Top 7 KPIs Every Manufacturing Company Should Track in NetSuite

Are you managing production lines, warehouse logistics, or inventory at a manufacturing plant? You already know delays, stock mismatches, and missed orders do more than hurt. They eat into margin, erode customer trust, and slow down every stage of the operation.

As of early 2024, industrial manufacturers report an average of 800 hours of equipment downtime annually, which translates into massive productivity loss. To stay ahead, you need more than spreadsheets and post-mortem reports.

You need an ERP system designed for manufacturing. It must deliver live data on orders, inventory, and production while highlighting the metrics that drive output. This guide walks through how NetSuite for manufacturing and distribution helps plant managers stay in control.

We'll break down the seven KPIs that matter most and how to use them to drive better results on the floor.

Why NetSuite Is Built for Modern Industrial Manufacturing

Manufacturing companies operate under constant pressure to cut costs, meet deadlines, and deliver consistent quality. The production process spans complex workflows across inventory management, supply chain coordination, order fulfillment, and shop floor execution.

But without a real-time view into each moving part, even small delays or mismatches lead to costly setbacks. NetSuite’s ERP software solution was designed to fix that. For companies in industrial manufacturing, it provides a single cloud ERP platform that connects production, inventory, financials, CRM, and supply chain management.

Learn how industry-specific customization strengthens NetSuite for manufacturing workflows. NetSuite customization for manufacturers supports live visibility into every workflow, from order-to-cash to production schedules.

What NetSuite ERP Provides for Manufacturing Companies

NetSuite offers deep, role-based functionality that enables manufacturers to run leaner operations and make faster decisions with up-to-date information.

• Real-time inventory visibility to monitor stock levels, avoid stockouts, and optimize inventory across multi-location warehouses.
• Advanced manufacturing tools, like work orders, BOM tracking, and production schedules, are used to streamline workflows.
• Automated order management and fulfillment systems that reduce manual data entry and improve accuracy.
• Demand planning and forecasting that aligns production with actual customer demand.
• Integrated financials and analytics for actionable insights into costs, margins, and resource allocation.
• Quality management and inspection plans to maintain high standards throughout the production process.

Unlike legacy systems or generic ERPs, NetSuite integrates every stage of the manufacturing process in one seamless platform. It enables companies to automate key processes, eliminate data silos, and gain full visibility into operations.

A great company doesn't just ship on time. It builds systems that scale. With NetSuite manufacturing, you can optimize production, track performance, and meet customer expectations, without sacrificing margins.

Looking to turn NetSuite into a true manufacturing command center? Kimberlite Partners helps plant teams build KPI-driven dashboards, automate critical workflows, and configure ERP around the realities of your shop floor.

Common Challenges in Manufacturing and Distribution

Without a modern ERP, manufacturing companies struggle to maintain efficiency. Siloed systems, outdated processes, and a lack of real-time visibility slow everything from order processing to production. Here are four common breakdowns that hurt output and margin:

Fragmented Inventory Management

When inventory lives in disconnected spreadsheets across locations and warehouses, stockouts and overproduction become routine. There’s no global view of inventory, no way to enforce business rules, and no accurate insight into inventory levels.

Supply Chain Volatility

Manufacturers face constant disruptions across the supply chain, such as raw material delays, supplier inconsistency, and unpredictable demand. Without a system that aligns supply with demand, delays ripple through the entire production process.

Broken Production Planning

Inaccurate BOMs, outdated work orders, and rigid production schedules waste hours on the shop floor. Missteps here slow finished goods output, inflate WIP inventory, and kill throughput.

Weak Reporting and Visibility

If your team waits days for reports or chases KPIs across systems, you're operating blind. Lack of real-time data means missed trends, late corrections, and poor quality control.

NetSuite ERP addresses each of these issues with a single cloud platform that provides real-time inventory visibility, automated workflows, and built-in analytics to streamline supply chain management, order-to-cash processes, and quality oversight.

7 KPIs Every Manufacturing Company Should Track in NetSuite

The right KPIs give manufacturers a clear view into plant performance. Tracked within a cloud ERP like NetSuite, these metrics shift from static reports to actionable data. You can identify bottlenecks, automate responses, and improve output using real-time inventory visibility and embedded analytics.

