JUST IN TIME

JUST IN TIME CHAPTER 1 INTRODUCTION

ust-in-time (JIT) is defined in the APICS dictionary as a philosophy of manufacturing based on planned elimination of all waste and on continuous improvement of productivity. It also has been described as an
approach with the objective of producing the right part in the right place at the right time (in other words, just in time). Waste results from any activity that adds cost without adding value, such as the unnecessary moving of materials, the accumulation of excess inventory, or the use of faulty production methods that create products requiring subsequent rework. JIT (also known as lean production or stockless production) should improve profits and return on investment by reducing inventory levels (increasing the inventory turnover rate), reducing variability, improving product quality, reducing production and delivery lead times, and reducing other costs (such as those associated with machine setup and equipment breakdown). In a JIT system, underutilized (excess) capacity is used instead of buffer inventories to hedge against problems that may arise. Some have suggested that "Just on Time" would be a more appropriate name since it emphasizes that production should create items that arrive when needed and neither earlier nor later.

JIT can also help manufacturing businesses big or small; don't have to be a big blue chip company to benefit. And JIT's not just for the manufacturing sector. Streamlining the way we work is just as relevant to high street retailers under pressure to improve sales performance and reduce operating costs.

OBJECTIVES
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JUST IN TIME

This project deals with understanding Just in Time by:-

Identify and response to consumers needs. Customers needs and wants seem to

be the major focus for business; this objective will help the firm on what is demanded from customers, and what is required of production.
Optimal quality/cost relationship. The organization should focus on zero-defect

production process. Although it seems to be unrealistic, in the long run, it will eliminate a huge amount of resources and effort in inspecting, reworking and the production of defected goods.
Reduce unwanted wastes. Wastes that do not add value to the products itself should

be eliminated.
Develop a reliable relationship between the suppliers. A good and long-term

relationship between organization and its suppliers helps to manage a more efficient process in inventory management, material management and delivery system. It will also assure that the supply is stable and available when needed.
Plant design for maximizing efficiency. The design of plant is essential in terms of

manufacturing efficiency and utility of resources.

Adopt the work ethic of Japanese workers for continuous improvement.

Commit a long-term continuous improvement throughout the organization. It will help the organization to remain competitive in the long run.
Reduction of Wastes. JIT helps significantly in reducing wastes.

JUST IN TIME