Start here: what these KPIs are for
Operations KPIs measure how reliably work moves through production, fulfillment, inventory, quality, and suppliers.
Use these pages when you need to explain a KPI to a beginner, build it in Excel, validate the inputs, or recreate the same logic in Power BI. Each page includes a plain-English definition, real-life example, Excel formula, DAX measure, interpretation notes, and common mistakes.
Operations KPI list
Backorder Rate
Backordered Items / Total Orders
⚙️Capacity Utilization
Actual Output / Maximum Capacity
⚙️Days Inventory Outstanding
Average Inventory / COGS × Days
⚙️Defect Rate
Defective Units / Total Units
⚙️First Pass Yield
Good Units / Total Units
⚙️Forecast Accuracy
1 - ABS(Actual - Forecast) / Actual
⚙️Inventory Turnover
Cost of Goods Sold / Average Inventory
⚙️On-time Delivery Rate
On-time Orders / Total Orders
⚙️Order Cycle Time
Total Fulfillment Time / Number of Orders
⚙️Overall Equipment Effectiveness
Availability × Performance × Quality
⚙️Schedule Adherence
Completed as Scheduled / Planned Tasks
⚙️Scrap Rate
Scrap Units / Total Units
⚙️Supplier Defect Rate
Defective Supplier Items / Received Items
⚙️Warehouse Picking Accuracy
Correct Picks / Total Picks
How to use these KPI formulas
- Pick one KPI and confirm the business definition.
- Add the inputs to a clean Excel table, one row per period or segment.
- Paste the formula from the KPI page and format the result correctly.
- Add a target or benchmark column so the number has context.
- Link related KPIs together instead of judging one metric alone.