Glossary

Lead Logistics Provider (LLP), sometimes also referred to as a 4PL or Fourth Party Logistics Provider, is an integrator that assembles the resources, capabilities, and technology of its own organization and other organizations to design and deliver supply chain solutions. A typical LLP uses a 3PL to supply service to customers, owning only computer systems and intellectual capital.

Lead time is the period between a customer’s order and delivery of the final product. A small order of a pre-existing item may only have a few hours lead time, but a larger order of custom-made parts may have a lead time of weeks, months or even longer. Lead time may change according to seasons or holidays or overall demand for the product.

Lean Manufacturing is a technology and business process-driven strategy for reducing unnecessary activity in the manufacturing environment. The concept involves deliberate, continuous and, if possible, systematic identification and elimination of unnecessary activities and inefficiencies. These are referred to as ‘wastes’ and include: poor job scheduling (leaving staff waiting around between job), performing too much work on components (more than the customer needs), and unnecessary movement of inventory around the facility (wasting time and resources).