Lead Time Management

Menu Path: Purchasing $Images\bluerarw.gif$ Purchase Processing $Images\bluerarw.gif$ Lead Time Management

Purpose

View product lead times.

Overview

Use Lead Time Management to calculate supplier lead times based on real receipt activity for a specific warehouse location. It allows you to select a specific buyer and supplier or all buyers and suppliers to provide product lead times for purchase orders.

Lead Time

Purchasing Control Maintenance enables you to control error parameter settings for lead times as follows:

Alpha Parameter - This is the alpha parameter used for moving average calculation for lead times. Moving averages provide trend information that a simple average of all historical data would mask, therefore an alpha parameter is necessary.
Acceptable Variance%AboveAvg. - This field stores a receipt days deviation by X% when he number of receipt days is over Y days.
Acceptable Variance%BelowAvg. - This field stores a receipt days deviation by Z% when the number of receipt days is below Y days.

During purchase order receiving, the primary supplier’s lead time is recalculated by comparing the new receipt’s actual lead time with the existing stored lead time (entered on the Buying tab in Product Location Maintenance; if the Auto Update check box is selected, the stored lead time of the product is automatically updated).

If the new receipt exceeds the current lead time by X% or falls below Z% as defined in Purchasing Control Maintenance, the receipt becomes a lead time problem (an exception) and the lead time is not updated in Product Location Maintenance.

Ribbon Home Tab Buttons

Button	Description
Exit	Click this button to close the Lead Time Management window.
Show Data	Click this button to display lead time data in the Lead Time grid, based on the selected criteria.

Inquiry Tab Fields and Buttons

Field or Button	Description
Location	Enter a location prefix or name for which to display lead time, or click the Lookup buttons to select a location prefix or name.
All Buyers	Select this check box to display data for all buyers. This check box is selected by default.
Buyer	Enter the user ID of a buyer for which you want to display lead time data, or click the Lookup button to select a user ID. This field is only enabled if you clear the All Buyers check box.
All Suppliers	Select this check box to display data for all suppliers. This check box is selected by default.
Supplier	Enter the supplier code and name for which you want to display lead time data, or click the Lookup buttons to select a supplier code or name. These fields are only enabled if you clear the All Suppliers check box.
Only Show Exceptions	Select this check box to only display lead time data for lead time problems (exceptions that exceeded or fell below the acceptable variance percentages set up in Purchasing Control Maintenance).
After Receipt Date	Enter a receipt date after which to display lead time data, or click the drop-down arrow to select a date. This field defaults to the current date.
Lead Time	This grid displays lead time information based on the selected criteria. The grid includes the following columns: Product Name - This column displays the product name for each line item. For more information on product names, see Product Code and Name. Product Code - This column displays the product code for each line item. For more information on product codes, see Product Code and Name. Supplier Name - This column displays the supplier name for each line item. For more information on supplier names, see Supplier Code and Name. Supplier Code - This column displays the supplier code for each line item. For more information on supplier codes, see Supplier Code and Name. Purchase Order Number - This column displays the purchase order number for each line item. Receipt # - This column displays the receipt number for each line item. Required Date - This column displays the required date on the purchase order for each line item. Receipt Date - This column displays the receipt date for each line item. PO Date - This column displays the date of the purchase order for each line item. Line LT - This column displays the lead time for each line item, calculated as the difference between the receipt date and the purchase order date. Prev LT - This column displays the lead time before each line item was received. LT Var - This column displays the difference between the lead times in the Line LT and Prev LT columns for each line item. LT Var% - This column displays the lead time variance percentage for each line item, calculated as: 100 * (Line LT - Prev LT) / Prev LT. Prod LT - This column displays the current average lead time of the product for each line item. This value is entered in the Lead Time field on the Buying tab in Product Location Maintenance. Incl in LT - Select the check box in this column for each line item used in the calculation of product lead time. LT Excp - The check box in this column is selected for each line item if the lead time variance percentage is outside the acceptable lead time variance percentage set up in Purchasing Control Maintenance. Auto Upd - The check box in this column is selected for each line item that has its average lead time automatically updated when the product is received. This check box is selected for a product if the Auto Update check box is selected for the product in Product Location Maintenance.