Configuring Lead Times
Tell Carpe Inventory IQ how long your suppliers take to deliver — and watch reorder points, safety stock, and suggested quantities adjust automatically.
What is lead time?
Lead time is the number of days between placing a purchase order and having the goods in hand ready to sell. It drives three critical calculations in the reorder engine:
Reorder point— the stock level at which you should place a new order, calculated as average daily demand × lead time + safety stock. A longer lead time raises the reorder point so you order earlier.
Safety stock— a buffer that absorbs variability in both demand and supplier delivery. Higher lead-time variability means more safety stock is recommended to maintain your 95% service level.
Suggested order quantity— the order-up-to quantity that brings you through the next replenishment cycle. It accounts for lead time so the quantity covers demand during the period you’ll be waiting for the next shipment as well as your target forward cover.
An inaccurate lead time — too short or too long — leads to suggestions that are too late or too large. Setting it correctly for each supplier, or for each SKU individually, gives you the tightest possible reorder calculations.
How lead time is determined (precedence order)
The reorder engine checks four sources in sequence and uses the first one that is available. You can override at any level.
SKU-level override
A lead time set directly on the SKU, either from the SKU detail page (Planning panel) or via the bulk lead-time CSV. This always wins, regardless of which supplier is assigned.
Supplier default lead time
If the SKU has exactly one active supplier and that supplier record has a default lead time set, that value is used. Set it in the Suppliers page (edit dialog) or via the supplier CSV import.
Measured average from completed purchase orders
If no configured lead time exists, the system looks at your completed purchase orders for the SKU and measures the actual elapsed time from order date to goods receipt. It uses up to 10 recent completed POs and calculates both the average and the standard deviation (variability).
When the measured average is stale or based on few data points, the reorder suggestion page shows a small advisory badge. Consider setting an explicit lead time to improve accuracy.
14-day system default
If none of the above sources are available, a 14-day default is used. This is a conservative fallback for new accounts with no PO history. The reorder suggestion shows a source badge indicating the default is in use, which is a prompt to set an actual lead time.
The source of the lead time used for each SKU is shown as a small badge on the Reorder Suggestions page (“SKU override,” “Supplier default,” “Measured,” or “Default”). Hover the badge for details.
Setting lead time on a supplier
A supplier-level lead time applies to every SKU that is assigned to that supplier and has no SKU-level override. It is the most efficient way to set lead times when a single supplier delivers reliably in a consistent number of days.
Via the edit dialog
Open the Suppliers page
Navigate to Purchase Orders → Suppliers.
Edit the supplier
Click the supplier’s name or use the Edit action to open the supplier edit dialog.
Enter the lead time
Find the Default Lead Time field. Enter the number of days between placing an order and receiving the goods.
Save
Click Save. The new lead time will be applied to all reorder suggestions for SKUs assigned to this supplier at your next page load.
Via CSV import
You can also set or update supplier lead times in bulk by uploading a CSV on the Suppliers page. Include a Lead Time (Days) column. Rows without that column are unaffected.
Setting lead time on a SKU
Use a SKU-level override when a product has a different lead time from its supplier’s default — for example, a custom formulation that requires extra production time, or a fast-mover that ships from a domestic warehouse.
Via the SKU detail page
Open a SKU from the SKUs page. In the Planning panel, find the Lead Time Override field. Enter the number of days and save.
The Planning panel also shows the current effective lead time and which source it came from, so you can see at a glance whether the override is active.
Via the bulk lead-time page
For large catalogs, navigate to SKUs → Lead Times to update many SKUs at once. This page offers two modes:
Uniform override— Enter a single number of days and choose which SKUs to apply it to using the checkboxes. Useful when a whole category shares the same lead time.
CSV per-row override— Upload a CSV with one row per SKU. Each row sets the lead time for that SKU independently, which is ideal for migrations or when your supplier data already exists in a spreadsheet.
CSV format for bulk SKU lead times
The per-row CSV requires two columns. All other columns are ignored.
| Column | Required | Description |
|---|---|---|
SKU Code | Yes | Must match an existing SKU in your account (case-insensitive) |
Lead Time (Days) | Yes | A whole number of days. Blank rows are skipped without error. |
Example CSV:
SKU Code,Lead Time (Days) WIDGET-100,21 GADGET-200,14 PART-300,35
To clear a SKU-level override and revert to the supplier default or measured average, leave the Lead Time (Days) field blank for that row, or use the clear button on the SKU detail Planning panel.
