Short & sweet: Logistical decoupling point (LEK)

The logistics decoupling point (LEK) is the point in a value stream at which the customer order reference is decoupled from the value chain. Downstream of the value stream from the LEK, production is based on customer orders; upstream of the LEK, production is based on stock and anonymous customer orders. Stocks must be held at the LEK.

Our tip: Place the LEK as far upstream as possible; ideally at the point from which the remaining lead time corresponds 1:1 to the delivery time accepted by the market. This ensures that production is optimally aligned with demand and reduces inventories with high added value.

Picture of Prof. Dr. Andreas Kemmner

Prof. Dr. Andreas Kemmner

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