Back to Glossary
OperationsKPI

KPI (Key Performance Indicator)

Quick answer

A quantitative measure of performance against a goal, used to monitor and improve operations.

Key takeaways

  • OTIF (on-time in-full delivery)
  • Fill rate and perfect order rate
  • Order cycle time
  • Stock accuracy and inventory turnover

What a KPI is

KPI (Key Performance Indicator) is a measurable indicator showing how well you meet an objective. In operations and supply chain, KPIs translate daily activity into management figures.

Why it matters to the board

'You can't manage what you don't measure.' Good KPIs link operational execution to financial results and provide a common language between warehouse, sales and leadership.

Essential operational KPIs

  • OTIF (on-time in-full delivery)
  • Fill rate and perfect order rate
  • Order cycle time
  • Stock accuracy and inventory turnover

How CRMconnect helps

CRMconnect computes operational KPIs automatically from real data (orders, deliveries, stock) and presents them in a control tower, instead of delayed manual reports.

Real-world example

Management tracked monthly OTIF in Excel, always late. With the CRMconnect KPI dashboard, OTIF and fill rate became visible daily, per retailer, enabling fast corrections.

Last updated:

Frequently asked

How many KPIs should I track?+

Few and relevant. A focused set (OTIF, fill rate, order cycle time, stock accuracy) is more useful than dozens of indicators you don't act on.

KPI vs metric?+

Every KPI is a metric, but not every metric is a KPI. A KPI is directly tied to a business objective you want to improve.

Where CRMconnect fits

Want to see CRMconnect in action?

Personalized demo in 30 minutes - no card, no commitment.

Related terms