Komoro Foods Inc. has decided to track its On Time and In Full percentages as a critical
Question:
Komoro Foods Inc. has decided to track its "On Time and In Full percentages as a critical metric to know whether the distribution center is doing its job well.
1) Are there any factors that can affect the metric that escapes the scope of the distribution manager's responsibilities (jurisdiction)?
2) With the input from a cross-functional team, they are now considering four possibilities to track the metric: a) As a percentage of orders delivered on time and in full; b) as a percentage of line items delivered on time and in full; c) as a percentage of units (cases) delivered on time and in full; d) as a percentage of dollar value delivered on time and in full. The following is an example of the proposed metrics using Komoro's last month's data:
3) Which Metrics would you use? Why?
Financial Accounting A User Perspective
ISBN: 978-0470676608
6th Canadian Edition
Authors: Robert E Hoskin, Maureen R Fizzell, Donald C Cherry