In supply chain management, the level of service is not only measured by the delivery of goods, but also by the strict fulfillment of commitments made to the customer. In this context, the OTIF (On Time In Full) indicator has established itself as one of the key metrics for assessing the real reliability of a logistics operation, especially in B2B environments and international operations.
OTIF combines two critical dimensions of logistics service: on-time delivery and order completeness. A shipment is only considered compliant when it arrives within the agreed deadline and with the totality of the committed goods, with no shortages or relevant deviations. This double condition makes the OTIF a more demanding KPI than other traditional indicators and, at the same time, a particularly useful tool for identifying operational failures with a direct impact on costs, planning and customer relations.
In international logistics operations, where different modes of transport, customs processes and multiple actors are involved, the OTIF becomes even more relevant. Delays in transit, documentary incidences or coordination problems can affect service fulfillment, even when each link works apparently correctly individually.
This article analyzes what exactly the OTIF is, how it is correctly calculated, why it is a critical indicator in international logistics and what are the main causes that affect its performance, with a technical and operational approach aimed at logistics, operations and supply chain managers.
What is OTIF in logistics
OTIF (On Time In Full) is a service level indicator that measures the percentage of orders delivered within the agreed deadline and with the totality of the committed goods.
The key to the OTIF is its joint condition: an order is only considered compliant if it meets both the On Time and In Full criteria.
From an operational point of view, the OTIF does not allow for offsets:
⏱️ An order delivered on time but incomplete is not an OTIF.
📦 An order completed but delivered after the deadline is not OTIF
✅ Only orders that meet both conditions are counted positively.
This logic makes the OTIF a demanding KPI, especially useful for assessing the actual reliability of a logistics operation.
What exactly does the OTIF indicator measure?
The OTIF measures the degree of compliance with the logistics commitment agreed with the customer, not the effort made or the cause of a deviation. Specifically, it makes it possible to evaluate:
📦 Fulfillment of the order according to agreed quantities and references.
⏱️ Fulfillment of contractually or operationally defined deadlines
🔗 End-to-end logistics process consistency.
Unlike partial metrics, the OTIF reflects the final result perceived by the customer. As such, it is commonly used as a benchmark in B2B environments, continuous supply contracts and operations where reliability is critical to the customer’s planning.
Difference between OTIF and other logistics KPIs (OTD, Fill Rate)
One of the most common mistakes is to confuse the OTIF with other related but conceptually different indicators:
⏱️ OTD (On Time Delivery): Measures only whether delivery is on time, regardless of whether the order arrives complete.
📦 Fill Rate: Measures the percentage of units or lines served with respect to those ordered, without considering the delivery time.
📊 OTIF: Integrates both criteria and evaluates the service together, aligning better with the actual customer experience.
📌 From a management perspective, this implies that:
-A high OTD does not guarantee a good OTIF.
-A high Fill Rate does not imply compliance with the service if there are delays.
-The OTIF is usually lower, but also more representative.
How the OTIF is calculated
The OTIF calculation is based on a strict logic of joint compliance. An order is only considered compliant when it simultaneously meets the On Time and In Full criteria.
Basic formula
OTIF (%) = (Number of orders delivered on time and complete / Total orders evaluated) × 100
Key aspects of this formula:
⏱️ If the order arrives after the agreed deadline, it does not count as OTIF, even if it is complete.
📦 If the order arrives incomplete, it does not compute as OTIF, even if it arrives on time.
✅ There is no trade-off between timeliness and completeness.
This approach makes the OTIF a more demanding indicator than other service KPIs and, precisely for this reason, more representative of the actual level of operational compliance.
What is considered “On Time” and “In Full” in real operations?
For the OTIF calculation to be rigorous and comparable, it is essential to explicitly define both criteria.
⏱️ On Time: “On time” is considered to be a delivery within the delivery window committed to the customer. In actual operations, this commitment may be based on:
-Delivery date confirmed.
-Time window or time slot agreed upon.
-Downloading appointment at the customer’s facilities.
📌 Best practices:
-Define whether timeliness is measured by date or by time.
