The Significance of Inventory Lead Time for Manufactured items in Microsoft Dynamics AX & 365 for Finance and Operations, Enterprise

The inventory lead time for a manufactured item can serve one or more purposes for modeling supply chain activities.  It typically represents the fixed lead time for the item's production orders, but the significance of this fixed lead time depends on whether routing data has been defined for the item. Other purposes of this fixed lead time are related to the item's safety stock requirements, if applicable.  However, these variations in the significance of the Inventory Lead Time are often the source of some confusion.

This article describes the significance of the Inventory Lead Time in various scenarios and provides several illustrative case studies.  The explanation applies to the current version of Microsoft Dynamics 365 Finance and Operations, Enterprise ...

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