Core Benchmarks: Transportation - Tompkins International
Transcript of Core Benchmarks: Transportation - Tompkins International
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Hot Topic Report
Core Benchmarks: Transportation
Spotlight on Metrics for Truckload,
Less-Than-Truckload, and Parcel
Supply Chain Consortium
Benchmarking & Best Practices
May 2013
www.supplychainconsortium.com
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Table of Contents
Introduction 3
Truckload Metrics 5
Less-Than-Truckload Metrics 14
Parcel Metrics 21
Report Authors 26
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3 Copyright © 2013 Tompkins Supply Chain Consortium. All rights reserved. Confidential and Proprietary
This report offers valuable insight into today’s shipping and transportation industry.
The data on the following pages represent survey responses across several
industries including:
Apparel and Footwear
Department and Discount Stores
Electronics
Food and Beverage
Home Products
Industrial Commercial Manufacturers
Personal Care
Pharmaceutical
Introduction
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Manufacturers, retailers, distributors, and third-party logistics providers (3PLs)
are all represented in the data, which has been formatted by quartile:
Top Quartile = Leaders
Second Quartile = Competitive Advantage
Third Quartile = Competitive Disadvantage
Fourth or Bottom Quartile = Opportunity
Introduction
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Truckload Metrics
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On-Time Pickup Percentage
(per the respondent company’s requirements)
Truckload Metrics
Quartile Values
Leaders (top quartile) ≥99.0%
Competitive Advantage (second quartile) ≥97.6% and <99.0%
Competitive Disadvantage (third quartile) ≥90.0% and <97.6%
Opportunity (bottom quartile) <90.0%
Those leading the way in on-time pickup are capable of greater than 99.0%.
The median value is 97.2%.
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On-Time Delivery Percentage
(per customer requirements)
Truckload Metrics
Quartile Values
Leaders (top quartile) ≥98.5%
Competitive Advantage (second quartile) ≥96.0% and <98.5%
Competitive Disadvantage (third quartile) ≥92.0% and <96.0%
Opportunity (bottom quartile) <92.0%
The leaders in on-time delivery are capable of greater than 98.5%.
The median value is 96.5%.
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Orders Shipped Complete On-Time
(OSCOT) Percentage
Truckload Metrics
Quartile Values
Leaders (top quartile) ≥99.0%
Competitive Advantage (second quartile) ≥96.0% and <99.0%
Competitive Disadvantage (third quartile) ≥93.0% and <96.0%
Opportunity (bottom quartile) <93.0%
The leaders in OSCOT are capable of greater than 99.0%. The median value
is 96.4%.
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Orders Delivered Complete On-Time
(ODCOT) Percentage
Truckload Metrics
Quartile Values
Leaders (top quartile) ≥98.5%
Competitive Advantage (second quartile) ≥95.0% and <98.5%
Competitive Disadvantage (third quartile) ≥90.0% and <95.0%
Opportunity (bottom quartile) <90.0%
The leaders in ODCOT are capable of greater than 98.5%. The median value
is 95.0%.
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Billing Error Rate Percentage
Truckload Metrics
Quartile Values
Leaders (top quartile) ≤0.1%
Competitive Advantage (second quartile) ≤1.0% and >0.1%
Competitive Disadvantage (third quartile) ≤4.0% and >1.0%
Opportunity (bottom quartile) >4.0%
The leaders in billing error rate are capable of less than 0.1%. The median value
is 1.0%.
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Claims Incidence Rate Percentage
Truckload Metrics
Quartile Values
Leaders (top quartile) ≤0.2%
Competitive Advantage (second quartile) ≤1.0% and >0.2%
Competitive Disadvantage (third quartile) ≤4.0% and >1.0%
Opportunity (bottom quartile) >4.0%
The leaders in claims incidence rate are capable of less than 0.2%. The median
value is 0.9%.
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Average Capacity Utilization Percentage
(if weighing out)
Truckload Metrics
Quartile Values
Leaders (top quartile) ≥85.0%
Competitive Advantage (second quartile) ≥75.0% and <85.0%
Competitive Disadvantage (third quartile) ≥70.0% and <75.0%
Opportunity (bottom quartile) <70.0%
The leaders in average capacity utilization (if weighing out) are capable of greater
than 85.0%. The median value is 80.0%. Some extremely heavy products are
expected to have very low utilization.
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Average Capacity Utilization Percentage
(if cubing out)
Truckload Metrics
Quartile Values
Leaders (top quartile) ≥95.0%
Competitive Advantage (second quartile) ≥93.0% and <95.0%
Competitive Disadvantage (third quartile) ≥90.0% and <93.0%
Opportunity (bottom quartile) <90.0%
The leaders in average capacity utilization (if cubing out) are capable of
greater than 95.0%. The median value is 93.5%. Large cube products or
unusually shaped products may not be capable of good utilization if cubing
out.
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Less-Than-Truckload Metrics Less-Than-Truckload Metrics
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15 Copyright © 2013 Tompkins Supply Chain Consortium. All rights reserved. Confidential and Proprietary
On-Time Pickup Percentage
(per the respondent company’s requirements)
Less-Than-Truckload Metrics
Quartile Values
Leaders (top quartile) ≥99.0%
Competitive Advantage (second quartile) ≥96.0% and <99.0%
Competitive Disadvantage (third quartile) ≥90.0% and <96.0%
Opportunity (bottom quartile) <90.0%
The leaders in on-time pickup are capable of greater than 99.0%.
