The time required from receipt of order until products are shipped to a customer.
Notes: Sometimes the single biggest difference between competing companies is the amount of Lead-Time they will commit to. If company “A” promises they will have your products delivered to your door in 6 weeks and company “B” promises a 1 week delivery which company will you likely choose?
Lean Manufacturing has many tools that ultimately reduce Lead-Time and win market share.
Oddly enough Inventory in a manufacturing system has the limiting effect of increasing Lead-Time. Chew on that one for awhile.