Professional Documents
Culture Documents
Occupancy Rate, One of The Most Important Kpis in Logistics: Luc Ligtenbelt 16 August, 2018 5min. Reading Time
Occupancy Rate, One of The Most Important Kpis in Logistics: Luc Ligtenbelt 16 August, 2018 5min. Reading Time
In May this year, ABN AMRO already mentioned it: Business Intelligence will have the biggest
impact on the logistics sector. The bank even suspects that this technology will be deployed
on a large scale by logistics service providers in the short term.
https://www.boltrics.com/en/2018/08/16/blog-occupancy-rate-one-of-the-most-important-kpis-in-logistics/ Page 1 of 11
Occupancy rate, one of the most important KPIs in logistics - Boltrics 24/11/22, 7:38 pm
This is not surprising when we look at the growing complexity in the supply chain. Because
when it goes wrong in the chain somewhere, the margin quickly deteriorates
(/en/2018/11/20/blog-how-transporters-could-receive-return-again-in-the-future/). And that
can bring along major costs. Moreover, understanding data is not only useful for optimizing
your own business processes. The need for data also increases for your clients. For example,
what are their fast moving goods and how can they finetune their production process in a
better way? Can you not answer these questions for them? Then you are at risk of losing
customers and partners. Because of digitalization and technology, we are now in the so-
called “fourth industrial revolution”. And you know: revolution demands change.
(https://www.boltrics.com/en/) Branches
indicators logistics
Alright, you are convinced: you want to integrate data analyzes into your activities. That is a
good start. But what now? Boltrics has conducted extensive research among its customers in
the past. From this research, the 6 most important KPIs for logistics service providers came
forward (/en/2021/01/27/the-6-most-important-kpis-for-logistics-service-providers/). So,
you already know which key performance indicators are important. But how do you interpret
them and what are good values? In this blog I will go deeper into the first of the six KPIs: the
occupancy rate.
https://www.boltrics.com/en/2018/08/16/blog-occupancy-rate-one-of-the-most-important-kpis-in-logistics/ Page 2 of 11
Occupancy rate, one of the most important KPIs in logistics - Boltrics 24/11/22, 7:38 pm
efficient you work. But on the other hand, an occupancy rate that is too high means that your
warehouse may be too small for your business. So what is the ideal occupancy rate?
https://www.boltrics.com/en/2018/08/16/blog-occupancy-rate-one-of-the-most-important-kpis-in-logistics/ Page 3 of 11
Occupancy rate, one of the most important KPIs in logistics - Boltrics 24/11/22, 7:38 pm
So, the costs for a pallet place depend on the moment. The more capacity is in use, the
cheaper the places are for you. With this formula you can also calculate the minimum
occupancy needed to cover the costs; the breakeven point. From there you can determine to
which occupancy rate you can still work productively within your warehouse.
https://www.boltrics.com/en/2018/08/16/blog-occupancy-rate-one-of-the-most-important-kpis-in-logistics/ Page 4 of 11
Occupancy rate, one of the most important KPIs in logistics - Boltrics 24/11/22, 7:38 pm
Microsoft Power BI
With Microsoft Power BI (/en/2017/10/26/convince-your-boss-power-bi-is-the-best-for-your-
business/), you have a suite of analytic tools available that deliver insight throughout your
organization. Because Boltrics delivers the branch standard with 3PL and Nekovri Dynamics,
you do not have to do anything yourself to get the most important insights. In addition to the
occupancy rate, you will gain insight into the other most important KPIs for logistics service
providers (/en/knowledge/whitepapers/whitepaper-the-most-important-kpis-for-your-
logistics-business/) and this dataset will continuously be expanded. For example, until a few
months ago, only the turnover rate and the stock per period were available as a standard
dataset. In the meantime, insights in the margin per storage type and/or transport are easily
accessible.
Fourth industrial
(r)evolution
As I mentioned at the beginning of this blog: revolution demands change. Those who do not
(want to) change, do not participate anymore after a while. A tough pill to swallow, but a reality
that has been proven each time throughout the history. Adaptability and behavioral change
are of vital importance here. Invest in data analysis (/en/solutions/erp-
integrations/management-reports/), implement this with all your processes and you will see
that you will boost your efficiency.
