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Just-In-Time Manufacturing Overview

The document discusses Just-In-Time (JIT) manufacturing. It was developed by Toyota to purchase materials and produce units only as needed to meet demand. JIT reduces inventories to minimum levels. Companies using JIT must have organizational commitment and support from customers and suppliers. The document lists Toyota, GM, and Ford as examples and discusses advantages like reduced costs and inventory and disadvantages like risks from supply chain disruptions.

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Sachin Methree
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25 views11 pages

Just-In-Time Manufacturing Overview

The document discusses Just-In-Time (JIT) manufacturing. It was developed by Toyota to purchase materials and produce units only as needed to meet demand. JIT reduces inventories to minimum levels. Companies using JIT must have organizational commitment and support from customers and suppliers. The document lists Toyota, GM, and Ford as examples and discusses advantages like reduced costs and inventory and disadvantages like risks from supply chain disruptions.

Uploaded by

Sachin Methree
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd

Just-In-Time

Presented By :
NILESH SONAWANE SIDDHESH TILEKAR SAMAR PANDIT GANESH PIMPLE GANESH SHIRSHAD ATIT SUKHE ANIL CHILARGE AJAY SHUKLA
40 45 30 74 75 41 53 76

JUST IN TIME
The JIT was developed at the Toyota motor company of

Japan by Taiichi Ohno.


just In Time (JIT) is a production and inventory control

system in which materials are purchased and units are produced only as needed to meet actual customer demand.

JIT used by company


When Companies use Just in Time (JIT) manufacturing

and inventory control system, they purchase materials and produce units only as needed to meet actual customers demand. In just in time manufacturing system inventories are reduced to the minimum and in some cases are zero. JIT approach can be used in both manufacturing and merchandising companies.

How Just-In-Time Systems Work ?


The main requirements are organizational commitment to the companys internal structures related to JIT techniques, and customer and supplier support systems. Firm-wide commitment and knowledgeable management run hand in hand because first you need knowledgeable management to have firm-wide commitment. The management must be able to teach the employees about JIT and support the effort completely. They must know everything about JIT so that they can inform everyone of what is going on at all times

List of Companies that use just in time (JIT):


Toyota Motor Company

General Motors
Ford Motor Company

Manufacturing Magic
Hawthorne Management Consulting

Advantages of JIT

Reduction in inventories Improved quality Shorter lead times Lower production costs Increased productivity Increased machine utilization Greater flexibility Creating space in the factory Less waste; Greater return on investment.

Disadvantages of Just in Time Manufacturing System:


It may be difficult and expensive to introduce. JIT manufacturing also opens businesses to a number of

risks, notably those associated with your supply chain. With no stocks to fall back on, a minor disruption in supplies to your business from just one supplier could force production to cease at very short notice. JIT requires multi-skilled workers with flexibility to change.

Real Business Example of disadvantage


Just-in-time manufacturing system has many

advantages, but they are vulnerable to unexpected disruptions in supply. A production line can quickly come to a halt if essential parts are unavailable. Toyota, the developer of JIT, found this out the hard way. One Saturday, a fire at Aisin seiki Company's plant in Aichi Prefecture stopped the delivery of all break parts to Toyota. By Tuesday, Toyota had to close down all of its Japanese assembly line. By the time the supply of break parts had been restored, Toyota had lost an estimated $15 billion in sales.

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