Lead time calculations for storerooms

Lead time is the time between when an item is ordered and when it is received. When items are received, a lead time calculation is used to update the lead time on the inventory record.

You can use lead times as a factor to analyze vendors and determine the time to reorder items in the reorder routine.

For a given storeroom, the Recent Lead Time Weight in % is the weight in percent given to the most recent receipt of an order. You can give the most recent record more (or less) importance in the calculation of lead time. You can weigh the lead time calculation by specifying that a certain percent of the calculation is based on the most recent receipt for that inventory item, while the remaining percentage (the difference) is assigned automatically to the original lead time, or the lead time that is currently set for the inventory item.