On-time in-full (OTIF) is a supply chain metric for measuring performance in logistics. OTIF generally refers to a supplier’s ability to deliver product within prescribed delivery windows and at full quantities ordered.
OTIF is really two different metrics combined into a single acronym. So, let’s break it down:
- On-time is a service metric that tracks how closely a delivery came to meeting its agreed-upon delivery appointment time.
- In-full refers to the quantity of the product itself, and measures whether customers are receiving more, less or the exact amount they requested.
OTIF’s meaning for retailers and express shipping providers remains so impactful because successful on-time in-full delivery means that the product is on the shelf when it needs to be. This means delivery and availability for some products and goods when consumers are ready to buy. For others, a delivery arrives when and where the end customer requests.
For more 'What's That' videos visit: https://www.ttnews.com/whats-that
