Lara GuevaraSupply Chain expert (Product and Service)

Master On-Time Delivery: Calculate Your Supplier OTD

15 Feb 2026 · 1 min

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1:03

Learn how to calculate Supplier On-Time Delivery (OTD): orders delivered by promised date divided by total orders, times 100. Track it in a spreadsheet with promised and actual dates per order. Aim for 95% or higher; below 90% means late deliveries are causing stockouts, expensive freight, and missed launches.

Chapters

Metric one on time delivery or otd. This is the most fundamental reliability measure. Can you count on the supplier to deliver when they say they will? The formula Orders delivered by promise date divided by total orders times 100. Simple a supplier promises 10 deliveries. Nine arrives on time. That's 90% OTD. How to track for every order document two dates the promised date from their confirmation and the actual delivery date. Create a simple spreadsheet one row per order 95% plus is good. 90 to 94% is acceptable but needs improvement below 90% is a problem. Why this matters Late deliveries cascade. You stock out your expedite freight in miss launches, you disappoint customers. A supplier at 80% OTD is essentially forcing you to gamble on every order.