| More Metrics This is the second article in a series in which MHM will report the results of the 2005 MHM Census of Distribution.
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Managers of today's top performing warehouse/distribution centers— those in the top quartile (75th percentile)—report annual storage utilization rates of 90%, 26.5 orders picked or packed per hour, a one-hour dock-to-stock time, 99% on-time delivery rate, 99% order fill rate, and 12 inventory turns per year. Use the table below to compare your facility's performance against the best and the industry as a whole.
WAREHOUSE/DISTRIBUTION CENTER OPERATING METRICS
| Metric (Formula) | All Respondents | ||||
| Mean* | 25th percentile | Median | 75th percentile | N= | |
| Storage space, sq. ft. | 117,528 | 15,000 | 50,000 | 138,750 | 424 |
| Storage space, cubic ft. | 2,843,898 | 62,400 | 595,000 | 3,000,000 | 283 |
| SKUs (Number handled or stored over the past 12 months) | 108,698 | 1,000 | 5,000 | 20,000 | 386 |
| Full-time equivalent employees (2005) | 225.6 | 21.5 | 59 | 180 | 441 |
| Age, years (Years operating under current ownership) | 16.8 | 5 | 10 | 25 | 451 |
| Warehousing costs as a % of shipment value, % [(labor + overhead) ÷ shipment dollar volume] | 12.2 | 15.0 | 6.3 | 3.0 | 259 |
| Annual storage utilization, % (occupied capacity ÷ total storage capacity) | 77.8 | 70.0 | 80.0 | 90.0 | 335 |
| Orders per hour (orders picked or packed ÷ total warehouse hours) | 57.4 | 2.8 | 8 | 26.5 | 261 |
| Lines picked per hour (lines picked or packed ÷ total warehouse hours) | 184.9 | 10 | 25 | 74.7 | 220 |
| Items picked per hour (items picked or packed ÷ total warehouse hours) | 1,577.9 | 25.0 | 79.5 | 203.8 | 232 |
| Dock to stock time, hours (receipt to storage time in hours) | 10.8 | 12.0 | 4.0 | 1.0 | 271 |
| Cost per order (annual labor and overhead costs ÷ total orders) | $3,145.30 | $155.50 | $32.00 | $10.00 | 200 |
| On-time delivery rate, % (orders delivered on time ÷ total orders) | 93.5 | 94.0 | 97.0 | 99.0 | 311 |
| Order fill rate, % (orders filled complete ÷ total orders) | 94.1 | 93.0 | 97.5 | 99.0 | 297 |
| Order accuracy, % (error-free orders ÷ total orders) | 96.4 | 96.5 | 99.0 | 99.5 | 313 |
| Line accuracy, % (error-free lines ÷ total lines shipped) | 96.4 | 98.0 | 99.0 | 99.7 | 246 |
| Order cycle time, hours (order release to ship time) | 25.3 | 3.0 | 12.0 | 32.0 | 271 |
| Perfect order rate, % (perfect deliveries ÷ total deliveries) | 92.5 | 92.1 | 98.0 | 99.0 | 248 |
| Customer delivery lead time, days (receipt of order to delivery) | 11.4 | 7.0 | 3.0 | 2.0 | 289 |
| Total inventory turn rate, turns | 11.3 | 4.0 | 6.0 | 12.0 | 275 |
| Metric (Formula) | Machinery, Equipment & Supplies | |||
| 25th percentile | Median | 75th percentile | N=** | |
| Storage space, sq. ft. | 5,000 | 17,000 | 56,500 | 62 |
| Storage space, cubic ft. | 15,000 | 80,000 | 900,000 | 43 |
| SKUs (Number handled or stored over the past 12 months) | 850 | 2,775 | 12,000 | 48 |
| Full-time equivalent employees (2005) | 13.5 | 40 | 128.5 | 65 |
| Age, years (Years operating under current ownership) | 4.75 | 10 | 25 | 62 |
| Warehousing costs as a % of shipment value, % [(labor + overhead) ÷ shipment dollar volume] | 12.5 | 5.0 | 3.0 | 34 |
| Annual storage utilization, % (occupied capacity ÷ total storage capacity) | 80.0 | 85.0 | 96.0 | 43 |
| Orders per hour (orders picked or packed ÷ total warehouse hours) | 2 | 6 | 10 | 36 |
| Lines picked per hour (lines picked or packed ÷ total warehouse hours) | 9 | 25 | 55 | 31 |
