Automatic Lead-time Updation

There is a parameter in the Storeroom application called as

Recent Lead Time Weight in % = X% (in storeroom application)

This is used to update the Lead-time in Inventory application.

The Lead-time formula is:

New lead-time = old lead-time*(1-X%)  + Receipt Time*X%

Where receipt time is the difference in (receipt) Actual Date and Ordered Date. If actual date is earlier to order date the lead-time is not calculated.

Additional Note:

There is also an average delivery/lead-time by Vendor-Item in the Vendor Analysis (action item in inventory application). This calculation is a simple average of all the delivery/lead-times for that Item by that Vendor.

Courtesy: An old compilation from Infy Team