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 ?
In the first theorem, the lead time of the provider being greater than that of the customer requires inventory and, consequently, an enormous cost infrastructure to support the inability of the provider's lead time to equal that of the customer.
Postponement of Resource Commitments based on Lead Times
According to DeHoff, a former mold buyer, companies can use a variety of approaches to reduce lead times, in past years, he says, it was common to see "absurd" lead times of over 25 weeks between purchase-order placement and delivery.
Its major flaw is that it only considers a part's current on-hand inventory, without incorporating future part deliveries or taking the part's lead time into account.
Given the successful results from the pilot implementation, O-I has selected Lead Time Technology to expand the implementation of its tools and Lean Six Sigma process improvement services to the remaining O-I North American segments.
Improve price and reduce lead time, and value improves as perceived by the customer.
The casting could not deviate from the original overall weight, the structural properties had to meet strict government guidelines, and the lead time had to be reduced.
Founded in 1998, Lead Time Technology is a market leading provider of process consulting and decision support tools to integrate daily operations planning, scheduling, and inventory optimization across the supply chain.
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.
Orders Double While Customers Achieve 45% to 66% Reductions in Inventory and Up to 85% Shorter Supplier Lead Times
It reads: "The concept of backlog presupposes a throughput-driven schedule where jobs are placed into production to maximize an outdated notion of manufacturing efficiency rather than to ensure the modern business imperative of customer satisfaction through on-time delivery and short lead times.
Without PSA screening, for example, a man might be diagnosed with prostate cancer at age 68, but with screening doctors might catch the cancer at age 64, creating a lead time of four years.