404. Order Cycle Time

404.1. (OCT) Order Cycle Time

Measures the total time taken from when a customer places an order to when the order is delivered

Where:

• ${𝑇}_{\text{order}}$: Order Entry Time (time it takes to receive and log the order)

• ${𝑇}_{\text{processing}}$: Order Processing Time (time to check inventory, verify details, and prepare for production or shipment)

• ${𝑇}_{\text{production}}$: Production Time (time to manufacture or prepare the product)

• ${𝑇}_{\text{shipping}}$: Shipping Time (time it takes to deliver the product from the warehouse to the customer)