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Spot-light

By
P.Chandra Bose
Sengu Innovations “ Plug & Work “ 1
CONTENT
1. Introduction
2. History of JIT
3. Philosophy of JIT
4. Aspects to JIT
5. Benefits of JIT
6. Key Elements of JIT
7. Drawbacks
8. System
9. Conclusion
10. References
INTRODUCTION

Just-In-Time(JIT) is defined in “ a philosophy


of manufacturing based on planned elimination of all
waste and on continuous improvement of
productivity”.

It also has been described as an approach


with the objective of producing the right part in the
right place at the right time (in other words, “Just In
Time”)
Waste results from any activity that adds cost
without adding value,

such as
The unnecessary moving of materials,
The accumulation of excess inventory,
The use of faulty production method that create
products requiring subsequent rework.
HISTORY OF JIT

The technique was first used by the Ford Motor


company during 1920s.
But the technique was subsequently adopted
and publicised by Toyota Motor Corporation of Japan
as part of its Toyota production System(TPS).
In 1954 Japanese giant Toyota implemented
this concept in order to reduce wasteful overstocking
in car production.
PHILOSOPHY OF JIT

Just In Time(JIT) inventory systems are not


just a simple method that a company has buy in to: it
has a whole philosophy that the company must
follow.
The ideas in this philosophy come from many
different disciplines including;
Statistics,
Industrial engineering,
Production management and
Behavioral science.
The Toyota Production System is built on
two main principles:

1. Just-In-Time
2. Jidoka
There are two aspects to JIT
Just in time production
Just in Purchasing.

JIT production is defined as “A system which


is driven by demand for finished products, whereby
each component on production line is produced only
when needed for the next stage.”
JIT seeks to achieve the following goals.

1. Estimation of non-value added activities


2. Zero inventory
3. Batch size of one
4. A 100% on time delivery service.
The following are the key features of JIT
production.
• The production line is run on a demand pull
basis, so that activity of each work station is
authorised by the demand of downstream work
stations.
• Set-up time and manufacturing lead time are
minimised.
BENEFITS OF JIT

• Reduced set up times


• Improved flows of goods
• Employees who possess multi-skills are utilized
more efficiently.
• Better consistency of scheduling and consistency
of employee work hours.
• Increased emphasis on supplier relationships.
• Supplies continue around the clock keeping
workers productive and businesses focused on
turnover.
The main benefit of JIT is that it can improve production
efficiency and therefore competitiveness.
• Preventing over-production
• Minimising waiting times and transport costs
• Saving resources by streamlining your production
systems
• Reducing the capital you have tied up in stock
• Dispensing with the need for inventory operations
• Decreasing product defects
Key Elements of JIT
• Uniform Plant loading
• Reduce or eliminate setup times
• Reduce lot sizes (manufacturing and purchase)
• Reduce lead time (production and delivery)
• Preventive maintenance
• Flexible work force
• Require supplier quality assurance and
implement a zero defects quality program
• Small-lot (single unit)
JIT has the following major drawbacks:

· Culture Differences
The cultures vary from firm to firm.

· Traditional Approach
The traditional approach in manufacturing is to store
up a large amount of inventory in the means of
backing up during bad time.
· Difference in implementation of JIT
Because JIT was originally established in Japanese, it is
somehow different for implementing
in western countries. The benefits may vary.

· Loss of individual autonomy


This is mainly due to the shorter cycle times which adds
pressures and stress on the workers.

· Loss of team autonomy


This is the result of decreasing buffer inventories which
lead to a lower flexibility of the workers to solve problem
individually.
· Loss of method autonomy
It means the workers must act some way when problems
occur, this does not allow them to have their own method to
solve a problem.

· JIT success is varied from industry to industry


Some industries are benefit more from JIT while others
do not.
· Relationship between management and employees
is important
· Employee commitment
Employees must commit to JIT, to enhance the quality
as their ultimate goal.

· Production level
JIT works best for medium to high range of production
volume.
· Employee skill
JIT requires workers to be multi-skilled and flexible to
change.

· Compensation should be set on time based wages.


This allow the workers to concentrate on building what
the customers wants.
The three major control phases of the productive system
Information
requirements for each
end item over the
planning horizon
Phase 1

Master production
schedule

Lot sizing rules and Materials requirements Phase 2


capacity planning planning system

Requirements Detailed shop


for raw floor schedule
materials Phase 3
Companies Currently using JIT

• Harley Davidson
• Toyota Motor Company
• General Motors
• Ford Motor Company
• Manufacturing Magic
• Hawthorne Management Consulting
• Strategy Manufacturing Inc.
CONCLUSION

The implemented successfully it would


eliminate waste, make the company more productive
and more efficient.
It does this through shorter transportation and
increased communication. Although there are many
companies that are successful, many companies are
not.
Even though there are enormous risks many
still consider implementing JIT for it many
advantages.
References……….
Modern Machine Tools
– April 2008
Production and Operations Management,
- Himalaya publishing
Internet

http://www.wikipedia.org
http://www.maaw.com/jitques.htm

http://www.justintime.com/home.html

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