Chapter 17

Order fulfilment cycle time (OFCT)

  • Why: To better understand your end-to-end business process performance
  • What: To measure how long it takes from a customer order to product or service delivery
  • When: When end-to-end process efficiency matters
  • The question this indicator helps you to answer: how efficient are our internal business processes?

Why does this KPI matter?

Order fulfilment cycle time (OFCT) is a continuous measurement defined as the amount of time from customer authorisation of a sales order to customer receipt of the product. This improvement concept applies equally well to manufacturing and service businesses.

OFCT (often known as customer order cycle time) is an important measure because it considers the performance ...

Get 25 Need-To-Know Key Performance Indicators now with O’Reilly online learning.

O’Reilly members experience live online training, plus books, videos, and digital content from 200+ publishers.