OTD (On-Time Delivery) Rate

On-Time Delivery Rate (OTD Rate) is a percentage that measures how often a supplier completes deliveries by the promised date or the customer's required date. The formula is: number of on-time delivery orders ÷ total delivery orders × 100%. This metric is widely used in foreign trade procurement, supply chain management, and supplier performance evaluation, especially for long-term cooperation or JIT (Just-in-Time) production scenarios. Use cases include: customers evaluating supplier reliability, internal factory KPI assessments, and performance clauses in contracts. Notes: It is necessary to clearly define the baseline for 'on-time' (such as contract delivery date, customer-required delivery date, or order confirmation delivery date), and consider whether force majeure should be excluded; also distinguish 'on-time delivery rate' from concepts such as 'order fulfillment cycle' and 'delivery timeliness'—the former is a quantitative ratio, while the latter focuses more on time length or subjective perception. Unlike 'perfect order rate,' OTD only focuses on the time dimension and does not involve quantity, quality, or document accuracy. Foreign trade practitioners should regularly calculate and analyze OTD to identify bottlenecks, optimize production scheduling, and improve customer satisfaction.