Similar posts
https://www.boltrics.com/en/2018/08/16/blog-occupancy-rate-one-of-the-most-important-kpis-in-logistics/ Page 5 of 11
Occupancy rate, one of the most important KPIs in logistics - Boltrics 24/11/22, 7:38 pm
(https://www.boltrics.com/e
replacing-pop3-how-do-you
! 3min.
emails/)
reading time
Blogs, by Sytze
Talsma !
3min. reading
time
Replacing
POP3.
How do
you keep
receiving
emails?
More
information
https://www.boltrics.com/en/2018/08/16/blog-occupancy-rate-one-of-the-most-important-kpis-in-logistics/ Page 6 of 11
Occupancy rate, one of the most important KPIs in logistics - Boltrics 24/11/22, 7:38 pm
(https://www.boltri
analyze-errors-in-3
! 2min. reading
boltricsservice/)
time Blogs, How-to,
by Bas Goes ! 2min.
reading time
Analyze errors
in 3 steps with
the
BoltricsService
More information
https://www.boltrics.com/en/2018/08/16/blog-occupancy-rate-one-of-the-most-important-kpis-in-logistics/ Page 7 of 11
Occupancy rate, one of the most important KPIs in logistics - Boltrics 24/11/22, 7:38 pm
(https://www.boltrics.com/en/
how-to-3-tips-to-prepare-your
! 2min.
updates/)
reading
time
Blogs, How-
to, Updates,
by Tjerk Nap
! 2min.
reading
time
How to
– 3 tips
to
prepare
yourself
for
testing
updates
More
information
https://www.boltrics.com/en/2018/08/16/blog-occupancy-rate-one-of-the-most-important-kpis-in-logistics/ Page 8 of 11
Occupancy rate, one of the most important KPIs in logistics - Boltrics 24/11/22, 7:38 pm
Boltrics.
Always up-to-date.
Standard software for logistics service providers. Build with Microsoft technology. Go live
within three months.
https://www.boltrics.com/en/2018/08/16/blog-occupancy-rate-one-of-the-most-important-kpis-in-logistics/ Page 9 of 11
Occupancy rate, one of the most important KPIs in logistics - Boltrics 24/11/22, 7:38 pm
Branches Solutions
E-fulfillment Warehouse Management Software
(https://www.boltrics.com/en/branches/e- (https://www.boltrics.com/en/solutions/wms
fulfillment/) warehouse-management-software/)
Warehousing Transport Management Software
(https://www.boltrics.com/en/branches/warehousing-(https://www.boltrics.com/en/solutions/tms-
software/) transport-management-software/)
Software for cold storage logistics Freight Forwarding Software
(https://www.boltrics.com/en/branches/software- (https://www.boltrics.com/en/solutions/freig
cold-storage-logistics/) forwarding-software/)
Road freight ERP / Integrations
(https://www.boltrics.com/en/branches/road- (https://www.boltrics.com/en/solutions/erp-
freight/) integrations/)
Customs
(https://www.boltrics.com/en/branches/customs- About Boltrics
software/)
Our approach
Airfreight software (https://www.boltrics.com/en/our-approach/)
(https://www.boltrics.com/en/branches/airfreight-
Support
forwarding-software/)
(https://www.boltrics.com/en/support/)
Sea freight
Contact (https://www.boltrics.com/en/contac
(https://www.boltrics.com/en/branches/sea-freight-
forwarding-software/) Privacy (https://www.boltrics.com/en/privacy
cookies/)
Software for forwarders
(https://www.boltrics.com/en/branches/software-for-
forwarders/)
https://www.boltrics.com/en/2018/08/16/blog-occupancy-rate-one-of-the-most-important-kpis-in-logistics/ Page 10 of 11
Occupancy rate, one of the most important KPIs in logistics - Boltrics 24/11/22, 7:38 pm
Boltrics 6716 BP E
(https://www.boltrics.com/en/) Galileïlaan 23B Nederla
https://www.boltrics.com/en/2018/08/16/blog-occupancy-rate-one-of-the-most-important-kpis-in-logistics/ Page 11 of 11