| Items picked per hour (items picked or packed ÷ total warehouse hours) | 16.8 | 45.0 | 78.0 | 27 |
| Dock to stock time, hours (receipt to storage time in hours) | 8.0 | 4.0 | 1.8 | 30 |
| Cost per order (annual labor and overhead costs ÷ total orders) | $250.00 | $46.00 | $11.79 | 23 |
| On-time delivery rate, % (orders delivered on time ÷ total orders) | 89.0 | 96.0 | 98.0 | 39 |
| Order fill rate, % (orders filled complete ÷ total orders) | 90.0 | 96.8 | 99.1 | 38 |
| Order accuracy, % (error-free orders ÷ total orders) | 95.0 | 98.0 | 99.3 | 38 |
| Line accuracy, % (error-free lines ÷ total lines shipped) | 96.0 | 99.0 | 99.8 | 27 |
| Order cycle time, hours (order release to ship time) | 1.0 | 8.0 | 24.0 | 31 |
| Perfect order rate, % (perfect deliveries ÷ total deliveries) | 90.0 | 97.0 | 99.0 | 28 |
| Customer delivery lead time, days (receipt of order to delivery) | 7.0 | 3.0 | 2.0 | 37 |
| Total inventory turn rate, turns | 4.0 | 6.3 | 9.3 | 30 |
| Metric (Formula) | Grocery & Related Products | |||
| 25th percentile | Median | 75th percentile | N=** | |
| Storage space, sq. ft. | 30,000 | 52,500 | 192,500 | 36 |
| Storage space, cubic ft. | 200,000 | 1,000,000 | 3,027,500 | 27 |
| SKUs (Number handled or stored over the past 12 months) | 300 | 1,900 | 12,000 | 35 |
| Full-time equivalent employees (2005) | 12.25 | 45.5 | 265.5 | 38 |
| Age, years (Years operating under current ownership) | 5.5 | 14 | 26.5 | 37 |
| Warehousing costs as a % of shipment value, % [(labor + overhead) ÷ shipment dollar volume] | 28.5 | 10.0 | 3.7 | 21 |
| Annual storage utilization, % (occupied capacity ÷ total storage capacity) | 65.0 | 77.5 | 88.8 | 28 |
| Orders per hour (orders picked or packed ÷ total warehouse hours) | 2 | 3 | 10 | 19 |
| Lines picked per hour (lines picked or packed ÷ total warehouse hours) | 12 | 30 | 60.5 | 13 |
| Items picked per hour (items picked or packed ÷ total warehouse hours) | 75.0 | 147.5 | 227.5 | 18 |
| Dock to stock time, hours (receipt to storage time in hours) | 2.8 | 1.0 | 0.9 | 20 |
| Cost per order (annual labor and overhead costs ÷ total orders) | $132.53 | $19.13 | $5.45 | 14 |
| On-time delivery rate, % (orders delivered on time ÷ total orders) | 94.5 | 97.2 | 99.8 | 22 |
| Order fill rate, % (orders filled complete ÷ total orders) | 96.5 | 99.0 | 100.0 | 25 |
| Order accuracy, % (error-free orders ÷ total orders) | 95.5 | 99.0 | 99.8 | 25 |
| Line accuracy, % (error-free lines ÷ total lines shipped) | 98.0 | 99.5 | 99.9 | 17 |
| Order cycle time, hours (order release to ship time) | 12.0 | 24.0 | 31.5 | 18 |
| Perfect order rate, % (perfect deliveries ÷ total deliveries) | 93.2 | 97.5 | 98.6 | 16 |
| Customer delivery lead time, days (receipt of order to delivery) | 3.3 | 2.0 | 1.0 | 18 |
| Total inventory turn rate, turns | 4.0 | 14.3 | 24.0 | 23 |
| Metric (Formula) | Electrical & Electronic Goods | |||
| 25th percentile | Median | 75th percentile | N=** | |
| Storage space, sq. ft. | 14,500 | 30,000 | 105,000 | 36 |
| Storage space, cubic ft. | 31,250 | 325,000 | 1,400,000 | 20 |
| SKUs (Number handled or stored over the past 12 months) | 863 | 9,250 | 46,250 | 30 |
| Full-time equivalent employees (2005) | 21.25 | 43.5 | 128.75 | 36 |
| Age, years (Years operating under current ownership) | 5.5 | 11 | 26.5 | 33 |
| Warehousing costs as a % of shipment value, % [(labor + overhead) ÷ shipment dollar volume] | 19.8 | 10.0 | 2.9 | 20 |
| Annual storage utilization, % (occupied capacity ÷ total storage capacity) | 65.0 | 75.0 | 90.0 | 23 |