Assigning suppliers to SKUs by CSV
A supplier default lead time only reaches a SKU once that SKU is linked to exactly one supplier. If you manage a lot of products — raw materials especially — the fastest way to set this up is two CSV imports: first import your suppliers with their lead times, then map those suppliers onto your SKUs.
Step 1 — Import suppliers with their lead times
On the Suppliers page, choose Import and download the sample to get the column headers. Company Name is the only required column; add a Lead Time (Days) column with a whole number of days for each supplier. (You can also set or change a supplier’s lead time at any time in its edit dialog.)
Example supplier CSV:
Company Name,Lead Time (Days) Overseas Freight Co,90 Domestic Packaging Co,14
Step 2 — Map suppliers onto your SKUs
On the SKUs page, choose Import. Each row links one SKU to one supplier using the columns below. Be sure to tick “Allow updates to existing SKUs” so your existing raw materials are matched and updated rather than skipped.
| Column | Required | Description |
|---|---|---|
SKU Code | Yes | Must match an existing SKU (case-insensitive) |
Supplier | Yes | Must match an existing, active supplier’s Company Name exactly |
Supplier Part Number | Yes | The supplier’s catalog number for this SKU (required to create the link) |
Supplier Cost | No | The supplier’s unit price for this SKU |
Example SKU mapping CSV:
SKU Code,Supplier,Supplier Part Number,Supplier Cost WIDGET-100,Overseas Freight Co,OFC-W100,2.50 GADGET-200,Overseas Freight Co,OFC-G200,1.10 PART-300,Domestic Packaging Co,DPC-P300,0.45
The result
Once a SKU is linked to exactly one active supplier that has a default lead time, it inherits that lead time automatically — the SKU’s Planning panel shows “Supplier default” and reorder suggestions use it. No per-SKU entry needed.
Import suppliers first. The SKU import matches suppliers by Company Name and skips any row whose supplier doesn’t already exist, so create your suppliers before mapping them.
One supplier per SKU for the default to apply. If a SKU is linked to more than one active supplier, the supplier default is ambiguous and won’t be applied — set a per-SKU lead time on those instead.
How lead time affects suggested order quantities
The suggested order quantity is an order-up-to calculation: it tells you how many units to order so that once the shipment arrives, your stock covers your target forward period, safety stock, and any pending demand during the lead-time window.
In practice, this means:
Longer lead time— the system recommends ordering more because more inventory will be consumed while you wait for delivery. Safety stock also increases to absorb greater variability over that longer window.
Shorter lead time— you need less buffer, so the suggested quantity is lower. Faster suppliers let you run leaner.
High variability— if your measured lead times are inconsistent (some POs arrive in 10 days, others in 30), safety stock increases automatically. Setting a firm override when you have a reliable agreement with the supplier smooths this out.
Example
WIDGET-100 sells 5 units per day. With a 14-day lead time (default), the system recommends ordering to cover 14 days of demand during the lead-time window plus your forward cover period. Change the lead time to 30 days to reflect a switch to an overseas supplier, and the suggested quantity increases proportionally — no manual recalculation needed.
Advisories on the Reorder Suggestions page
The Reorder Suggestions page surfaces two types of lead-time advisories to help you spot where configuration can improve accuracy:
Set value differs from measured average
You have an explicit lead time set (on the SKU or its supplier), but it differs substantially from what your recent purchase orders actually measured. Specifically, this nudge appears when there are at least 3 measured POs and your set value is off by roughly 30% or more (at least 14 days) in either direction — whether your set value is higher or lower than the measured average. For example, if WIDGET-100 has a supplier default of 45 days but your last 5 POs averaged 28 days, the advisory prompts you to reconsider. Consider updating the lead time to reflect current supplier performance.
Ambiguous supplier
The SKU is linked to more than one active supplier, so no single supplier default can be applied automatically. Add a SKU-level override on the Planning panel, or assign a primary supplier, to resolve the ambiguity.
SKUs using the 14-day system default also show a “Default” source badge as a nudge to configure an actual lead time.
Tips for getting lead times right
Start with suppliers, not SKUs— Set a default lead time on each supplier first. SKU-level overrides are for exceptions, not the rule.
Use door-to-door days, not shipping-quote days— Include the time from when you send the PO to when you’ve inspected and shelved the goods, not just the transit time quoted by your supplier.
Review after receiving POs— If goods are consistently arriving earlier or later than expected, update the lead time. The system’s measured average will drift toward reality over time, but a manual override is more responsive.
Use the bulk CSV for initial setup— If you have lead times in a spreadsheet from your previous system, the bulk CSV is the fastest path to getting them into Carpe Inventory IQ.
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