Question

What is lead time?

1) The time between placing the order and receiving confirmation that the item has been shipped
2) The time between placing the order and receiving the item
3) The time between receiving confirmation that the item has been shipped and receiving the item
4) The time between receiving the item and placing the order

Answer 1

Lead time refers to the time between placing an order and receiving the item. It includes order processing, manufacturing, and delivery.

Step-by-step explanation:

Lead time refers to the amount of time it takes between placing an order and receiving the item. It includes the time required for processing the order, manufacturing the product, and delivering it to the customer.

Option 2, "The time between placing the order and receiving the item," is the correct definition of lead time. After placing an order, there are several steps that need to be completed before the item can be received by the customer, such as order processing and shipping.

For example, if you order a book online, the lead time would include the time it takes for the order to be processed, the book to be packaged and shipped, and finally delivered to your doorstep.