fulfillment rate calculation

fulfillment rate calculation is a key performance indicator that measures the efficiency of order fulfillment within a business. It’s typically calculated as the percentage of customer orders that are successfully fulfilled and shipped on time without errors. The formula is: (Number of Orders Fulfilled Correctly / Total Orders Received) x 100. A high fulfillment rate indicates effective inventory management, streamlined operations, and reliable shipping practices. This metric is especially critical for e-commerce businesses that rely on fast and accurate delivery to maintain customer satisfaction. Low fulfillment rates can signal problems such as stockouts, warehouse inefficiencies, or order processing delays. Tracking and optimizing this rate enables businesses to improve service levels, reduce returns, and increase customer loyalty. Fulfillment rate calculation is often monitored through warehouse management systems or fulfillment dashboards integrated with sales platforms.