| Orders per hour (orders picked or packed ÷ total warehouse hours) | 2.05 | 11 | 20 | 21 |
| Lines picked per hour (lines picked or packed ÷ total warehouse hours) | 6.5 | 20 | 35 | 21 |
| Items picked per hour (items picked or packed ÷ total warehouse hours) | 17.5 | 87.5 | 997.5 | 20 |
| Dock to stock time, hours (receipt to storage time in hours) | 6.0 | 2.0 | 1.0 | 23 |
| Cost per order (annual labor and overhead costs ÷ total orders) | $156.25 | $80.00 | $22.55 | 18 |
| On-time delivery rate, % (orders delivered on time ÷ total orders) | 97.0 | 98.0 | 99.0 | 23 |
| Order fill rate, % (orders filled complete ÷ total orders) | 93.0 | 96.0 | 99.3 | 25 |
| Order accuracy, % (error-free orders ÷ total orders) | 99.0 | 99.1 | 99.9 | 25 |
| Line accuracy, % (error-free lines ÷ total lines shipped) | 98.3 | 99.3 | 100.0 | 24 |
| Order cycle time, hours (order release to ship time) | 1.0 | 4.0 | 18.0 | 24 |
| Perfect order rate, % (perfect deliveries ÷ total deliveries) | 97.0 | 99.0 | 1.0 | 22 |
| Customer delivery lead time, days (receipt of order to delivery) | 4.6 | 2.3 | 99.6 | 26 |
| Total inventory turn rate, turns | 4.0 | 5.0 | 7.0 | 23 |
| Metric (Formula) | Apparel, Piece Goods & Notions | |||
| 25th percentile | Median | 75th percentile | N=** | |
| Storage space, sq. ft. | 27,500 | 140,000 | 284,620 | 33 |
| Storage space, cubic ft. | 78,750 | 648,000 | 3,000,000 | 12 |
| SKUs (Number handled or stored over the past 12 months) | 6,000 | 20,000 | 33,703 | 31 |
| Full-time equivalent employees (2005) | 61 | 180 | 350 | 33 |
| Age, years (Years operating under current ownership) | 4.25 | 6.5 | 19.5 | 32 |
| Warehousing costs as a % of shipment value, % [(labor + overhead) ÷ shipment dollar volume] | 16.8 | 10.5 | 4.0 | 24 |
| Annual storage utilization, % (occupied capacity ÷ total storage capacity) | 52.8 | 68.0 | 85.0 | 26 |
| Orders per hour (orders picked or packed ÷ total warehouse hours) | 6.5 | 12 | 54 | 21 |
| Lines picked per hour (lines picked or packed ÷ total warehouse hours) | 13.3 | 155 | 875 | 8 |
| Items picked per hour (items picked or packed ÷ total warehouse hours) | 56.3 | 145.5 | 262.5 | 20 |
| Dock to stock time, hours (receipt to storage time in hours) | 54.7 | 24.0 | 6.0 | 24 |
| Cost per order (annual labor and overhead costs ÷ total orders) | $33.25 | $21.04 | $3.84 | 22 |
| On-time delivery rate, % (orders delivered on time ÷ total orders) | 95.0 | 98.0 | 99.6 | 29 |
| Order fill rate, % (orders filled complete ÷ total orders) | 95.8 | 98.8 | 99.4 | 22 |
| Order accuracy, % (error-free orders ÷ total orders) | 97.7 | 99.0 | 99.6 | 26 |
| Line accuracy, % (error-free lines ÷ total lines shipped) | 95.3 | 98.0 | 99.4 | 12 |
| Order cycle time, hours (order release to ship time) | 4.0 | 7.0 | 48.0 | 15 |
| Perfect order rate, % (perfect deliveries ÷ total deliveries) | 95.7 | 98.1 | 98.9 | 20 |
| Customer delivery lead time, days (receipt of order to delivery) | 10.0 | 8.0 | 4.0 | 15 |
| Total inventory turn rate, turns | 4.0 | 6.5 | 13.1 | 25 |
* For benchmarking purposes the medians offer a better indicator of typical performance, representing the midpoint of all responses. Although outlier responses were reviewed for plausibility, there are some unusually high and low metrics reported by respondents that skew the average. Means are included here for reference.
** As a rule of thumb, less than 30 responses is not statistically representative for a particular industry. Data should be used for informational or benchmarking purposes only.
