Dynamic Lead Time (DLT) enables the Requirement Planning Logic to estimate the lead times for production orders and suggested orders based on the order size, the routing of the item, and the capacity of the work center.  This is an optional feature that can be enabled for individual SKUs within a business node.  Dynamic Lead Time also enables the Requirements Planning Logic to utilize the estimated start times of each operation of the manufactured SKU to drive the requirements of components that are consumed at its operation, which results in a more accurate timing of the requirement of components.

Data Tables

See the specification of the BOM - Multi-Location data files for the file formats required to upload the data required to configure the use of Dynamic Lead Times.

System Configuration

Enter a support ticket to inform DemandCaster Support to enable the required internal Business Node  settings.

For each manufactured SKU that you intend to plan using Dynamic Lead Time, you will need to enable the Item Options Settings: Use Dynamic Lead Time in MRP

Note: It is critical that you review the accuracy of the Setup Time, Run Time, and Queue Time on each item's routing, as well as, the Working Day Hours, Number of Resources, Processing Type, and Efficiency of each work center before enabling the use of Dynamic Lead Time in your business node.  

You will need to generate a new Requirement Plan followed by the generation of a new Capacity Plan to update the Dynamic Lead Time for all applicable SKUs.  After the Capacity Plan is generated the lead time of the operations of all Suggested Orders of all SKUs that have been configured to use Dynamic Lead Time will be computed as follows:

Time Estimate for each Operation (Hours) => Setup Time + (Run Time X Quantity) + Queue Time

Dynamic Lead Time (Days) => SUM [Time Estimate for each Operation (Hours) / (Working Day Hours (for work center) X Number of Resources** X Efficiency)]

** If the Processing Type of the work center is Parallel

 Dynamic Lead Time is calculated for (each operation on) each Suggested Order through the entire planning horizon. The planned start time of operations on each manufactured Suggested Order is utilized to drive the timing of requirements of the components that are linked to those operations.

The BOM Panel of SKUs that have been enabled to use DLT will show the start date and lead time of each operations that each BOM component is associated to.

The Dependent Demand column of all components that are used on all SKUs configured to use DLT will show the operations (on the parent SKU) that is driving the demand