A PRESENTATION ON

JIT(JUST-IN-TIME)

By : Ankit saxena
JIT?
“A philosophy of manufacturing
based on planned elimination of
waste and continuous
improvement of productivity
……”
Bottlenecks in JIT improvement won`t do any good.
implementing Its sounds like a good thing but we still don’t want to do it
JIT in an
Look good on paper but…..
Industry
Costs are already as low as that can possibly get

But we already been doing things that way

We can`t lower costs any more without lowering quality

Everything is going just fine now ,Why change it?

That`s a lousy idea! We already tried that 20 years ago

Look we understand this stuff better than anybody(so don’t tell us

what to do)
History
of JIT Evolved in Japan after World War II, as
a result of their diminishing market
share in the auto industry.

Toyota Motor Company- first to

implement fully functioning and
successful JIT system, in 1970’s.

Japanese Manufacturers looked for a

way to gain the most efficient use of
limited resources. They worked on
"optimal cost/quality relationship.
The philosophy of JIT can be traced back to Henry Ford, but formalized JIT
originated in Japan as the Toyota Production System. W. Edwards Deming’s
lesson of variability reduction was a huge influence.

The focus of JIT is to improve the system of production

by eliminating all forms of waste.
 JIT • ZERO INVENTORY
• ZERO LEAD TIME
(JUST-IN-TIME) • ZERO FAILURE
 Eliminates waste .
Achieves streamlined production .
Eliminate disruptions in production … caused by poor
quality, schedule changes, late deliveries.
Makes the manufacturing delivery system flexible by allowing it to
handle a variety of products and changes in the level of output.
Reduces setup and delivery times .
Waste Definition
1. Overproduction Manufacturing an item before it is needed.
2. Inappropriate Processing Using expensive high precision equipment when
simpler machines would suffice.
3. Waiting Wasteful time incurred when product is not being
moved or processed.
4. Transportation Excessive movement and material handling of
product between processes.
5. Motion Unnecessary effort related to the ergonomics of
bending, stretching, reaching, lifting, and walking.

6. Inventory Excess inventory hides problems on the shop

floor, consumes space, increases lead times, and
inhibits communication.
7. Defects Quality defects result in rework and scrap, and add
wasteful costs to the system in the form of lost
capacity, rescheduling effort, increased
inspection, and loss of customer good will.

8. Underutilization of Employees Failure of the firm to learn from and capitalize on

its employees’ knowledge and creativity impedes
long term efforts to eliminate waste.
Overproduction
Waiting time
Unnecessary transportation
Processing waste
Inefficient work methods
Product defects
Strategies For Minimizing Waste By Using
JIT

Manufacturin in smaller lot sizes reduces excess inventory

g Reducing inventory levels allows the problems to be uncovered …
thus creating opportunities for manufacturing process improvement
 Principles Of JIT Manufacturing
Total quality Management

Production Management

Supplier
Management
Inventory Management

Human
Resource
Management
JIT Manufacturing Building Blocks

Product
design
Process
design
Personnel/organizationa
l
elements
Manufacturing
planning and control
1. Product Design

Standard
parts

Design
Simplification

Highly capable production systems

Concurrent
engineering
2. Process Design

Small lot
sizes
Setup time
reduction
Limited work in process

Quality
improvement
Production
flexibility
Little inventory
storage
Benefits of Small Lot Sizes

Reduced Inventory

Less Rework

Less Storage Space

Problems are more apparent

Increase Product Flexibility

Easier to balance operation

3. Personnel/Organizational Elements

Workers as assets

Cross-trained
workers

Continuous improvement

Leadershi
p
 4. Manufacturing Planning and Control

Pull
systems

Visual systems
(kanban)

Close vendor
relationships

Reduced transaction processing (delays in

delivery)

Preventive
maintenance
Evaluation and selection of vendor (suppliers) network
to develop a tiered supplier network – reducing the
number of primary suppliers

Traditional supplier Network Tiered Supplier Network

Buyer

Buyer
Supplier Supplier

supplier supplier supplier supplier

Supplier Supplier Supplier supplier
In McDonald’s
 In McDonald’s

High holding costs are the nature of the

fast
food industries.
Wastage.
Time.
 In McDonald’s

JIT system wherein McDonald's doesn't begin to cook

its orders until a customer has placed a specific order.
 Implementation of JIT

Sophisticate burger-making technology (including a

d record-breaking bun toaster)
McDonald's is able to make food fast enough to wait until
it's been ordered.
Reduction in wastage.
Implementing in JIT
Production Systems

