What is the difference between on-time delivery and OTIF?
On-time delivery measures only whether goods arrived within the agreed window. OTIF, on time in full, also requires that the complete ordered quantity arrived. A delivery counts as OTIF only if it passes both tests, so OTIF is never higher than on-time delivery.
Formula in words: deliveries both on time and complete, divided by total deliveries.
It matters because a load that arrives on time but short still causes the customer a problem, and may trigger penalties or disputes.
Commonly misread:
- Customers define in full differently, such as by line, case or order value. Agree it in advance.
- Treating damaged goods as in full.
- Mixing OTIF with on-time delivery in reports, so figures cannot be compared.
Track the reason for each failure to see whether late or short deliveries are the larger problem.
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