KPI Benchmarks : Supplier Order Documentation Accuracy Rate
- Benchmark Range
- Benchmark Average
- Benchmark Sample Size (n) 35
* Is High or Low Best: Higher is Better
Supplier Order Documentation Accuracy Rate
Supplier Order Documentation Accuracy Rate measures the diligence with which suppliers provide accurate forms (invoices, advanced shipping notices, packing slips, etc.) for their shipments. A relatively low value for this KPI may indicate that the company is not adequately managing or communicating with its vendors, or they are not detailing document accuracy service levels in their vendor contracts. A high number of inaccurate supplier documents can lead shipments to be delivered to the wrong location, delivered at the wrong time or billed to the wrong account. A low value for this KPI can also lead to discrepancies in the inventory management system or strained vendor relationships, which can cause the company to spend time and money searching for new vendors.
The total number of supplier orders received with complete and correct documentation (invoice, ASN, packing slip, etc.) divided by the total number of supplier orders received over the same period of time, as a percentage.
KPI Best Practices
- Proactively notify vendors of changes in address or other necessary document information
- Require vendors to match purchase orders to invoices, shipments, packing slips, etc.
- Provide incentives for vendors to provide accurate documentation
KPI Calculation Instructions Supplier Order Documentation Accuracy Rate?
Two values are used to calculate this KPI: (1) the number of supplier orders received with correct documentation, and (2) the total number of supplier orders received during the same measurement period. Include invoices, advanced shipping notices, case labelling, packing slips or any other documents that are required by the purchase order or vendor contract in this calculation. Only include orders received from suppliers in this calculation. Do not include orders delivered to customers in this calculation.
KPI Formula :
(Number of Supplier Orders Received With Correct Documentation / Total Number of Supplier Orders Received) * 100