Explain about the term lead time, Business Management

Assignment Help:

Explain about the term Lead Time.

Lead Time:

It is the time which takes the stock to reach through Re-order point to minimum stock level. This may be also described as the time which elapses between the voicing of a requirement for anything and the time taken to satisfy the requirement. When one order is placed today and after 40 days this is fulfilled, in that case 40 days period is the lead time. Therefore, it demonstrates that order must be placed 40 days previous. Lead time finds out the amount of material to be maintained in reserve. When the lead time reduces, the reserve stock also reduces and vice-versa. Hence, the lead time analysis is very essential and the attempt must be made to decrease this period.


Related Discussions:- Explain about the term lead time

Preparing for a sales meeting, Preparing for a Sales Meeting: People w...

Preparing for a Sales Meeting: People who attend sales meetings, or any business meeting for that matter; have taken out time from their busy schedules to participate. They ar

Discuss the role virtualisation, A) In 1999 a computer failure a t a US cho...

A) In 1999 a computer failure a t a US chocolate-manufacturing company prevented it from shipping Halloween products costing the company a drop of 19% in its third-quarter net inco

#n4, Seal and ali want to for a loan from fnb bank to help the grow thir bu...

Seal and ali want to for a loan from fnb bank to help the grow thir business. They have come to you to assist them to draw up a business plan. They have asked you to be their busin

Necessity of permitting workers to participate in management, What is the o...

What is the objective or necessity of permitting workers to participate in management? The objective or the necessity of allowing workers to participate within management can b

Qestion, How will you inform your managers and supervisors about budgets, r...

How will you inform your managers and supervisors about budgets, reporting requirements and financial delegations? I just want to know

Elaborate on the social responsibilities of business, QUESTION 1 Democr...

QUESTION 1 Democracy on its own does not generate good governance unless it is liberal and consolidated. Discuss QUESTION 2 (a) Describe the relationship between the gr

Assigment, How will you influence people to strive willingly for group obje...

How will you influence people to strive willingly for group objectives in your organization (target bases industry)? apply your interpesonal influence throught communication proces

Briefly describe the main sources of organizational conflict, Question: ...

Question: "Conflict, then can be regarded as a reality of management and organizational behavior and can be related to power and politics... yet conflict is another term which

GE matrix components, What are the characteristics of each component of the...

What are the characteristics of each component of the GE matrix?

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd