Fill Rate Formula:
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Definition: This calculator determines the fill rate percentage for a parts department by comparing fulfilled orders to total orders.
Purpose: It helps parts managers and inventory specialists measure service effectiveness and customer satisfaction.
The calculator uses the formula:
Where:
Explanation: The fulfilled orders are divided by total orders to get a ratio, then multiplied by 100 to convert to percentage.
Details: Fill rate is a key performance indicator (KPI) that measures inventory management effectiveness and customer service quality in parts departments.
Tips: Enter the number of orders fulfilled and total orders received. Total orders must be > 0.
Q1: What is considered a good fill rate?
A: Most industries aim for 85-95%. Automotive parts departments typically target 90% or higher.
Q2: How often should fill rate be calculated?
A: Typically calculated weekly or monthly, but can be done daily for high-volume departments.
Q3: What factors affect fill rate?
A: Inventory levels, demand forecasting accuracy, supplier reliability, and order processing efficiency.
Q4: Should backorders be counted as fulfilled?
A: No, only count orders that were completely filled from stock at time of request.
Q5: How can we improve our fill rate?
A: Strategies include better inventory forecasting, increasing stock levels of high-demand items, and improving supplier relationships.