How to Read Fulfillment Reports: Inventory Aging, Turnover & KPIs

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How to Read Fulfillment Reports: Inventory Aging, Turnover & KPIs

If your 3PL dashboard confuses you — here are the 7 KPIs to watch.

If you're scaling an eCommerce brand, fulfillment reports matter.
They show where cash is stuck.
They show if operations are healthy.
And they reveal problems before customers complain.

Yet many sellers only look at order counts.
That's a mistake.

Why Fulfillment Reporting Matters

Fulfillment reports connect inventory, speed, and cost.
They help you avoid stockouts.
They prevent dead inventory.
They protect margins as volume grows.

Inventory Aging

Inventory aging shows how long products sit in storage.
Common buckets: 0–30 | 31–60 | 61–90 | 90+ days
Older inventory = frozen cash | higher risk | lower flexibility
If 90+ day stock keeps growing, action is needed.

Inventory Turnover

Turnover = how fast inventory sells and replenishes
High turnover means healthy demand
Low turnover signals over-ordering or weak SKUs
For DTC brands, faster turnover = better cash flow

Order Throughput

Order throughput measures daily fulfillment capacity
Orders received vs orders shipped
Delays here usually mean labor limits | system issues | poor planning
This KPI directly impacts delivery speed

Pick & Pack Accuracy

Accuracy rate shows fulfillment quality
Errors cause returns | refunds | bad reviews
Anything below 99% needs investigation

Average Fulfillment Time

Time from order placed to order shipped
Same-day or next-day fulfillment is ideal
Long processing time = customer frustration

Shipping Cost per Order

Tracks logistics efficiency
Rising costs often hide inside “average shipping”
Watch this closely as order volume grows

Backorder Rate

Backorders show demand-supply mismatch
Frequent backorders = lost trust | lost sales
This KPI links directly to forecasting accuracy

How to Use These KPIs Together

No KPI works alone.
Inventory aging + turnover = stock health
Throughput + fulfillment time = operational speed
Accuracy + backorders = customer experience

FAQ

What is inventory aging in fulfillment reporting?
It tracks how long inventory stays in the warehouse before shipping.

What is a good inventory turnover rate?
It depends on category, but faster turnover usually means healthier cash flow.

Why is order throughput important?
It shows whether your 3PL can handle growth without delays.

How often should I review fulfillment KPIs?
Weekly for fast-growing stores, monthly at minimum.

Do all 3PLs provide KPI dashboards?
No. Advanced 3PLs offer real-time reporting and custom dashboards.

Fulfillment reports shouldn't feel overwhelming.
Once you focus on the right KPIs, decisions get easier.
Better data leads to faster scaling and fewer surprises.

📞 Chat on WhatsApp

📩 Email: zoye@fulfillment-cn.com


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