Term | Definition | Comment |
SHS | Stock Holding Strategy (MTO / MTS / MTF). | MTF will be considered as MTS (simplification) |
Monolevel RLT | Represents the total time between placing a production / replenishment order and the availability date. It’s “monolevel” since it only considers the product’s own lead times (scheduling / production lead time / ….) , does not consider other BOM level.
For more information about "Produced" or "Purchased LT", please refer to: Lead times coming from SAP | Monolevel Independent of SHS |
SHS RLT | Represents the total time between placing a production / replenishment order and the availability date. It considers other BOM levels lead times (multi level) + distribution network (multi sites) and stock holding strategies. | Multilevel LT SHS dependent |
SHS RLT Calculation: Key concepts
The SHS-dependent Replenishment Lead time (SHS RLT) will be calculated from a number of different lead times coming from SAP.
> This SHS RLT will be multilevel & multi-site
> We will compare this ‘Industrial’ RLT with the Promised LT to Customer (‘Catalog LT’) and adjust the Strategy of the Product (MTO, MTS, MTF) accordingly
Real examples of SHS RLT calculation can be found in the Appendix here
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