Lead Time Management

Lead Time Management refers to the time frame required for a product to be shipped from a vendor’s warehouse. This period is determined by past shipping performance metrics, such as on-time shipments and deliveries. Shorter lead times can enhance sales prospects by ensuring quicker delivery to customers.

Vendors begin with a lead time of 3-5 business days upon signing up for Direct Fulfillment. This timeframe can be adjusted automatically based on consistent performance—leading to either upgrades for better performance or downgrades for delays.

Performance metrics like Missed Expected Ship Date and Delivery Success Rate are crucial in evaluating whether lead time adjustments are necessary. Maintaining updated warehouse settings, accurate inventory feeds, and proper order processing ensure performance standards are consistently met.