What is the service performance–i.e., percentage of invoices that are accurate for this quarter?
A computer manufacturer procures memory chips from its key supplier. The tool that the manufacturer uses to monitor the part supplier is a supplier scorecard. With respect to delivery performance, the primary performance metric monitored is the percentage of orders delivered complete and on-time. The manufacturer also monitors the supplier's service performance and measures the invoice accuracy rate (% of invoices that are accurate). The following measures are used for the scoring criteria:
Data collected on the supplied orders over the present quarter indicated that 350 orders were delivered and out of these 10 orders were incomplete, 5 orders were late and another 15 orders were incomplete and late. Also out the 350 invoices for the shipments delivered, there were errors on 50 invoices.
A) 55%
B) 78%
C) 86%
D) 92%
C) 86%
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