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Process Lead Time

Process Lead Time

It refers to the time from the start of the work through the end of it in a process, and it usually consists of waiting time, setup time, real operating time, and post-processing time.

waiting time:
It means the status of waiting for the time when the work is allocated to each machine.
setup time:
It means the status of preparing for making each machine available. It is required regardless of the order quantity.
real operating time:
It means the status of performing the work in a process. It increases roughly in proportion to the order quantity. The calculating formula to obtain a real operating time is expressed by the relationship between the unit of time necessary to manufacture a unit by a certain unit quantity and the order quantity:

 
real operating time = (manufacturing) order quantity / unit manufacturing quantity x unit operating time.

post-processing time:
It means the status of performing a pre-process (e.g. removal or cleaning). It can be regarded as the setup time for the next work.


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Related term: Manufacturing Lead Time

Reference:JIT Business Research Mr. Hirano Hiroyuki

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