Question.5096 - W5: Lead-TimePart I. Explain how a reduction in lead time can help a supply chain reduce its inventory buffer without hurting customer service. Please provide an example to support your research.
Answer Below:
Lead xxxx reduction xx an xxxxxxxxx SCM xxxxxx that xxxxxxx a xxxxxxxx decrease xx inventory xxxxxx while xxxxxxxxxxx customer xxxxxxx because xxxx time xxx time xxx between xxxxxx and xxxxxxxxx goods xx one xx the xxx sources xx uncertainty xx supply xxxxxx A xxxxxxx lead xxxx directly xxxxxxx the xxxxxxxxxxx horizon xxxxxxxx businesses xx only xxxxxxxx demand xxx a xxxxxxx and xxxx precise xxxx frame xxxx variability xxxxx the xxxxxxxxxxx for x large xxxxxx stock xxx inventory xxxxxxx retained xx guard xxxxxxx stockouts xxxxxxx Hummingbird xxxx drop xx safety xxxxx brings x number xx benefits xxxxxxxxx reduced xxxxxxx costs xxxx cash xx inventory xxx decreasing xxxx of xxxxxxx obsolescence xxx example x retailer xx longer xxxxx a xxxxx buffer xxx uncertainty xx lead xxxx or xxxxxx when x popular xxxxxxxxxx item xxx be xxxxxxxxx from xxx supplier xx days xxxxxx than xxxx Because xx the xxxxx inventory xxxx time xxx retailer xxx provide xxx same xx improved xxxxxxx levels xxxx less xxxxxxxxx this xxxxxxxx the xxxxxxxx with xxxxxxxxxxx agility xxxxx also xxxxxxxx cash xxxx and xxxxxxxxxxx effectiveness xx everyone x thought xx was xxxxxxxxxxx how xx apparently xxxxxxxxxxxxxxx adjustment xxxx cutting xxxx time xxxxx have xxxx a xxxxxxxxxxx impact xx inventory xxxxxxx I xxxx a xxxxxxxx and x supplier xx an xxxxxxx but xxxx about xxxxx supply xxxxx components xxxx particular xxxxxxxxx can x manufacturing xxxxxxx encounter xx its xxxxxxx to xxxxxx lead xxxx and xxx would xxxx impact xxx relationships xxxx suppliers xxx customers xxxxxxxxxxxxxxxx R x Hummingbird x A xxxx time xxxxxxxxx the xxxxxx for xxxxxxxxxxx advantage xxxxxxxxxxxxx Journal xx Operations xxxxxxxxxx Management xMore Articles From Management
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