How To Do Federal Style In A Very Small Room Just in Time Production (JIT) – Part of the Supply Chain Management Process

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Just in Time Production (JIT) – Part of the Supply Chain Management Process

Just in time is a production method used within the domain of Supply Chain Management. This manufacturing process is driven by a series of indicators known as Kanban. These signals inform manufacturers when the next required part needs to be made. Kanbans often take the form of “tickets”. When the system is fully implemented, the Just in time method can dramatically improve a manufacturer’s quality and efficiency. In addition, it can also increase the levels of return on investment.

When using this method of supply chain management, inventory is not replenished until current levels fall below a predetermined level. This means that storage remains uncluttered and any available space can be used to its full potential. The main drawback of this style of operation is that reorder levels are always determined by previous demand levels. Therefore, if there is a sudden surge in demand, stocks may end up running out as a result. This can have a very negative effect on customer service and lead to unhappy customers. It is vital that the Just in time system is managed well for it to reap rewards. Another term related to this manufacturing method is “Kaizan”. This means “the continuous improvement of a process”.

One of the first companies to implement the Just in time strategy was the Ford Motor Company. They used a “dock to factory floor” concept, whereby incoming materials went directly to the production area and were never stored idle on site. This meant that there was a massive reliance on the reliability of the transport or logistics company supplying the parts. The Japanese car company Toyota was also one of the first employers of this process. The Just in time strategy has roots in Japan and is very popular there due to the high premium required for any type of storage or storage space.

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