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Safety Lead Time

Safety Lead Time Lead Time

It is a lead time which set as a buffer against fluctuations in accidental error for various kinds of lead time. It is usually added to Manufacturing Lead Time of manufactured items in order to make up for lost time. It is also added to Purchased Lead Time or Subcontract Lead Time of purchased parts or subcontract goods in order to minimize the influence of delayed delivery from suppliers. Moreover, it can be used instead of Safety Stock in terms of inventory.

Reference:JIT Business Research Mr. Hirano Hiroyuki

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