Percentage of procurement costs allocated to direct materials and services purchases
This measure calculates percentage of procurement costs allocated to direct materials and services purchases. Direct materials and services are procured items and activities used in the production process and are directly traceable to the product. Direct materials and services include raw materials and any additional services or costs necessary to convert raw materials to finished goods. This Supplemental Information measure is intended to help companies evaluate additional variables related to the process group "Procure materials and services".
Benchmark Data
25th | Median | 75th |
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Compute this Measure
Units for this measure are percent.
Percentage of procurement costs allocated to direct materials and services purchases
Key Terms
Supplemental Information
Supplemental information is data that APQC determines is relevant to decision support for a specific process, but does not fit into the other measure categories such as cost effectiveness, cycle time, or staff productivity.