-Establish which is the valid delivery event (POD, confirmed receipt, dock scanning).
-Clarify how reprogramming requested by the client is handled.
📦 In Full: An order is considered “complete” when the totality of the committed goods is delivered, as agreed:
-Correct quantities.
-Correct references.
-No unauthorized partial deliveries.
📌 In B2B transactions, it is usual that:
-Partial deliveries penalize the OTIF.
-Substitutions are only accepted if previously validated.
-Damages or rejections are considered non-compliance with the “In Full”.
-Practical example of OTIF calculation in a logistics operation
Let’s assume an international B2B logistics operation measured at the order level over a given period:
📦 Period data
-Total orders evaluated: 50
-Orders delivered on time and complete: 43
-On-time but incomplete orders: 4
-Orders complete but not on time: 3
📊 Calculation
OTIF = (43 / 50) × 100 = 86%.
📌 Although 47 orders arrived on time and 46 complete, only 43 met both conditions, which is exactly what OTIF measures.
Impact of the OTIF on the global supply chain
At international logistics the OTIF acts as a synthetic indicator of end-to-end reliability. Unlike domestic operations, this involves multiple milestones (origin, main transport, transshipment, customs, final distribution) and actors with shared responsibilities.
A low OTIF usually reveals misalignments between planning and execution in some of these sections.
Direct operational impacts of a low OTIF:
⏱️ Mismatches in actual versus committed lead times.
🔄 Chain reprogramming (production, cross-dock, distribution).
📉 Loss of stability in multimodal flows and unloading windows.
💸 Increased costs due to emergencies, unforeseen storage and reshipments.
In this context, the OTIF does not measure an isolated event, but the consistency of the overall logistics system.
Relationship between OTIF, service level and customer satisfaction
In international B2B environments, the customer plans its operations (production, inventory, distribution) based on committed dates and quantities, not intentions. The OTIF connects directly to this expectation because it evaluates the exact fulfillment of the agreement.
Cause-effect relationship:
⏱️ Failure to meet deadlines → line stoppages, stock-outs or penalties.
📦 Quantity non-compliances → rework, emergency orders or cost overruns.
📊 Consistent OTIF → operational confidence and reduced contractual friction.
For this reason, many organizations use OTIF as a benchmark metric in SLAs and supplier scorecards, especially when supply is critical or recurring.
OTIF as an indicator of operational reliability
The differential value of the OTIF in international logistics is that it cannot be easily “made up”: it requires that planning, documentation, transportation and coordination work in alignment.
What makes it possible to evaluate the OTIF at the operational level:
🔗 Quality of coordination between actors (shipper, operator, freight forwarder, carrier).
📄 Robustness of documentary and customs processes.
🚚 Real capacity to meet commitments in variability scenarios.
In practice, a stable and defensible OTIF is a sign of:
– Realistic promises.
– Controlled processes.
– Capacity to anticipate incidents.
Therefore, in complex international operations, OTIF is used not only as a service KPI, but also as an indicator of logistics maturity.
Main causes of low OTIF in international operations
Delays in international transportation (sea, air and land)
In international operations, the On Time component of the OTIF is often affected by incidents in the main transport and in the connecting sections. The inherent variability of international flows increases the risk of deviations from the committed deadline.
Common causes related to transportation:
🚢 Port congestion and lack of berthing or unloading windows.
✈️ Air capacity limitations, flight changes or cargo prioritization.
🚚 Mismatches in pre-carriage and on-carriage ground transportation.
🔄 Poorly synchronized transshipments and mode changes in multimodal operations.
These incidents have a direct impact on the delivery time, even when the order is correctly prepared.
Documentary and customs incidents
The customs management is one of the most critical OTIF factors in international logistics. An order can be ready and in transit, but be blocked by documentary errors or regulatory controls.
Most frequent incidents:
📄 Incomplete or inconsistent documentation (invoice, packing list, BL/AWB).
⚖️ Errors in tariff classification or declared value.
🛑 Physical inspections, security checks or administrative holds.
⏳ Delays in dispatches due to lack of prior information or late validations.
