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

February 5 2018

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.

About Scott Hamilton

Scott Hamilton has consulted globally with several hundred manufacturing/distribution companies on SCM and ERP issues. His publications include multiple books about SCM using Dynamics 365FO/AX, two textbooks about SCM/ERP, and 100+ articles in MSDynamicsWorld.com. Scott has been a frequent speaker at Microsoft and user group conferences around the world, and a 10-time winner of the rarely given Microsoft MVP award.

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