lead time


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lead time

1. Manufacturing the time between the design of a product and its production
2. Commerce the time from the placing of an order to the delivery of the goods

lead time

[′lēd ‚tīm]
(industrial engineering)
The time allowed or required to initiate and develop a piece of equipment that must be ready for use at a given time.
References in periodicals archive ?
NSK has a dedicated digital drawing creation system along with a dedicated line for high-mix, low-volume production to achieve shorter lead times for made-to-order ball screws.
For example, researchers have shown that linking lead times between various production systems can lead to reduced variability in the total lead time of the system.
Ould-Louly and Dolgui [10] utilized Markovian's model for a dynamic multiperiod planning and one-level assembly system with the aim of finding safety lead time, such as to minimize the sum of holding and backlogging costs.
An analysis of the lead time indicates that only approximately 11%-17% of the total lead time is consumed by value-added activity--manufacturing.
Lead times are understood and resources are committed based on these lead times.
DeHoff sees a number of organizational "holes" in the practices of both mold builders and their customers that create unnecessarily long lead times.
The material cost is not included since the availability of a component is not directly dependent on cost and hence should not have any conceptual relationship to lead time.
Competing on lead time alone requires the other dimensions to improve but not sufficiently enough for lead time to sustain a competitive advantage.
Overall, the casting conversion resulted in a 50% reduction in lead time in a 15-20% reduction in cost while meeting the structural requirements.
The three types discussed by New[3] in an MRP context are physical safety stock, safety lead time and hedging.
While the GE/H-P benchmark study defined lead time in terms of manufacturing time, don't forget that getting the mold from there to here can add time, too.
If a firm competes on quality and lead time, then it should be evaluated in terms of its ability to deliver quality products in a timely fashion.