leveransprecisionOTIF

LeveransprecisionOTIF is a performance metric used in supply chain management to assess supplier reliability by combining two dimensions: on-time delivery and completeness. The term aligns with the broader OTIF concept—On Time In Full—focusing on deliveries that arrive within an agreed time window and in the requested quantities. It is commonly used by retailers, manufacturers and logistics providers to monitor supplier performance, inform contracts, and drive improvements in replenishment and inbound logistics.

Calculation and scope: OTIF can be calculated at shipment level or order level. On-time means the delivery occurs within the specified delivery window; in-full means the received quantity matches the order or the line item. A shipment can be on-time but not in-full if items are short-shipped, while a late shipment is not OTIF. OTIF = (number of OTIF deliveries) / (total deliveries) × 100. Targets vary, but many organizations aim for high 90s percentages, often around 95%.

Data and governance: Calculation typically uses data from ERP, WMS, TMS, or EDI/ASN feeds. Accuracy depends on clear purchase order data, agreed delivery windows, and reliable quantity reporting. Some systems report OTIF per PO line, others per order or SKU-level line.

Impact and improvement: LeveransprecisionOTIF scores influence supplier scorecards, payments, and contract terms. Improvement initiatives include better demand forecasting, synchronized inbound appointments, improved packing and labeling, and clear communication of expectations with collaborative planning with suppliers.

Notes: The term leveransprecisionOTIF is most common in Nordic logistics contexts, but the OTIF concept is widely used in global supply chains.