الرئيسية
DEFINITION
OF LOGISTICS LEAD TIME (LLT) Logistics lead time (LLT) is the delay (aka
latency) between the initiation of an order and the completion of its
fulfillment. The measurement of LLT encompasses the 3 following processes: 1)
PROCUREMENT—includes holding any inventory mandatory to start production (e.g.,
raw materials, parts, components, recipe ingredients). 2) PRODUCTION—includes
specifications, conception, design, transformation, manufacture, assembly, and
quality management. 3) DISTRIBUTION—includes planning, allocation, assignment,
and tracking of shipment and delivery resources. Hence, LLT reduction is
achieved through resource utilization optimization, which relies on both
reducing all forms of waste (e.g., inventory excess, wasting times) and
streamlining value-added steps (e.g., synchronization). Such concepts as Lean,
Just-in-Time (JIT), Six Sigma, Total Quality Management (TQM)—to name a
few—provide management with tools, approaches, and methodologies to undertake
efficient process improvement initiatives with a direct bottom-line impact.
NOTE: Definitions of logistics lead time (LLT) abound in textbooks but may
differ greatly between experts. Encountered definitions sometimes restrict LLT
to the time dedicated for transport of inventory within the whole supply chain
process (e.g., raw materials, parts, semi-finished and finished products)
between locations (e.g., suppliers, plants, storage). In that regard, LLT is
understood as transportation lead time—which raises a contradictory debate among
specialists. —Pascal Perry Online Findability and SEO Strategist
OF LOGISTICS LEAD TIME (LLT) Logistics lead time (LLT) is the delay (aka
latency) between the initiation of an order and the completion of its
fulfillment. The measurement of LLT encompasses the 3 following processes: 1)
PROCUREMENT—includes holding any inventory mandatory to start production (e.g.,
raw materials, parts, components, recipe ingredients). 2) PRODUCTION—includes
specifications, conception, design, transformation, manufacture, assembly, and
quality management. 3) DISTRIBUTION—includes planning, allocation, assignment,
and tracking of shipment and delivery resources. Hence, LLT reduction is
achieved through resource utilization optimization, which relies on both
reducing all forms of waste (e.g., inventory excess, wasting times) and
streamlining value-added steps (e.g., synchronization). Such concepts as Lean,
Just-in-Time (JIT), Six Sigma, Total Quality Management (TQM)—to name a
few—provide management with tools, approaches, and methodologies to undertake
efficient process improvement initiatives with a direct bottom-line impact.
NOTE: Definitions of logistics lead time (LLT) abound in textbooks but may
differ greatly between experts. Encountered definitions sometimes restrict LLT
to the time dedicated for transport of inventory within the whole supply chain
process (e.g., raw materials, parts, semi-finished and finished products)
between locations (e.g., suppliers, plants, storage). In that regard, LLT is
understood as transportation lead time—which raises a contradictory debate among
specialists. —Pascal Perry Online Findability and SEO Strategist
