On time in full (OTIF) high level guidance
The on-time in-full (OTIF) metric is a good indicator of the general health of the supply chain. It measures the extent to which shipments are delivered to their destination according to the quantity and schedule specified on the order. It is normally calculated as:
OTIF= Actual orders delivered/ Expected orders to be delivered
Unfortunately, there is no standard definition of the components for OTIF, so the metric can mean different things to different people, which hinders effective communication between suppliers and biomanufacturers.
To bring some clarity and understanding to this area, BioPhorum has published On Time In Full high level guidance . This provides an introduction and a high-level view of OTIF so that when we use the acronym, we know how it is calculated and are all using it in the same way.
Most people will know what OTIF means, but they might not necessarily know how it is calculated. The paper therefore gets into some detail on the components of ‘Actual orders delivered’ and ‘Expected orders to be delivered’. It talks about the information included, actions to take and gives tips on how to best use each component.
Decreases in OTIF can be directly correlated to fluctuations in demand vs. forecast. This BioPhorum paper will help ensure that everything is open and transparent between suppliers and customers, which will positively impact how businesses meet or exceed end-user expectations.
|OTIF (On Time In Full) high level guidance July 2022.pdf|
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- File Size 155.32 KB
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- Create Date 21st July 2022
- DOI https://doi.org/10.46220/2022SP002
- Last Updated