Posted in Operations and Supply Chain Terms, Total Reads: 1564
Definition: Fill rate
Fill rate is the measure of the satisfaction for the consumer need met form the existing inventory. The fill rate will be high if the customers’ demand are met with stocks present in the inventory and is not required to manufacture to meet the demands. A manufacturer will always try to have a high fill rate because it keeps the customer demands satisfied with the current inventory and they don’t have to rush for the production of new product.