Below are seven KPIs every high-performing industrial manufacturing team should monitor consistently:

1. Inventory Turnover Ratio

This shows how efficiently inventory moves through your system. A low turnover ratio usually means overstocking, excess storage costs, or slow-moving materials eating up space.

NetSuite gives plant teams a live view of inventory across all warehouse locations. With built-in forecasting tools and advanced inventory management, you can optimize reorder points and reduce carrying costs.

2. Order Fulfillment Rate

This tracks the percentage of customer orders delivered in full and on time. It reflects how well your order management, inventory, and production teams work together.

NetSuite supports intelligent order management with automation that enforces fulfillment rules, reduces manual input, and connects order-to-cash workflows in one system. The result is faster, more accurate delivery.

3. Production Downtime

Downtime drains productivity and disrupts schedules. This KPI measures how much time is lost due to machine issues, labor shortages, or delayed materials.

With NetSuite manufacturing, work orders, production schedules, and maintenance data are all in one place. Managers can monitor equipment status, trigger inspections, and prevent breakdowns before they escalate.

4. Supply Chain Management Cycle Time

This measures the time from placing a supplier order to receiving materials. Longer cycles delay production and increase the risk of stockouts.

NetSuite helps companies streamline this process by integrating vendor management, automating purchase orders, and aligning procurement with live inventory levels. This reduces lag and improves supply chain performance.

5. Perfect Order Management Rate

A perfect order arrives complete, undamaged, on time, and as requested. This KPI combines fulfillment accuracy, timing, and quality into a single performance metric.

NetSuite tracks every stage of the process, from assembly builds and pick accuracy to inspection results and customer feedback. Teams can catch errors early and reduce return volume.

6. Work-in-Progress (WIP) Value

Too much WIP ties up capital and space. This KPI measures the dollar value of unfinished goods on the floor and signals whether your production flow is healthy.

NetSuite’s ERP platform connects WIP tracking with live production data, bill of materials, and assembly workflows. Plant leads can view production progress, adjust capacity, and avoid overbuilding.

7. Return Rate / Defect Rate

High return or defect rates expose weaknesses in quality control, supplier consistency, or internal processes. This KPI helps identify problem areas before they spread.

NetSuite links inspection results, batch records, and supplier data to create a traceable quality loop. That visibility helps resolve issues faster and supports more consistent output.

These KPIs are not just numbers on a dashboard. They are operational levers. NetSuite ERP gives plant managers a real-time system to measure, respond, and scale with precision without relying on manual tracking or delayed reports.

How to Build a Real-Time KPI Dashboard in NetSuite

Data is only useful if it leads to action. NetSuite’s cloud ERP and SuiteAnalytics give plant managers the tools to create real-time dashboards without waiting on IT. These dashboards turn raw metrics into operational clarity.

With a clear view of production, inventory, and fulfillment, teams can track performance, catch issues early, and stay aligned with inventory rules and production schedules.

Steps to Build a Custom KPI Dashboard in NetSuite

1. Open the NetSuite home dashboard: This gives each user access to live metrics and built-in reporting tools.
2. Click “Personalize” and add KPI meters: Choose key metrics like inventory turnover, WIP value, perfect order rate, or return rate.
3. Apply filters to narrow visibility: Refine by warehouse, SKU, production line, or timeframe for targeted views.
4. Use saved searches and trend graphs: Spot performance changes, set threshold alerts, and export reports quickly.
5. Add report snapshots and SuiteApps: Pull data from order-to-cash workflows, shop floor logs, and inspection plans for one unified dashboard.

These dashboards are not static reports. They help plant leads take control using real-time inventory visibility, predictive analytics, and role-specific KPIs. Whether you are evaluating forecast accuracy or monitoring order promising rates, NetSuite provides the structure and speed required for industrial manufacturing.

Ready to Get More Out of NetSuite?

Manufacturing teams that track the right KPIs don’t wait for problems to appear. They forecast with accuracy, manage inventory with discipline, and ship orders without disruption. NetSuite’s ERP platform supports that work with built-in metrics, real-time visibility, and a single source of truth across operations.

From fulfillment performance to WIP tracking, visibility into every stage of production helps ops leads streamline output and improve supply chain management. The manufacturers gaining ground today are the ones using data to make fast, confident decisions.

If you're ready to implement NetSuite around the realities of your plant floor, explore Kimberlite’s NetSuite Implementation Services. We help manufacturing teams build KPI-driven systems that deliver visibility, control, and real results.