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Manufacturing Leadtime Calculations
An Oracle JD Edwards EnterpriseOne

Functional Red Paper
March 2009
©Copyright Oracle 2009. All rights reserved. Mfg Leadtime Calculations  Page 1
PURPOSE STATEMENT
This document is intended for information purposes only, and may not be incorporated
into any contract. It is not a commitment to deliver any material, code, or functionality,
and should not be relied upon in making purchasing decisions. The development, release,
and timing of any features or functionality described for Oracle’s products remains at the
sole discretion of Oracle. Updates and enhancements are provided in accordance with
Oracle’s Technical Support Policies at:
www.oracle.com/support/collateral/oracle-technical-support-policies.pdf
Lead Time Rollup and Backscheduling .............................................................................. 4
Leadtime Overview ......................................................................................................... 4
Level Leadtime ........................................................................................................... 5
Per Unit Leadtime ....................................................................................................... 5
Manufacturing Leadtime ............................................................................................. 6
Cumulative Leadtime .................................................................................................. 7
Work Order Header Start Dates ...................................................................................... 8
Operation Start Dates (Routing P3112) .......................................................................... 9
Fixed Leadtime Items ................................................................................................. 9
Variable Leadtime Items ............................................................................................. 9
Overlapping and Concurrent Operations .................................................................... 9
Processing Options: ...................................................................................................... 10
R30822A – Leadtime Roll Up .................................................................................. 11
P48013 – Work Order Entry ..................................................................................... 12
R31410 – Work Order Processing ............................................................................ 13
P3112 – Work Order Routing ................................................................................... 14
Leadtime Use by Other Applications ............................................................................ 14
MRP and Leadtime ................................................................................................... 15
Configurator – Configured items and Leadtime ....................................................... 15
Outside Operations and Leadtime ............................................................................. 15
Kanban and Leadtime ............................................................................................... 15
Examples - Using Lead Time Rollup R30822A ........................................................... 17
Setup ......................................................................................................................... 17
Utilization & Efficiency with Fixed Leadtime ......................................................... 27
Efficiency .................................................................................................................. 30
Manufacturing Leadtime Quantity............................................................................ 35
Cumulative Yield ...................................................................................................... 36
Appendix ........................................................................................................................... 38
Time Basis Code ........................................................................................................... 38
Lead Time Rollup and Backscheduling
This paper is intended as a supplement to and expands on topics covered in JD Edwards
EnterpriseOne Product Data Management - Implementation Guide for release 8.10 and above.
Leadtime Overview
There are four Leadtime types:
 Leadtime Level
 Leadtime Per Unit
 Leadtime Manufacturing
 Leadtime Cumulative
For manufactured items, R30822A calculates the leadtimes and stores the values in
F4102.
For Purchase items, no calculation is performed. Level Leadtime and Leadtime per unit
are expected to be entered manually.
Leadtime Level
 The number of workdays required to complete the product once all components
are available
 Formula: M : Machine Hrs
{( MorL) /( EorM )} MLQ
L : Labor Hrs
  Setup   Queue / MoveHrs E : # of employees
TBC F 3003 M : # of machines
Work Hrs per day from F3009/F3007 MLQ : Mfg leadtime qty
TBC : Time basis code
 Leadtime Level is not calculated if Manufacturing Leadtime Quantity (in F4102)

is zero
 It is used to calculate start dates for work orders if the system uses fixed
Leadtimes
Per Unit Leadtime

 The number of hours required to produce the product per units as specified in
Item Branch
M : Machine hrs
 Formula: L : Labor hrs
{( MorL) /( EorM )} TBC F 4102 E : # of employees
 M : # of machines
TBC F 3003 TBC : Time basis code
 It is used to calculate start dates for work orders if the system uses variable
Leadtimes
Manufacturing Leadtime
 The total number of workdays required to build an item from its lowest-level
components to the final item
 The total of the level leadtime of the item plus the longest manufacturing leadtime
of any of its components
 Leadtimes for purchased items are not included
Item A (M)
Level LT = 2
Mfg LT= 2 + 8 = 10
Item B (M) Item C (M)

