Sales Order Line Availability Promise Accuracy

Sales promises 100 units next Friday, but 40 of those units are already reserved for another customer, and this measure checks whether each quantity-and-date commitment was supported by supply available to that order. Define the promise at the line level, with item, variant, quantity, location and delivery date, since a header date can hide one unavailable line, and use the supply state at the time of the customer commitment, because a stock receipt that arrives later does not prove the earlier promise was grounded.

Microsoft describes available-to-promise as inventory and planned receipts less known issues, while capable-to-promise can consider production capacity, and these are distinct planning methods. Check firm reservations and higher-priority demand, because on-hand stock that belongs to an existing order is not free for a new promise, and inspect quality holds and inspection status, since inventory physically in the warehouse can still be unavailable to ship.

For a future receipt, distinguish a supplier-confirmed date from a planning estimate, because an uncertain purchase order should not be described as guaranteed stock. If production must make the item, check material, equipment and capacity, as a simple inventory ATP field might not account for every manufacturing constraint, and for made-to-order goods tie the promise to a workable production plan rather than a stock field that correctly shows zero today.

Add picking, packing and transport time to translate ship availability into delivered availability, so that a warehouse-ready Friday item does not arrive next week, and for multi-site inventory confirm transfer lead time and ownership. If the product has lot or shelf-life restrictions, exclude stock that cannot serve this customer, since an aggregate unit count can be misleading.

For a partial promise, state quantity and dates clearly, because saying available Friday when only 60 of 100 units are ready creates a false expectation, and if a customer accepts substitution, link the approved alternate item and price rather than swapping a similar SKU unilaterally. When an order is revised, recalculate availability for the changed line and retain the original promise, and if several salespeople quote the same scarce stock, use a shared reservation process, since independent spreadsheets can double-promise it.

Apply the approved allocation rule consistently so the metric does not quietly favour the loudest requester. Distinguish accuracy of the initial promise from on-time fulfilment, since a well-supported commitment can still miss because of later disruption, and define the checkpoint at quote acceptance, order confirmation or revised promise.

Use a denominator of order lines with explicit quantity-and-date promises, excluding preliminary estimates labelled nonbinding under a clear rule, classify errors by stock reservation, wrong location, held inventory, supplier date, production capacity and transit assumption, and show affected order value and customers at risk alongside the percentage. If a promise is not supportable, offer feasible choices such as split delivery, later date or a qualified alternate, and use the measure to make trustworthy commitments rather than to discourage ambitious sales.