HISTORY

In 1910 Henry Ford fashioned the first comprehensive Manufacturing strategy . They took all the elements of a manufacturing system and arranged them in a continuous system for manufacturing the Model T automobile

Ford is considered by many to be the first practitioner of Just In Time and Lean Manufacturing..

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HISTORY

Toyota famously did not adopt the procedure from Ford, but from the Piggly Wiggly grocery store chain it was US supermarket system of replacing products on the shelves just in time as customer purchased them

Toyota Production System or Just In Time . They recognized the central role of inventory.

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HISTORY So What is JIT? – marriage between the

Ford’s idea of assembly line and US supermarket system of replacing products on the shelves just in time as customer purchased them.

Toyota Motor Corporation of Japan subsequently adopted and publicized JIT as part of its Toyota Production System (TPS).

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Just-In-Time, TPS, and Lean Operations

JIT is a philosophy of continuous and forced problem solving via a focus on throughput and reduced inventory

TPS emphasizes continuous improvement, respect for people, and standard work practices

Lean production supplies the customer with their exact wants when the customer wants it without waste

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Pull system kanban card

Pull system is a production or service process which is designed to deliver goods or services as they are required by the customer or, within the production process, when required by the next step. This type of system can also be called a build to order production/inventory systemThe pull system is usually implemented with the aid of a kanban card system .

Kanban is a signal

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Companies adopted JIT

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JIT IS USED BY THESE COMPANIES

Motorola Black & Decker Hewlett Packard

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DISADVANTAGE OF JIT JIT manufacturing opens businesses to a number of

risks, vulnerable to unexpected disruptions in supply chain.(traffic jams, weather..etc)

Higher transportation costs because of frequent deliveries ,which reduces amount saved from having stock.

Significant coordination between suppliers and retailers.

Requires good transportation infrastructure. Only suitable for products where the demand is

known.JIT

DISADVANTAGE OF JIT

Increases administration/ordering costs

Difficult to cope with sharp increases in demand

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advantages

Lower Warehouse Costs Storing excess inventory can cost a lot of money, and reducing the

amount of inventory you keep on hand can reduce your carrying costs as well. Companies that implement the just-in-time inventory model may be able to reduce the number of warehouses they maintain, or even allow them to eliminate those warehouses altogether.

Better Supply Chain Management The just-in-time inventory model can also help companies be more

efficient and competitive in the way they handle their supply chains and use their parts to assemble products for their customers. A more efficient supply chain can provide lower costs throughout the manufacturing process, and those lower costs can then be passed on to the customer. Those lower costs can make the company's products more affordable, and help the company gain a larger market share and stay ahead of its competitors.

Advantages Better Customer Satisfaction Implementing the just-in-time inventory management model can allow

companies to serve their customers faster and more efficiently. Companies that use the just-in-time model have a greater level of control over the entire manufacturing process, making it easier to respond quickly when the needs of customers change. For instance, a computer manufacturer that uses the just-in-time inventory control model can quickly ramp up production of a hot model, while reducing the number of unsold units and outdated products.

Less Waste When companies use the traditional method of inventory management

and control, they can end up with pallets of unsold items that simply go to waste. The company many need to slash prices on that unsold inventory just to get rid of it, which can reduce the perceived value of the firm's other products. The just-in-time inventory model reduces this waste and helps the company respond more quickly to what its customers need.