Why DIFOT Has Become a Defining Measure of Supply Chain Stability

When a delivery arrives late or incomplete, the impact is felt far beyond the transport team. Customer service, warehousing, sales, procurement, and finance all absorb the consequences. This is why Delivered In Full, On Time (DIFOT) has become one of the most important freight performance measures in 2025. It reflects not only delivery outcomes but the overall reliability of the supply chain.

What Is DIFOT?

DIFOT measures whether a shipment is delivered in full and delivered on time in accordance with the agreed service level. It brings together two essential aspects of transport performance:

In Full
All items, cartons, or pallets arrive complete and in the expected condition.

On Time
Delivery occurs within the carrier’s published transit window or within the timeframe agreed between parties. For many organisations, DIFOT acts as a clear indicator of freight reliability and customer confidence.

Why DIFOT Matters in 2025

DIFOT has always been important, but several changes in the Australian logistics landscape have increased its relevance.

Key Shifts in the Australian Logistics Environment

Growing congestion in metropolitan areas
Cities such as Melbourne, Sydney, and Brisbane continue to experience heavier traffic, restricted access windows, and ongoing construction impacts. These conditions extend transit times and increase the likelihood of delays.

Carrier capacity pressure
National carriers manage fluctuating volumes throughout the year. Promotional peaks and seasonal surges place additional strain on networks, which can influence delivery performance across both metro and regional areas.

Challenges in regional and remote networks
Long distances, limited infrastructure, and weather-related disruptions all influence DIFOT results outside capital cities. Many regional lanes operate with fewer carriers and reduced frequency, making consistency more challenging to maintain.

Labour market constraints
Driver shortages and warehouse staffing pressures have affected the entire logistics sector. These factors influence pickup reliability, linehaul capacity, and the overall predictability of freight movements.

Fuel price volatility
Fluctuating fuel costs continue to impact carrier operations and routing decisions. Transit schedules may adjust in response, which can influence expected delivery windows.

Higher customer expectations
Customers expect fewer delivery disruptions and better communication. A decline in DIFOT quickly translates into increased customer service demand and operational pressure.

These shifts have created an environment where DIFOT is harder to achieve, yet more critical for monitoring supply chain stability.

What Influences DIFOT Performance?

DIFOT is often viewed as a direct measure of carrier performance, but internal processes also play a significant role.

Accuracy of freight data
Incorrect weights, dimensions, or service selections can cause re-routing, manual handling, or delayed processing.

Pickup readiness
Freight that is not prepared on time can impact subsequent linehaul connections and overall transit performance.

Packaging and labelling quality
Clear labels, correct addresses, and suitable packaging reduce the risk of returns or delays due to damage.

Carrier suitability
Different carriers perform differently by freight type, lane, and location. The proper selection for each movement has a measurable effect on DIFOT.

Volume fluctuations
Unplanned increases in volume, especially during seasonal peaks, can affect the consistency of carrier performance. Understanding these contributors helps businesses address root causes rather than relying solely on aggregated performance results.

How Businesses Can Improve DIFOT

Improving DIFOT requires consistent processes, early issue detection, and effective collaboration with carriers. Useful actions include:

• analysing lane-level performance rather than relying on national averages
• standardising dispatch workflows across all sites
• monitoring scan completeness and exception alerts to detect issues early
• maintaining accurate weights, dimensions, and product descriptions
• planning for peak periods and adjusting expectations accordingly
• holding structured performance reviews with carriers

These improvements support consistent outcomes and contribute to a more stable supply chain.

Common Challenges with DIFOT Reporting

Even though DIFOT is widely used, its measurement is not always consistent. Common challenges include:

• incomplete or missing scan events
• differences in how carriers classify delivery exceptions, including what they consider late
• inconsistent reporting formats and data quality across carriers
• internal delays that influence outcomes but are not visible in carrier data

Using a standardised measurement method across all carriers helps reduce confusion and provides a reliable baseline for improvement.

Why DIFOT Will Remain a Key Metric

As supply chains become more complex and customer expectations continue to rise, DIFOT will remain a central measure of logistics performance. It provides clarity around delivery reliability, supports better planning decisions, and helps identify issues before they escalate.

Strong DIFOT performance ultimately supports predictable operations and a more resilient supply chain; factors which are essential for businesses that rely on the consistent, timely movement of goods.