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

Business and cultural environments, a) Illustrate that a range of methods a...

a) Illustrate that a range of methods and techniques have been applied in demonstration of Way the market forces shape organisational forces        b) Judge how the business and c

Analyze and discuss the suitable resource management, Waste generation is p...

Waste generation is probably the most visible effect that the hotel industry has on the environment. A typical hotel guest is estimated to produce at least 1 kg of waste per day (C

Implications of risks in conducting international trade, Question 1: (a...

Question 1: (a) Discuss the importance and implications of "Risks" in conducting International Trade. (b) What are 2 of the most prominent organisations involved in world tr

Explain the basel ii framework and its three pillars, Question 1 In today'...

Question 1 In today's changing world, every bank must identify risks and manage them effectively to maintain cash flow and profitability of banks. They need to follow a suitable r

Total quality management, Describe the key aspects of a programme to implem...

Describe the key aspects of a programme to implement Total Quality Management (TQM) within a manufacturing organisation. Clarify the meaning of quality in respect of the produc

Small business enterprises, Small Business Enterprises (SBE's) do play a ma...

Small Business Enterprises (SBE's) do play a major role in the world economy, and they are recognized as one of the main contributors to economic, development and employment growth

Define the major classes of risk an organization, What are the four major c...

What are the four major classes of risk an organization evaluates while outsourcing? Explain them. 1. Strategic risks. 2. Operational risks. 3. Result risks. 4. Transac

Explain ethical decision you had to make, Ethics, trust and integrity are o...

Ethics, trust and integrity are often challenged in an investment banking job. Look at the sub prime crisis, the near collapse of the mortgage giant, Fannie Mae, and the restatemen

What are the features of an emarket place, Question 1: (a) What are th...

Question 1: (a) What are the features of an eMarket Place? (b) What is a digital signature and how does it provide for confidentiality in an eProcurement System? (c)

Different types of business meetings, QUESTION a) The process of develo...

QUESTION a) The process of developing a presentation is a systematic one comprising three distinct phases. Describe in detail each one of these phases and explain their importa

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