Lead Time Demand is the demand expected to occur during the lead time for the part.

Examples

Suppose our annual demand level is 1 and lead time is 365 days. The Lead Time Demand will be 1.

Suppose our annual demand level is 2 and our lead time is 365 days. The The Lead Time Demand is 2.

Suppose our annual demand level is 5 and our lead time is 700 days. The The Lead Time Demand will be 5*700/365 or 9.58.