Consumers expect the products they want to buy to be on the physical or digital shelf - every time, without exception.

For CPG suppliers, that expectation translates directly into revenue impact: out-of-stock situations erode sales, reduce shopper loyalty, and strain retailer relationships.

Yet, while everyone agrees On-Shelf Availability (OSA) matters, few suppliers can confidently measure it - or assign clear ownership for improvement.

The complexity behind a simple expectation

At first glance, the goal seems straightforward: the right product, in the right place, at the right time.

In reality, rising product variety and omni-channel demand have fragmented inventory, creating blind spots across the supply chain. Lean inventory policies, driven by pressure to reduce working capital, leave little room for error.

Even minor missteps—late shipments, under-or-over forecasts, or products stuck in the backroom - can quickly cascade into out-of-stocks that shoppers notice immediately.

The measurement gap

Most suppliers have a clear and standardized way to measure delivery performance (OTIF). But when it comes to shelf performance (OSA), definitions and measurement methods vary widely.

• Some teams measure OSA using POS voids or zero sales; others rely on store audits or digital shelf crawls.
• Measurement frequency differs - weekly for some, monthly for others.
• Suppliers and retailers often rely on entirely different data sources, meaning both parties “see” the same shelf but report completely different results.

The outcome: a fragmented view of shelf performance, endless debates over accuracy, and no clear path to solving the problem. Responsibility for OSA at suppliers is often diffused across replenishment, demand planning, and retail execution teams - meaning everyone touches OSA, but no one owns it.

Why OSA accountability lags

We’ve observed three common factors across the suppliers we’ve partnered with that help explain why OSA often remains a blind spot:

1. Visibility challenges: OTIF is measurable at the shipment level, but OSA depends on in-store events - data that is often delayed, incomplete, or inconsistent.
2. Organizational silos: No connection exists between replenishment and in-store operations, yet OSA outcomes depend on both working in sync and executing effectively.
3. Misaligned incentives: Supply chain teams are measured on efficiency and service to the retailer, not on whether products are actually on the shelf. Sales teams focus on volume but often lack visibility into supply-side constraints. The result: OSA issues slip through the cracks.

Why measuring OSA correctly matters

When measured consistently, OSA becomes a powerful lever for joint value creation. Studies show that a 2% improvement in OSA can drive up to a 1% increase in sales, especially in high-velocity categories.

As suppliers are investing in their end-to-end customer supply chain - starting from the shelf and working backward - a standardized approach to measuring, reporting, and managing OSA is becoming a critical enabler of success. After all, OSA is one of the few metrics that directly links supply chain execution to the consumer experience.

Suppliers may be at different points on this journey, but as a supply chain leader, you can start by asking yourself:

• Do we have a clear, credible measure of OSA performance?
• Do we have a single owner (e.g, retail operations/execution team) accountable for improving OSA?
• Are we using OSA data to drive regular, collaborative conversations with retailer counterparts? If no, why not?
• What steps could we take to align on a shared OSA definition and performance target with key retailers?

Building this alignment takes effort - but the payoff is significant. A common view of OSA lays the foundation for faster problem-solving, more productive customer collaboration, and a better shopping experience for consumers.

Because in supply chain performance, getting the product to the shelf is only half the story. Ensuring it stays there - visible, available, and ready for purchase—is where true supply chain excellence begins.