The Cash Conversion Cycle, also knows as Cash-to-Cash Cycle Time, is the time between when a business pays its suppliers and when the business receives payment from its customers, usually expressed in days. Keeping active tabs on your Cash Conversion Cycle will aid you in monitoring your finances as cash flows in and out of your business.

Defect Rate is the percentage of finished units that fail to meet quality standards. It measures how many units are nonconforming at inspection, during production, or after delivery when a customer identifies a defect. Lower is better because it reflects stable processes, fewer escalations, and less rework.

Defects Per Million Opportunities measures how many defects you find for every one million chances a defect could occur in your process. It is a core Six Sigma quality metric that accounts for the complexity of a product by counting the number of possible defect points on each unit. You use it to compare processes with different designs, track quality over time, and translate defect rates into a Sigma level.

Expenses per Employee is a measure of the Operating Expenses for the last twelve months (LTM) divided by the current number of Full-Time Equivalent employees. Just like Revenue per Employee, this ratio is often used to compare companies within the same industry.

First Pass Yield (FPY) measures the percentage of units that meet specifications and pass inspection on their first attempt with no rework or repair. It shows how consistently your process produces conforming output and how much hidden capacity is lost to scrap, fixes, and retests. Track FPY at a step, line, or plant level, and segment it by product, shift, supplier, or machine to find where right?first?time quality breaks down.

Inventory Turnover measures how often, in a given time-period, your organization is able to sell its entire inventory. Inventory Turnover is an important efficiency metric and is helpful in analyzing pricing, product demand, and, of course, inventory purchase and costs. It is also a critical tool when selling perishable goods, where the potential for waste is high.

Measures the time it takes for manufacturing to produce a given product from the time the order is released to production, to finished goods. It helps identify bottlenecks and optimize production flow.

On-Time In-Full (OTIF) delivery rate measures the percentage of orders delivered both on the promised date (or within the agreed time window) and complete with all requested items in the correct quantities. It combines punctuality and completeness into a single metric that reflects successful order fulfilment from the customer's perspective.

On-time delivery measures the percentage of orders delivered to customers on or before the promised delivery date. It helps evaluate the efficiency of the supply chain in meeting customer expectations. On-time delivery is crucial for maintaining high customer satisfaction levels. Timely delivery is often seen as a reflection of a company's reliability, and consistent punctuality can lead to increased customer trust and loyalty. Moreover, on-time delivery helps to avoid unnecessary costs related to late delivery compensation or loss of business, directly impacting the company's bottom line.

Perfect Order Rate measures the percentage of orders that are delivered without any errors, such as missing items, incorrect quantities, or damaged goods. It reflects the overall accuracy and quality of order fulfillment. The Perfect Order Rate (POR) is an essential supply chain metric that measures the effectiveness of an organization’s order fulfillment process. It is calculated by determining the percentage of orders that are executed flawlessly, without any errors or issues. Considered from a customer's perspective, a perfect order is one that arrives on time, contains the right items in the correct quantities, is delivered to the right place, and is accompanied by the correct invoicing.

Profit per Employee is a measure of Net Income for the past twelve months (LTM) divided by the current number of Full-Time Equivalent employees. Because labour needs differ across sectors, this ratio is often used to compare companies within the same industry.

Revenue per Employee is a measure of the total Revenue for the last twelve months (LTM) divided by the current number of Full-Time Equivalent employees. Also known as Revenue to Employee Ratio, this ratio is among the most universally applicable and is often used to compare companies within the same industry.