Fill rate measures the magnitude or impact of stock outs over time. Being out of stock does not affect service performance until a customer demands a product. Then it is important to determine that the product is not available and how many units the customer wanted. While there are several approaches to measuring fill rates discussed in chapter 7 and 16, item fill rate is a common approach. For example, if a customer wants 100 units of an item and only 97 are available, the fill rate is 97 percent. To effectively consider fill rate, the typical