Warehouse & 3PL Glossary

Lead Time

Lead time is the total time between placing an order and receiving it. In inventory management, understanding lead time is essential for setting reorder points and safety stock so you don't run out while waiting on suppliers.

In the warehouse: Teamship's WMS puts Lead Time to work as part of Inventory Management.

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Related terms

Always Better Control (ABC) InventoryAnnual Holding CostBonded WarehouseEconomic Order Quantity (EOQ)First In, First Out (FIFO)Inventory Stock Turnover
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