The median value is 97.0%.
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16 Copyright © 2013 Tompkins Supply Chain Consortium. All rights reserved. Confidential and Proprietary
On-Time Delivery Percentage
(per customer requirements)
Less-Than-Truckload Metrics
Quartile Values
Leaders (top quartile) ≥97.0%
Competitive Advantage (second quartile) ≥93.0% and <97.0%
Competitive Disadvantage (third quartile) ≥88.0% and <93.0%
Opportunity (bottom quartile) <88.0%
The leaders in on-time delivery are capable of greater than 97.0%. The median
value is 93.5%.
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17 Copyright © 2013 Tompkins Supply Chain Consortium. All rights reserved. Confidential and Proprietary
Orders Shipped Complete On-Time
(OSCOT) Percentage
Less-Than-Truckload Metrics
Quartile Values
Leaders (top quartile) ≥99.9%
Competitive Advantage (second quartile) ≥97.0% and <99.9%
Competitive Disadvantage (third quartile) ≥92.0% and <97.0%
Opportunity (bottom quartile) <92.0%
The leaders in OSCOT are capable of greater than 99.9%. The median value
is 97.2%.
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18 Copyright © 2013 Tompkins Supply Chain Consortium. All rights reserved. Confidential and Proprietary
Orders Delivered Complete On-Time
(ODCOT) Percentage
Less-Than-Truckload Metrics
Quartile Values
Leaders (top quartile) ≥97.9%
Competitive Advantage (second quartile) ≥94.0% and <97.9%
Competitive Disadvantage (third quartile) ≥89.0% and <94.0%
Opportunity (bottom quartile) <89.0%
The leaders in ODCOT are capable of greater than 97.9%. The median value
is 94.5%.
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Billing Error Rate Percentage
Less-Than-Truckload Metrics
Quartile Values
Leaders (top quartile) ≤0.1%
Competitive Advantage (second quartile) ≤2.0% and >0.1%
Competitive Disadvantage (third quartile) ≤5.0% and >2.0%
Opportunity (bottom quartile) >5.0%
The leaders in billing error rate are capable of less than 0.1%. The median value
is 2.0%.
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Claims Incidence Rate Percentage
Less-Than-Truckload Metrics
Quartile Values
Leaders (top quartile) ≤0.1%
Competitive Advantage (second quartile) ≤1.0% and >0.1%
Competitive Disadvantage (third quartile) ≤3.0% and >1.0%
Opportunity (bottom quartile) >3.0%
The leaders in claims incidence rate are capable of less than 0.1%. The median
value is 0.9%.
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Parcel Metrics Parcel Metrics
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22 Copyright © 2013 Tompkins Supply Chain Consortium. All rights reserved. Confidential and Proprietary
On-Time Pickup Percentage
(per the respondent company’s requirements)
Parcel Metrics
Quartile Values
Leaders (top quartile) ≥99.5%
Competitive Advantage (second quartile) ≥98.5% and <99.5%
Competitive Disadvantage (third quartile) ≥97.0% and <98.5%
Opportunity (bottom quartile) <97.0%
The leaders in on-time pickup are capable of greater than 99.5%. The median
value is 98.7%.
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23 Copyright © 2013 Tompkins Supply Chain Consortium. All rights reserved. Confidential and Proprietary
On-Time Delivery Percentage
(per customer requirements)
Parcel Metrics
Quartile Values
Leaders (top quartile) ≥98.9%
Competitive Advantage (second quartile) ≥98.0% and <98.9%
Competitive Disadvantage (third quartile) ≥95.0% and <98.0%
Opportunity (bottom quartile) <95.0%
The leaders in on-time delivery are capable of greater than 98.9%. The median
value is 98.1%.
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Billing Error Rate Percentage
Parcel Metrics
Quartile Values
Leaders (top quartile) ≤0.3%
Competitive Advantage (second quartile) ≤1.6% and >0.3%
Competitive Disadvantage (third quartile) ≤4.0% and >1.6%
Opportunity (bottom quartile) >4.0%
The leaders in billing error rate are capable of less than 0.3%. The median value
is 1.5%.
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Claims Incidence Rate Percentage
Parcel Metrics
Quartile Values
Leaders (top quartile) ≤0.2%
Competitive Advantage (second quartile) ≤1.4% and >0.2%
Competitive Disadvantage (third quartile) ≤2.0% and >1.4%
Opportunity (bottom quartile) >2.0%
The leaders in claims incidence rate are capable of less than 0.2%. The median
value is 1.3%.
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To learn more about benchmarking and best practices, additional resources are available to members
through the Supply Chain Consortium: www.supplychainconsortium.com
Qualified companies may join the Supply Chain Consortium’s LinkedIn or Xing Group:
www.supplychainconsortium.com/rc/connections.asp
Bruce Tompkins Executive Director
6870 Perry Creek Road
Raleigh, NC 27616
(919) 855-5527 Office
(919) 345-0479 Mobile
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Chris Ferrell Director
6435 Hazeltine National Drive
Suite 105
Orlando, FL 32822
(407) 362-0369 Office
(919) 624-3947 Mobile
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Report Authors