Level LT = 7 Level LT = 4
MFG LT = 7 + 0 = 7 MFG LT = 4 + 4 = 8
Item D (P) Item E (M) Item F (M)

Level LT = 2 Level LT = 4 Level LT = 3
MFG LT = 4 + 0 = 4 MFG LT = 3 + 0 = 3
Item G (P) Item H (P)

Cumulative Leadtime
 Unlike MFG Leadtime, it includes the Leadtimes for purchased items
 It is the number of workdays required to acquire items and complete a product
from its lowest-level components to the final item
 It is the total of the level leadtime of the item plus the longest cumulative leadtime
of any of its components
Item A (M)
Level LT = 2
Cum LT= 2 + 10 = 12
Item B (M) Item C (M)

Cum LT = 7 + 2 = 9 Cum LT = 4 + 6 = 10
Item D (P) Item E (M) Item F (M)

Level LT = 2 Level LT = 4 Level LT = 3
Cum LT = 4 + 1 = 5 Cum LT = 3 + 3 = 6
Item G (P) Item H (P)

Work Order Header Start Dates
The Work Order Header Start date is calculated based on the Requested date of the
Order. The system plans to have material available immediately at the Start of the
Requested day, which means it must be completed by the end of the prior day. By
definition the Start Date of a Work Order will always be at least the Request date minus 1
workday.
For a Fixed Lead time item the system will use the Requested date minus the Level
Leadtime (or 1 if Level Lead time is blank).
For a Variable Lead time item the Header will backscheduled using a variable LTCV that
is not visible from the Item Branch record and is ONLY populated by running the
Leadtime Roll Up (R30822A). If the Leadtime rollup has not been run over the parent
item prior to the WO being created the Start date will equal the Request date. In addition
the processing option on the Defaults tab of P48013 will be a factor if there are Queue &
Move hours for the item.
Notes:
 Beginning with release 8.10 it is critical that the Lead Time Rollup (R30822A) be
run to populate the Lead Time fields in the Item Branch Additional System
Information record. Manually populating these fields may result in the Start Date
of the work order header not matching the first Operation Start Date on the Work
Order Routing.
 If you have Queue or Move hours and you manually change LTPU then the
Routing Start date will not match the Header Start date in some cases. This is due
to a portion of the equation that considers Queue and Move hours relative to the
Work Center Hours. It is recommended that values not be manually changed but
are allowed to be calculated by the R30822A.
 If using Advanced Lot Processing, the Plan Effective Date and Request Date are
processed as:
 If the Request Date is entered and the Plan Effective Date is blank, the
Plan Effective Date = Request Date + Mfg Effective Days.
 If the Planned Effective Date is entered and the Request Date is Blank,
then the Request Date = Planned Effective – Mfg Effective Days
Mfg Effective Days are stored in the Item Branch.
 It is best if the Work Centers each work all of the available shifts defined in the
Manufacturing Constants and work the full number of hours defined for the shift.
When fewer hours are available in a Work Center than in the standard Work
Hours per Day for the Branch in the Manufacturing Constants then MRP will plan
order dates that are not early enough to meet demand. This will require additional
intervention from the Planner.
Operation Start Dates (Routing P3112)
The Routing steps are back scheduled based on the type of Leadtime.
Fixed Leadtime Items

The Level Leadtime days are equally divided among all Routing Operations and each
operation is back scheduled by a percentage of the Level Leadtime, regardless of
Resource Units, Move & Queue, and Efficiency & Utilization. This back scheduling
method does not consider the efficiency and utilization of the Work Centers. The first
Operation start date will match the Work Order Header start date, and the last operation
will end the day prior to the Work Order requested date.
Level Leadtime Days x Mfg Constants Work Hrs per Day

Average Time per Operation = ____________________________________________________________
Number of Operations
Note: P48013 and R31410 both have a Processing Option: Backscheduling UOM. If the
value in this Processing is “blank” then when the Routing is attached to the WO (P48013
for Interactive, R31410 for Batch) all operations will start on the WO Start Date and end
on the date prior to the WO Requested Date.
Variable Leadtime Items