Criteria for success

Service
Quality
People
Food preparation
Profitability

.
Supply Chain Integration
 Benefits

Improved Quality – The burgers are prepared freshly and

hence the quality has improved.
Customer service – As the burger is made only after the
order is placed, making special orders is not an issue.
Cost Reduction – Due to significant reduction in wastage
as uncooked material has a higher shelf life.
Reduction in waiting – Customer’s waiting time reduce 11
min. to just 1 and half min.
Companies adopted JIT
TOYOTA PRODUCTION SYSTEM
Minimizing Waste: These are small specialized plants that
Focused Factory limit the range of products produced
Networks (sometimes only one type of product
for an entire facility)

Some plants in
Japan have as few
as 30 and as many
Coordination as 1000 employees
System Integration
Minimizing Waste: Group Technology (Part 1)
Note how the flow lines are going back and forth

Using Departmental Specialization for plant layout can cause a lot of

unnecessary material movement

Saw Saw Saw Grinder Grinder

Heat Treat

Lathe Lathe Lathe Press Press Press

Minimizing Waste:
Group Technology (Part 2)
Revising by using Group Technology Cells can reduce movement and
improve product flow .

Grinder 1 2
Saw Lathe Lathe Press

He Treat
Heat

Grinder
Saw Lathe A B Lathe Press
Minimizing Waste: Just-In-Time Production
WHAT IT IS WHAT IT DOES

Management philosophy Attacks waste

“Pull” system though the plant Exposes problems and bottlenecks
Hydraulic Push Systems Achieves streamlined production

WHAT IT REQUIRES WHAT IT ASSUMES

Employee participation
Industrial engineering/basics Stable environment
Continuing improvement
Total quality control
Small lot sizes
Minimizing Waste: Inventory
Hides Problems
Example: By identifying
defective items from a
Machine ve
vendor early in the
downtime
production process the
Scrap Vendor downstream work is saved
Work in delinquencies Change
orders
process
queues Engineering design Design
(banks) redundancies backlogs

Example: By identifying
Paperwork Inspection Decision def
defective work by employees
backlog backlogs backlogs upst
upstream, the downstream
work is saved
Minimizing Waste: Kanban Production Control
Systems

Once the Production kanban is This puts the system

Withdrawal
received, the Machine Center back were it was
produces a unit to replace the kanban before the item was
one taken by the Assembly Line pulled
people in the first place

Storage Storage
Machine Part A Part A Assembly
Center Line

Production kanban
Material Flow
The process begins by the Assembly Line Card (signal) Flow
people pulling Part A from Storage
Determining the Number of Kanban Needed

Setting up a kanban system requires determining the number of kanban

cards (or containers) needed.

Each container represents the minimum production lot size.

An accurate estimate of the lead time required to produce a container is
key to determining how many kanban are required.

Side Bar – In Japan space is a very important consideration since there is

so
little of it. This process saves on space requirements.
Example of Kanban Card Determination:
Problem Data
A switch assembly is assembled in batches of 4 units from an “upstream”
assembly area and delivered in a special container to a “downstream”
control-panel assembly operation.

The control-panel assembly area requires 5 switch assemblies per hour.

The switch assembly area can produce a container of switch assemblies in
2 hours.

Safety stock has been set at 10% of needed inventory.

Example of Kanban Card Determination:
Calculations

Always round up!

 A.gunasekaran and J.lyu in their research implementation of just-
in-
time in a small company has depicted its advantage in SMEs. he depicted
that implementation of JIT in SMEs should start with layout revision,
schedule stability and the development of long-term supplier-customer
relationships.
A new purchasing policy supporting frequent purchases of small
lot
sizes
high may help SMEs
leverage in implementing
opportunity a JIT tremendously
would system. support the
Education and of
implementation training of workers
JIT system in SMEs about JIT concept and
in SMEs.
their
Requirement for the implementation of JIT in
Indian industry
 Management Support And Understanding Of the System.

Management And Labour Responsibilities.

Training.

Supplier
Management.
Production Layout And Work Flow.

Long‐term Planning.

Government Support .
JIT Benefits
Reduced Inventory
Improved quality
Lower costs
Reduced space
requirements
Shorter lead-time
Increased productivity
Greater flexibility
Improved vendor relations
JIT Benefits (contd.)
Simplified scheduling & control
Increased capacity
Better utilization of personnel
More product variety
Increased equipment
utilization
Reduced paperwork
Valid production priorities
Work force participation
Disadvantages of JIT

Danger of disrupted production due to non-arrival of supplies.

Danger of lost sales.

High dependence on suppliers.

Less time for quality control on arrival of materials.

Increased ordering and admin costs.

May lose bulk-buying discounts.

 JIT … Not For Everyone
JIT concepts work best when goods can produced in response to
be
consumer demand (e.g. automobiles, etc.)
JIT is less effective for the production of standardized consumer
goods (e.g. basic clothing, food, soft drinks, toasters, etc.)

There are cases where JIT concepts apply to sub-processes of

a
make to stock environment. (e.g. computers etc.)