Situation
Lead times are a key input into calculating ROP’s as well as providing maintenance and engineering availability dates for materials when they are not stocked, but very few companies regularly update this critical information.
Complication
Lead times are a key input into the calculation of ROPs. When this core piece of master data is ignored, risk is driven into the business, ironically.
Resolution
MiLi’s Lead Time calculator helps to solve this problem. MiLi enables materials to be regularly updated with demonstrated Lead Times.
Benefits
- Working capital optimization and accurate material availability.
- When the business trust the information that it is given, noise is removed and working capital is reduced.