Field help (MIC)

The declining conversion factor (in percentage) of the reorder lead time is used to calculate the start date of the suggestions in MRP. It is used correct the reorder lead time proportionally to the replenishment, when the planned or suggested quantity is greater than a lot:

Corrected lead time = RL * [1 + (qty/lot - 1) * factor / 100] where RL = reorder lead time.

This conversion factor is generally used for manufactured products. The supplier lead time is an average lead time, rarely in proportion with the lot size.