Production Lead Time

VRM Process PerformanceMinimizeTime

Definition

Production lead-time indicates production facility responsiveness to the customer. Higher than normal industry production lead-time gives competitors an edge in implementing product changes. High production lead-times may also indicate inefficient processes and large work-in-process inventories. Production lead-time is usually measured by the amount of time a piece of material spends in the production facility.

Tags

change, material, facility