KPIs will depend on your specific business model: manufacturer, distributor, or retailer of medical equipment and supplies.

Sales and Growth KPIs

• Total Revenue: Total sales generated during a specific period. This is your top-line sales metric.
• Sales Growth: Increase in revenue over time. Are your sales expanding or contracting?
• Average Order Value (AOV): Average amount spent per customer order. Increasing AOV drives more revenue.
• Customer Lifetime Value (CLV): Projected total revenue a customer generates over their relationship with your business.
• New Customer Acquisition: Number of new customers acquired during a given period. Helps track growth.

Customer-Focused KPIs

• Customer Satisfaction Surveys (CSAT): Measure satisfaction with product quality, pricing, availability, ordering process, customer service, etc.
• Net Promoter Score (NPS): Tracks the likelihood of a customer recommending your products and services. Indicates customer loyalty.
• Repeat Customers: Percentage of customers who make multiple purchases. Builds a loyal customer base and repeat sales.
• Backorder Rate: Percentage of orders that cannot be fulfilled immediately due to insufficient stock. Lower is better to avoid frustrating customers.

Inventory & Supply Chain KPIs

• Inventory Turnover Ratio: How frequently inventory is sold and replenished over a period. High turnover often indicates healthy demand and efficient management.
• Days Inventory Outstanding (DIO): Average number of days inventory is held before being sold. Shorter DIO indicates better cash flow.
• Stockouts: Instances where demand cannot be met due to a lack of product availability. Lost sales and frustrated customers.
• On-Time Delivery (OTD): Percentage of orders shipped and delivered on schedule. Reliability is vital for medical customers.
• Expired Inventory: Track the amount of inventory that expires before it can be sold, often a critical issue for medical supplies.

Financial KPIs

• Gross Profit Margin: Percentage of revenue remaining after direct costs of goods sold (COGS) are accounted for.
• Net Profit Margin: Percentage of revenue remaining after all expenses are accounted for. Measures overall profitability.
• Days Sales Outstanding (DSO): Average time it takes to collect payment from customers. Lower DSO improves cash flow.
• Cost of Goods Sold (COGS): Direct costs associated with the medical supplies you sell. Managing COGS is key to profitability.

Product-Focused KPIs

• Sales by Product Category: Track sales for different medical supply categories (disposables, durable equipment, etc.). Helps you optimize inventory and promotions.
• Product Margins: Analyze profit margins for different product lines.

Additional Considerations

• Regulatory Compliance: Ensure you adhere to all industry regulations regarding product safety, quality, and record-keeping.
• Reimbursement KPIs: If you work with healthcare providers, track reimbursement rates and billing accuracy for insurance claims. Affects cash flow.