Just-In-Time (JIT) Manufacturing is a philosophy rather than a technique. By eliminating all waste and seeking continuous improvement, it aims at creating manufacturing system that is response to the market needs.
The phase just in time is used to because this system operates with low WIP (Work-In-Process) inventory and often with very low finished goods inventory. Products are assembled just before they are sold, subassemblies are made just before they are assembled and components are made and fabricated just before subassemblies are made. This leads to lower WIP and reduced lead times. To achieve this organizations have to be excellent in other areas e.g. quality.
According to Voss, JIT is viewed as a “Production methodology which aims to improve overall productivity through elimination of waste and which leads to improved quality”.
JIT provides an efficient production in an organization and delivery of only the necessary parts in the right quantity, at the right time and place while using the minimum facilities”.
Shiego Shingo, a Japanese JIT authority and engineer at the Toyota Motor Company identifies seven wastes as being the targets of continuous improvement in production process. By attending to these wastes, the improvement is achieved.
Wastes in operations
Benefits of JIT
The most significant benefit is to improve the responsiveness of the firm to the changes in the market place thus providing an advantage in competition. Following are the benefits of JIT:
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