customers place orders, companies record the sales on an order bill as line items.
Case Fill Rate
Percentage of order fulfillment which is calculated based on the number of product packages sent, especially large-scale packaging for the fulfillment of distributor/wholesaler orders.
Warehouse Fill Rate
Calculates the average order that can be fulfilled and sent by a specific warehouse to customers. The calculation concept is almost the same as order fill rate, but it’s used to measure specific warehouse’s performance.
Vendor Fill Rate
Vendor fill rate measures the percentage of vendors who have completed order shipments out of the total number of vendors from which a company receives its orders.
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Monitor and manage the number of orders available in the warehouse, so all customer orders can be fulfilled promptly with Advotics Warehouse Management Systems
Learn more about Advotics Warehouse Management System and increase order fulfillment percentage in your business.