Management of the yard is, for any company, one of the trickiest areas of its logistics and supply chain. Companies struggle to know where to start and, more importantly, how to maintain good yard performance. A well-organized yard keeps operations running smoothly, reduces delays, and improves efficiency. However, how can you tell if your yard is working optimally?
Like other parts of the supply chain, Key Performance Indicators (KPIs) for the yard step are helpful measures. Specific KPIs allow businesses to measure and optimize yard operations to maximize resource utilization and lower costs.
This article will discuss 10 key yard management KPIs that every business should track for efficiency and performance.
This KPI measures the time a trailer spends in your yard from entry to exit. The faster a trailer moves in and out, the more efficiently your yard operates. Longer TATs indicate bottlenecks in loading, unloading, or yard congestion. A high turnaround time can lead to increased detention charges, reduced asset utilization, and poor carrier relationships.
Formula: Trailer Turnaround Time = (Total Time for All Trailers) / (Number of Trailers Processed)
This KPI tracks how much of your yard's available space is in use at any given time. A high space utilization focus prevents congestion and improves operations and flow. If capacity is mismanaged, the yard can become overcrowded, leading to high costs due to inefficiencies and safety risks.
Formula: Yard Capacity Utilization (%) = (Occupied Yard Spaces / Total Available Yard Spaces) × 100
Dock utilization rates measure how efficiently your dock doors are used relative to their availability. Docks that are not utilized show inefficiencies in some areas of the yard. However, constant overuse of docks can also lead to delays and congestion. Balanced dock use maintains a continuous loading and unloading activity, minimizing idle time and increasing throughput.
Formula: Dock Utilization Rate (%) = (Time Docks are in Use / Total Available Dock Time) × 100
Shunter Productivity tracks the number of trailer moves a yard truck driver (shunter) completes within a shift. A higher number of moves per shift indicates a well-optimized yard, reducing delays and increasing overall efficiency.
Formula: Shunter Productivity = Total Trailer Moves / Total Shunter Hours Worked
Measures the average time a truck takes to pass through the gate, including check-in and check-out. Slow gate processing can cause congestion, delay deliveries, and reduce yard efficiency.
Formula: Gate Throughput Time = (Total Time for All Trucks) / (Number of Trucks Processed)
The length of time a trailer remains idle in the yard before being unloaded or reloaded. Excessive dwell time leads to congestion, missed delivery windows, and inefficiencies.
Formula: Trailer Dwell Time = (Total Time Trailers Remain Idle) / (Total Number of Trailers)
Measures the percentage of shipments loaded correctly without errors. Incorrect loads lead to delivery delays, customer dissatisfaction, and extra costs due to rework and claims.
Formula: Load Accuracy Rate (%) = (Correct Shipments / Total Shipments) × 100
Tracks fuel consumption and resource utilization for yard trucks and equipment. Unnecessary fuel consumption increases costs and environmental impact while reducing overall operational efficiency.
Formula: Fuel Efficiency = Total Distance Covered / Total Fuel Consumed
Measures the number of safety incidents or near-misses occurring in the yard. A high incident rate indicates safety hazards that need immediate attention, impacting productivity and compliance.
Formula: Incident Rate = (Total Incidents / Total Working Hours) × 1,000,000
Tracks how well carriers stick to their scheduled appointment times.
Late or early arrivals disrupt planned schedules, lead to inefficiencies, and increase detention costs.
Formula: Appointment Adherence Rate (%) = (On-Time Arrivals / Total Scheduled Appointments) × 100
Businesses looking to improve the effectiveness of their processes and reduce costs should track and analyze these yard management KPIs. Monitoring these KPIs can help companies proactively solve bottlenecks, simplify workflows, and increase visibility over time.
Using a yard Management System (YMS) can help businesses automate Yard data collection, get real-time data, and develop data-driven strategies to improve efficiency.
Want to improve your yard performance? Contact C3 Solutions today to discover how our solutions can transform your operations.