In today's fast-moving economy, logistics can either be your biggest cost centre — or your greatest competitive advantage. But how do you know if your logistics operation is truly performing at its best?
It starts with the right KPIs (Key Performance Indicators).
At Sengers LCA, we help businesses across South Africa benchmark their logistics performance, cut waste, and build scalable operations. This guide highlights the most critical KPIs you should be tracking — and what “good” looks like for each.
Delivery On-Time Percentage (OTP)
What it is: The percentage of deliveries that arrive at their destination on time.
Why it matters: Poor delivery punctuality leads to downstream delays, stockouts, and unhappy customers.
Benchmark to aim for:
✅ Above 95% for outbound logistics
✅ Above 90% for inbound supplier deliveries
Order Accuracy Rate
What it is: The percentage of orders delivered without errors (wrong item, wrong quantity, damaged, etc.)
Why it matters: Inaccurate orders drive rework, loss of trust, and unnecessary transport costs.
Benchmark to aim for:
✅ 99% or higher
Best-in-class operations exceed 99.5%.
Average Delivery Time / Cycle Time
What it is: The average time taken from order placement to successful delivery.
Why it matters: Long cycle times mean sluggish responsiveness and unhappy customers.
Benchmark to aim for:
✅ 2–3 days for national deliveries
✅ Same-day or next-day for local dispatch (depending on product)
Cost per Delivery or per KM
What it is: Your total logistics cost divided by the number of deliveries or kilometres travelled.
Why it matters: This helps you understand true delivery efficiency and cost drivers.
Benchmark to aim for:
✅ R12–R25/km depending on vehicle type
✅ R60–R120 per local delivery (van/utility vehicle)
Costs vary by industry and geography — benchmarking is essential.
Warehouse Order Cycle Time
What it is: The time from order received to order shipped from your warehouse or distribution centre.
Why it matters: Faster turnaround improves customer satisfaction and reduces backlog.
Benchmark to aim for:
✅ <24 hours for most retail/consumer products
✅ <3 hours for urgent fulfilment models
Inventory Turnover Ratio
What it is: How many times inventory is sold and replaced in a year.
Why it matters: Low turnover ties up capital in stock and increases warehousing costs.
Benchmark to aim for:
✅ 5–12 turns per year, depending on industry
Construction supplies may be lower; FMCG should be higher.
Vehicle Utilisation Rate
What it is: The percentage of space or weight used in each delivery vehicle.
Why it matters: Underutilised trucks waste fuel, time, and money.
Benchmark to aim for:
✅ 80%+ utilisation by volume or weight
Less than 60% = time to rethink routing and load planning.
Damage or Loss Rate
What it is: The percentage of shipments damaged or lost in transit or storage.
Why it matters: Losses hurt profitability and customer relationships.
Benchmark to aim for:
✅ <0.5% of total shipments
Compliance & Documentation Error Rate
What it is: Number of errors in customs forms, permits, delivery notes, etc.
Why it matters: Documentation errors lead to costly delays, penalties, and reputation damage.
Benchmark to aim for:
✅ Zero tolerance – every document should be audit-ready
Why Benchmarking KPIs Matters Now More Than Ever
Many businesses measure only the obvious costs — fuel, labour, or delivery fees — but miss the real drivers of inefficiency. The right KPIs unlock visibility, drive accountability, and help you scale without chaos.
At Sengers LCA, we benchmark your logistics performance against industry leaders, uncover inefficiencies, and deliver a clear roadmap to improvement.
Get Your Custom Logistics KPI Benchmark
Want to see how your operation compares to best-in-class logistics standards?
Book your free logistics KPI benchmarking session with Sengers LCA.
We’ll analyse your current logistics metrics and highlight exactly where you can improve — whether you run your logistics in-house or via third parties.
Give us a call or a request a call back for more information.
Tags:
Logistics Audit.png?width=50&height=50&name=Untitled%20design%20(5).png)
9 May 02025