Global relations between inventory, manufacturing lead time and delivery date promises

Gyula Vastag, D. Clay Whybark

Research output: Contribution to journalArticle

18 Citations (Scopus)

Abstract

This paper reports a study of the inventory, lead time and delivery promise data from the Global Manufacturing Research Group. It finds that manufacturing lead time increases as work-in-process inventory increases, as theory suggests. Also, many companies promise delivery in less time than it takes to produce the product and the difference is not explained by finished goods inventory. The research also shows that the chief benefit of JIT, for those few firms that are achieving benefits, seems to be reduced raw materials.

Original languageEnglish
Pages (from-to)563-569
Number of pages7
JournalInternational Journal of Production Economics
Volume30-31
Issue numberC
DOIs
Publication statusPublished - Jul 1993

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ASJC Scopus subject areas

  • Business, Management and Accounting(all)
  • Economics and Econometrics
  • Management Science and Operations Research
  • Industrial and Manufacturing Engineering

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