The Routing steps are individually back scheduled based on the Labor/Machine, Setup,
Move and Queue hours. The efficiency and utilization of the Work Centers are
considered in these calculations. It will backschedule Move and Queue hours based on a
processing option relative to either the Manufacturing Constants Work Hours per Day
OR the Work Center Sum of the Shift(s) Hours.
The Operation Start date is equal to the Operation Requested Date minus the Setup and
Run times divided by the Work Center Resource Units. The Request Date of preceding
operations is offset from Start Date of the following Operation by the sum of the Move
and Queue times for the respective operations.
Example: [Start Request]-----------------------------------------[Start 20……..Request]

[Op 10 Run time ][Op 10 Move time][Op 20 Queue][Op 20 Set up and Run]
Overlapping and Concurrent Operations

E1 does not support Concurrent operations. For Manufacturing it is assumed that
subsequent operations are dependant upon the completion of the prior operation. The
following two rules apply:
1) An operation cannot start prior to the start of the operation immediately before it.
2) An operation cannon end earlier than the operation immediately before it.
The result of these rules is:

1) No overlap greater than 100% is allowed.
2) If operations take different amounts of time but are listed as having 100% overlap
the total time may be longer than the longest operation.
Example:
Op 10 takes 4 hours
Op 20 takes 4 hours and is listed as 100% overlap
Op 30 takes 2 hours and is listed as 100% overlap
Op 40 takes 4 hours and is listed as 100% overlap.
As this is backscheduled Op 40 starts at T – 4, Op 30 is 100% over lap so it starts also at

T-4 but it only takes 2 hours so it completes at T-2, this means operation 20 can not end
before T-2 so it must start at T-6, now it will overlap Op 10 by 100% so the earliest Op
10 can start is T-6. The result is that the leadtime for this item is 6 hours even though the
longest operation is only 4 hours.
Time -6 -5 -4 -3 -2 -1 0
[ Op 40 = 4 hours ]
[ Op 30 ]
[ Op 20 ]
[ Op 10 ]
Processing Options:
The processing options increase the flexibility of how Queue and Move Hours and
Number of Employees or Number of Machines are used in the Lead-time and
Backscheduling calculations.
R30822A – Leadtime Roll Up
Processing Option 3 – Calculate Leadtime Level for Queue and Move Hours
This processing option specifies which hours to use to determine how many days or
fractions of a day to backschedule Queue and Move hours. If the processing option is:
 Blank - the system will use the Work Center values for Queue and Move hours.
 ‘1’ – the system will use the Mfg Constants Queue and Move values.
If the processing option is set to 1 and the F3009 Work Hours per Day is not blank
Queue = Queue/F3009 Work Hours per Day (Mfg Constants)
Else
Queue = Queue/F30006 Work Hours per Day (Work Center Master)
Processing Option 4 – Zero Move/Queue hour from Routings

If the processing option is:
 Blank - it will Use Zero Move and Queue hours from the Routing to roll up the
leadtime.
 ‘1’ it will use any Move and Queue hours in the Routing for an operation AND if the
Move or Queue are blank in the Routing it will check the Work Center Master and
use those Move and Queue hours.
Note: Option 4 text is incorrect. See the help text for correct description. A SAR has
been entered to resolve in release 8.12 and above.
For additional information about functionality see the Examples Section.
P48013 – Work Order Entry
Processing Option 3 – Back Scheduling Queue and Move Hours

 For a Fixed Leadtime item this has no effect.
 For a Variable Leadtime Item when Option 3 is:
o Blank - it will use a Conversion Factor of LTPU/LTCV x Queue & Move
hours plus the LTCV x Quantity/Time Basis.
Warning: Manually populating LTPU will shift the WO Header Start date
due to the conversions factor. LTPU/LTCV = the Average Resource
Units per Day on the P3003 Routing for the item at the time the Leadtime
was rolled up. By taking the Move and Queue hours divided by the
Average Resource Units for that item the system can get the WO Header
Start date as accurate as possible without the performance hit of having to
look to the actual Routing file each time a header is created.
o “1” – Queue & Move Hours / Work Hours per day will be used.
R31410 – Work Order Processing
Options 8, 9, and 10 above should match the options used in R30822A 3, 4, and 5 so that
the Routing operation backscheduling is calculated in the same way by R31410 as it was
for the Rollup.
P3112 – Work Order Routing
Processing Option 3 – Queue and Move Hours