These situations affect both On Time and, in some cases, In Full, if they generate re-shipments, damages or partial deliveries.
Problems of planning, stock or coordination among stakeholders
A structural cause of low OTIF is the misalignment between planning and execution, especially when multiple stakeholders with partial information are involved.
Recurring factors:
📊 Unrealistic demand planning or no contingency margin.
📦 Lack of available stock at origin or errors in ATP reservations.
🔗 Poor coordination between supplier, logistics operator, freight forwarder and customer.
⏱️ Late changes in dates, quantities or operating instructions.
📌 In international logistics, a small deviation not communicated in time can be amplified along the chain and end in a complete non-compliance of the order.
Best practices to improve OTIF in international logistics
End-to-end planning and visibility
Improving the OTIF starts with realistic operational promises and planning aligned with the actual execution of the international chain. In this context, visibility is not only tracking, but also the ability to anticipate.
Key practices:
⏱️ Define committed lead times based on historical and actual variability by lane and mode.
🔍 Establish clear operational milestones (departure, transshipment, dispatch, delivery) with assigned responsibilities.
📊 Use operational data to detect early deviations and replan before non-compliance.
Planning without visibility turns the OTIF into a random result; with visibility, it becomes a manageable KPI.
Coordination between suppliers, freight forwarders and customers
In international logistics, the OTIF depends on effective coordination between multiple players. Lack of alignment in a single link can invalidate the fulfillment of the entire order.
Good coordination practices:
🔗 Align committed dates and windows between supplier, operator and customer.
📄 Share documentary information sufficiently in advance to avoid blockages.
📞 Define communication channels and protocols for incidents (who decides, when and how).
📌 When each actor optimizes only its section, the overall OTIF suffers; when the whole is coordinated, reliability increases.
Proactive management of incidents and deviations
Not all incidents are avoidable, but it is possible to reduce their impact on the OTIF through proactive management.
Recommended approach:
🚨 Activate early alerts in case of delays, missing or blocked documents.
🧩 Implement defined contingency plans (route changes, prioritization, window adjustments).
📈 Analyze recurring incidents to correct structural causes, not just the symptom.
OTIF and the role of the international logistics partner
In international logistics, the OTIF depends less on the optimization of a particular leg and more on the coherent coordination of the entire operation. An international logistics partner acts as an orchestrator between modes of transport, customs processes and distribution operations, ensuring that time and quantity commitments are realistic and achievable.
Key contributions from a coordinating partner:
🔗 Alignment of operational promises between origin, transit and destination.
⏱️ Synchronization of milestones to avoid mismatches between sections.
📊 Integrated information management to reduce friction and delays.
This end-to-end coordination is critical to sustaining consistent OTIF levels in complex environments.
Integrated transportation, customs and distribution management
OTIF reliability is built when transportation, customs and distribution operate under a common planning and control framework. Integration avoids operational silos and reduces the risk of incidents that directly impact order fulfillment.
Integrated approach:
🚚 Selection of transport mode and lane based on service commitment.
⚖️ Documentary anticipation and regulatory compliance to minimize customs blockages.
📦 Coordination with warehouses and final distribution to respect delivery windows.
An integrated approach transforms the variability inherent in international logistics into managed risk, not non-compliance.
Across Logistics as a logistics partner with a focus on operational reliability
At Across Logistics we act as an international 3PL logistics partner, accompanying our customers in the integrated management of their transport, customs and global logistics operations. Our approach is based on end-to-end supply chain coordination, with a practical, operational and reliability-oriented vision.
We operate maritime, air and multimodal transportation, combining international coverage with local knowledge, and relying on processes designed to reduce friction, anticipate incidents and meet operational commitments.
Our proposal is based on recognized credentials and standards:
⚖️ AEO (Authorized Economic Operator), which reinforces customs security and agility.
📄 ISO 9001, as a quality management framework.
✈️ IATA, for air cargo operations.
🌡️ GDP, for logistics linked to the pharmaceutical sector.
From this position, we work as a trusted logistics partner, helping our customers to manage the complexity of international logistics with control, consistency and a clear focus on service level.
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