What is 'lot size' in SAP PLM-PLC - Product Lifecycle Costing?

lot size - Overview

• Component: PLM-PLC

• Component Name: Product Lifecycle Costing

• Description: Number of units in a lot expressed in a discrete unit of measure, for example, 10 screws. There are different types of lot sizes. Production lot size, for example, determines the quantity of material manufactured as the result of one setup.

lot size - Details

• 
  Key Concepts: 
  Lot size is a term used in Product Lifecycle Costing (PLM-PLC) to refer to the quantity of a product that is produced in a single production run. It is used to determine the cost of producing a certain quantity of a product, and can be used to optimize production costs. 
  
  How to use it: 
  Lot size can be used to determine the cost of producing a certain quantity of a product. It is important to consider the cost of materials, labor, and other overhead costs when determining the lot size. The lot size should be optimized to ensure that production costs are minimized while still meeting customer demand. 
  
  Tips & Tricks: 
  When determining the lot size, it is important to consider the lead time for production and the cost of materials. It is also important to consider the demand for the product and how quickly it needs to be produced. Additionally, it is important to consider any potential discounts that may be available for larger orders. 
  
  Related Information: 
  Lot size can also be used in inventory management systems to determine how much inventory should be kept on hand at any given time. Additionally, lot size can be used in supply chain management systems to determine how much of a product should be ordered from suppliers at any given time.