Allows you to choose when to Default Queue and Move hours from the F30006 at the
time the Routing is attached. If the processing option is:
 Blank - will leave the Move and Queue fields empty even if Queue and Move hours
exist in the Work Center Master (F30006). The Work Center Shift Hours are used for
back scheduling the Routing steps.
 ‘1’ will always default any existing hours from the F30006 if the field is left blank
Resource Units are used in the calculation
 ‘2’ - makes a distinction between Copy by WO or Batch (R31410) attaching the
Routing – ONLY a manually entered routing step will populate with hours from the
Work Center Master.
Processing Option 4 – Override Number of Employees/Machines to ‘1’

This processing option is also considered in back scheduling the Labor/Machine hours in
the Routing Back Schedule Program. The Resource Units used for Back Scheduling the
Labor/Machine hours are factored by the number of employees/machines to obtain the
Resource Units available. These factored resource units are then used for back
scheduling the Labor/Machine hours in the Routing step.
 Blank - the back scheduling of Labor/Machine hours with the Resource Units uses the
existing number of Employees/Machines defined in the Work Center.
 ‘1’ - the back scheduling of Labor/Machine hours with the Resource Units uses a
quantity of ‘1’ for the number of Employees/Machines used.
Leadtime Use by Other Applications
MRP and Leadtime
For planning, MRP will use the Leadtime Level for Purchased Items (in Calendar days)
and for Fixed Leadtime Manufactured items (in Work days).
Variable Leadtime items will use the Leadtime Per Unit (LTPU) x the Quantity required
+ Queue and Move hours / Work Hours per Day (from the Manufacturing Constants).
Caution: If Work Centers are used which have fewer available hours per day than the
Work Hours in the Manufacturing Constants MRP will plan dates which may be later
than what is required for production. When the MRP message is processed the Header
Date will recalculate and a warning message is given. Once the WO header is created the
next run of MRP will correct any Component due dates and will not recommend any
change to the Start date.
For the same reason it is recommended that the Work Hours per Day in the
manufacturing constants never exceed 24 hours per day.
Configurator – Configured items and Leadtime

Parent Configured Items have no fixed BOM and Routing and the R30822A cannot roll
up the Leadtime information for them. Configured items are not planned directly through
MRP and to plan component demand you must use a Planning BOM to estimate the
demand for each configuration based on forecasting the percentage of each configuration
you expect to sell.
The Leadtime Level must be populated manually and should represent the worst-case
(longest) expected leadtime for the Parent Item. The Leadtime Level will be used to
calculate the WO Start date when the header is created from the Sales Order. Once the
Routing is attached the Routing Start date will be the accurate date but will usually not
match the WO Header (there is no logic in place to make them match).
The F3215 tells MRP to use the Sale Order parts list to drive Component Demand until
the R31410 runs to attach the Parts List to the WO. Once the Parts List is attached MRP
will use it to drive the demand.
Outside Operations and Leadtime

Queue and Move hours can be used to allow scheduling of the time required for material
to go through an outside operation. By adjusting the Queue and Move time of a Work
Center that is designate Type “O” you can create an operation step that has the needed
Start and Request dates for the Outside Operation.
Kanban and Leadtime

