lead time
What lead time means in Business A-Level, as defined for AQA.
Definition of lead time
Check what you remember
Read the wording for your board, then hide it and explain lead time in your own words. Rough notes are fine. This is a self-check, with no mark or grade.
Reference: AQA
The time that runs from placing the order to receiving the goods.
Topics that use lead time
- Making operational decisions to improve performance: managing inventory and supply chains (AQA A-Level)
Related terms
- capacity utilisation
- Core vs non-core activities
- effectiveness versus efficiency
- ethical sourcing
- holding cost versus stockout cost
- outsourcing
- producing to order
- re-order level and quantity
Using lead time in the exam
Check the command word and mark scheme for your exact question. After comparing your explanation with the reference, use the term in an answer on the linked topic. This practice does not predict an exam mark.
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