On-Time Delivery Rate Calculator Formula

Understand the math behind the on-time delivery rate calculator. Each variable explained with a worked example.

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Formulas Used

On-Time Delivery Rate

otd_rate = total_deliveries > 0 ? (on_time_deliveries / total_deliveries) * 100 : 0

Late Deliveries

late_deliveries = total_deliveries - on_time_deliveries

Late Delivery Rate

late_pct = total_deliveries > 0 ? ((total_deliveries - on_time_deliveries) / total_deliveries) * 100 : 0

Variables

VariableDescriptionDefault
on_time_deliveriesOn-Time Deliveries470
total_deliveriesTotal Deliveries500

How It Works

How to Calculate On-Time Delivery Rate

Formula

On-Time Delivery Rate = (On-Time Deliveries / Total Deliveries) x 100

On-time delivery (OTD) rate is a core supply chain performance indicator. It measures how reliably you meet delivery commitments to customers. Late deliveries erode trust, trigger penalties in many B2B contracts, and drive customers to competitors. Tracking OTD by carrier, product line, and region pinpoints where delivery processes break down.

Worked Example

A company made 500 deliveries this month and 470 arrived on or before the promised date.

on_time_deliveries = 470total_deliveries = 500
  1. 01OTD Rate = (470 / 500) x 100 = 94%
  2. 02Late Deliveries = 500 - 470 = 30
  3. 03Late Rate = (30 / 500) x 100 = 6%

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