In modern ERP systems like Infor SyteLine (CloudSuite Industrial) and Acumatica Cloud ERP, inventory KPIs provide real-time visibility across purchasing, production, and fulfillment. They transform raw data into actionable insight, helping leadership make decisions based on facts, not estimates.
At WM Synergy, we help manufacturers identify and track the KPIs that truly reflect operational performance and financial health.
Why Inventory KPIs Matter
Inventory performance directly affects cash flow, delivery times, and profitability. Without measurable indicators, it’s impossible to identify bottlenecks or improvement opportunities.
The right KPIs help manufacturers:
- Maintain optimal stock levels and avoid shortages.
- Improve production scheduling and material flow.
- Reduce carrying costs and waste.
- Strengthen supplier and customer satisfaction.
- Align operational performance with financial goals.
The Best Inventory KPIs to Track
Below are the core metrics every manufacturer should monitor through their ERP dashboard.
1. Inventory Turnover Ratio
Measures how often inventory is sold or used in a given period.
Formula: Cost of Goods Sold ÷ Average Inventory
Purpose: Indicates how efficiently materials are managed and replenished.
In Infor SyteLine or Acumatica, turnover ratios can be tracked automatically across product categories or warehouses.
2. Days of Inventory on Hand (DOH)
Represents how many days current inventory will last based on usage or sales rates.
Formula: (Average Inventory ÷ Cost of Goods Sold) × 365
Purpose: Helps balance supply and demand while minimizing overstocking.
3. Stock Accuracy Rate
Compares physical counts to ERP records.
Formula: (Accurate Items ÷ Total Items Counted) × 100
Purpose: Ensures trust in ERP data and supports audit readiness.
Both Infor and Acumatica offer automated reconciliation tools and cycle counting reports to help maintain accuracy.
4. Carrying Cost Percentage
Shows the total cost of holding inventory as a percentage of its value.
Formula: Total Carrying Costs ÷ Average Inventory Value × 100
Purpose: Reveals the financial burden of excess inventory, including storage, insurance, and obsolescence.
5. Order Fill Rate
Measures how many customer orders are fulfilled on the first shipment.
Formula: (Orders Fulfilled Completely ÷ Total Orders) × 100
Purpose: Reflects efficiency, customer satisfaction, and supply chain reliability.
6. Backorder Rate
Indicates how often orders cannot be fulfilled immediately.
Formula: (Backordered Items ÷ Total Ordered Items) × 100
Purpose: Helps evaluate demand planning and supplier performance.
7. Inventory Carrying Value by Category
Analyzes where working capital is tied up. ERP dashboards in Infor SyteLine and Acumatica visualize inventory value by item group, allowing data-driven reduction strategies.
8. Gross Margin Return on Inventory (GMROI)
Shows how much profit a company earns for every dollar invested in inventory.
Formula: Gross Margin ÷ Average Inventory Value
Purpose: Balances cost efficiency with sales performance.
How ERP Systems Simplify KPI Tracking
ERP systems like Infor SyteLine and Acumatica Cloud ERP provide the data structure and automation necessary for continuous KPI monitoring.
- Infor SyteLine: Delivers built-in analytics for turnover, order accuracy, and production efficiency, helping manufacturers spot issues early.
- Acumatica Cloud ERP: Offers cloud dashboards with customizable widgets that update in real time, giving teams full visibility from any location.
At WM Synergy, we configure these systems to surface the most meaningful KPIs for each manufacturer’s processes, ensuring insights are both accessible and actionable.
Benefits of Tracking the Right Inventory KPIs
Manufacturers who actively monitor and respond to ERP-based KPIs see measurable benefits, including:
- Reduced working capital requirements through leaner inventory.
- Higher on-time delivery rates through better visibility.
- Improved forecast accuracy with historical trend data.
- Enhanced profitability by aligning operations with demand.
- Continuous improvement culture supported by real-time metrics.
How WM Synergy Helps Manufacturers Track Inventory KPIs
With over 35 years of ERP and manufacturing experience, WM Synergy helps businesses move from reactive tracking to proactive management.
Our team works with clients to:
- Define relevant KPIs aligned with operational goals.
- Configure ERP dashboards and reporting in Infor or Acumatica.
- Train teams to interpret and act on data effectively.
- Automate report distribution for leadership visibility.
- Continuously refine KPI targets based on performance trends.
By making KPIs part of everyday decision-making, we help manufacturers achieve greater control and long-term efficiency.
The best inventory KPIs to track depend on your goals, but every manufacturer benefits from accurate, real-time visibility into how materials move through the business.
With ERP solutions like Infor SyteLine and Acumatica Cloud ERP, and the expertise of WM Synergy, manufacturers can transform KPI tracking from a static report into a dynamic performance tool.
At WM Synergy, we help manufacturers focus on what truly drives results, using ERP insights to measure, improve, and sustain operational excellence.