What metric tracks the number of times a supplier meets the agreed upon delivery date?
A) Initial fill rate
B) Initial order lead time
C) On-time performance
D) cash-to-cash cycle time

Question

Quizplus · Accepted Answer

On-time performance is the metric that tracks the number of times a supplier meets the agreed upon delivery date. Initial fill rate measures the percentage of customer demand that is filled by the supplier on the initial order, while initial order lead time measures the time it takes for the supplier to deliver the initial order. Cash-to-cash cycle time measures the time it takes for a company to convert its investments in inventory back into cash. None of these metrics track the number of times a supplier meets the agreed upon delivery date.

What Metric Tracks the Number of Times a Supplier Meets