When the Source type involves the creation of an order (1, 3, 4, or 5) the Request date of
the Order will be forward scheduled. If a Calculation Method is defined in the Kanban
Master the Scan Delta Days + the Delivery Leadtime Days will be added together and
used to determine the Request Date. If there is no Calculation Method defined then the
Leadtime Level from the Item Branch record will be used.
Examples - Using Lead Time Rollup R30822A
Setup
Figure 1
Manufacturing Constants:
 Set up with 8 hours in each of 2 Shifts.
 Work Hours per Day = 16.
Only the first 3 shifts are added together to arrive at the Work Hours Per Day
Figure 2
Note: that the only Shift available when adding a new Work Center are 1 & 2 as per the
set up of the Manufacturing Constants (Figure 1)
R30822A Leadtime Roll Up Processing Options
Processing Option 3 – If using the above branch and work center it would use 8 hours per
day if left blank OR 16 hours per day if populated with a 1.
Leadtime per Unit has been correctly divided by Number of Employees. 32/4 = 8
R30822A Leadtime Rollup Processing Options
When Number of Employees is overridden to 1 then the LTPU and Level Leadtime are
correct for 32 hours.
Work Order Processing R31410
There are three processing options on the R31410 which must match the set up of the
R30822A or you may get unpredictable results and the Header Start Date may not match
up to the Work Order Routing Start Date.
Options 8, 9, and 10 should be set to the same values as in the corresponding options in
R30822A to insure that the Routing arrives at the dates in the same way that the Leadtime
Rollup calculated the Leadtime for the Item.
Work Order Entry P48013
When using the P48013 to interactively attach the Routing the P48013 will call the
version of P3112 specified in the processing options Version tab.
P3112 Work Order Routings

Options 3 and 4 must match R31410 and R30822A
Utilization & Efficiency with Fixed Leadtime
R30822A set to use Work Center Hours for Queue and Move. With Utilization at 100%
Leadtime Level = 16 + 32 = 48
Change WC Master & run R3007G to update resource units file
Resource Units is unchanged and Utilization is updated.
Run R30822A to update Lead-time

No Change to Leadtime
Efficiency
Efficiency changed the Leadtime for Labor based Work Center
Change Prime Load code to Machine and leave Efficiency at 75%
Make Routing match Prime Load
When Prime Load code = M Efficiency is ignored.
Only the Utilization is considered for Machine (16 hours / 1.5 = 10.67)
Manufacturing Leadtime Quantity
Manufacturing Leadtime Quantity does affect Leadtime Level as it is expected that this
many will be built on each WO.
Note: Leadtime Level went from 43 to 192 (= 10.67 * 15 + 32)
Cumulative Yield
Change Routing so that ½ is lost in last operation resulting in Cumulative Yield of 50%.
This should double the Leadtime per Unit since twice as many have to be started to get 1
good output.
Leadtime per Unit and Leadtime Level are doubled as expected.
The Leadtime Manufacturing and Leadtime Cumulative only populate when there is a
Bill of Materials for the item.
Appendix
Time Basis Code
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Manufacturing Leadtime Calculations

An Oracle JD Edwards EnterpriseOne

 Leadtime Level is not calculated if Manufacturing Leadtime Quantity (in F4102)

Per Unit Leadtime

Item B (M) Item C (M)

Item D (P) Item E (M) Item F (M)

Item G (P) Item H (P)

Item B (M) Item C (M)

Item D (P) Item E (M) Item F (M)

Item G (P) Item H (P)

Fixed Leadtime Items

Level Leadtime Days x Mfg Constants Work Hrs per Day

Variable Leadtime Items

Example: [Start Request]-----------------------------------------[Start 20……..Request]

Overlapping and Concurrent Operations

The result of these rules is:

As this is backscheduled Op 40 starts at T – 4, Op 30 is 100% over lap so it starts also at

Processing Option 4 – Zero Move/Queue hour from Routings

For additional information about functionality see the Examples Section.

Processing Option 3 – Back Scheduling Queue and Move Hours

Processing Option 3 – Queue and Move Hours

Processing Option 4 – Override Number of Employees/Machines to ‘1’

Leadtime Use by Other Applications

Configurator – Configured items and Leadtime

Outside Operations and Leadtime

Kanban and Leadtime

P3112 Work Order Routings

Change WC Master & run R3007G to update resource units file

Run R30822A to update Lead-time

Make Routing match Prime Load

Leadtime per Unit and Leadtime Level are doubled as expected.

Copyright © 2009, Oracle. All rights reserved.

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