MIBA

ESLSCA XVI
Group A
PQM
Project on Just In Time “JIT”
Under supervision of
Dr. Sonya El Bakry
Presented By
Zhang Jianjing
Amr Ezz El Din Hamdy
 History

and

development

of

Concept

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Just In
Time
?
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What is JIT system?

 Just-in-time (JIT):
A highly coordinated processing system in which
goods move through the system, and services are
performed, just as they are needed.
 JIT is also known as lean production, World
Class Manufacturing (WCM), Stockless
Production, Continuous Flow Manufacturing
(CFM), and many other name.
JIT II

Developed by Lance Dixon at Bose

corporation. The supplier representative
works right in the company’s plant, have
desk there, attends production meeting,
visit R&D labs, analyze sales forecast, then
he makes the orders to his company,
making sure there is always an appropriate
supply on hand. JIT II is applied at IBM,
Honeywell and Ingersoll-Rand.
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 What? Goal
When? Time
Where? Place
How to? Process
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JIT system cycle
Assembly From truck To Unloading
line truck Company
production line
Final Product

Delivery to
Order for
customer
components of
Order for 10 10 blue cars
blue cars

Consolidation Loading truck

Supplier
store of company

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 Order for 10
JIT system cycle blue cars
Assembly From truck To Unloading
line truck Company
production line
Final Product

Delivery to
customer

Consolidation Loading truck

Supplier
store of company

Order for
components 8of
10 blue cars
JIT started at Toyota

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Application of JIT at Toyota
 After WWII the president of Toyota said "Catch up
with America in three years, otherwise the
automobile industry of Japan will not survive".

 Productivity of American car worker was approx.

9 times of Japanese.

 Ohno found that American manufacturers made

great use of economic order quantities.

 This can not succeed in Japan, because total

domestic demand was low and domestic
marketplace demanded production of small
quantities of many different models.
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Application of JIT at Toyota

 Ohno devised a new system of production based

on the elimination of waste by:

 JIT : items only move through the production

system as and when they are needed
 Autonomation: Automatic detection of defects
during production, whereupon the system will
stop and not proceed until the problem has
been solved

 In this system, inventory is regarded as an

unnecessary waste
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Application of JIT at Toyota
 Car prices in the USA were typically set using
selling price = cost plus profit mark-up.

 Japan low demand make manufacturers face

price resistance. so if selling price is fixed, to
increase the profit mark-up, we reduce costs.
Toyota focused on cost reduction.

 Toyota instituted production levelling - eliminating

unevenness in the flow of items, in and out of the
factory.

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Application of JIT at Toyota

Toyota changed their factory layout to

production cells. Different machines were
clustered together so items could move
smoothly from one machine to another as
they were processed. As a result, workers
had to become skilled on more than one
machine.

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Application of JIT at Toyota
 Ohno introduced analogy of teamwork in baton relay race.
Workers were encouraged to think of themselves as
members of team.

 To have a method of controlling production (the flow of

items) in this new environment Toyota introduced the
kanban. Kanban is the Japanese word meaning “signal”
or “visible record”
 In Toyota two types of kanban for controlling the flow of
items:
 a withdrawal kanban – For items to be withdrawn
 a production ordering kanban - items to be produced

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Application of JIT at Toyota

 All movement were controlled by kanbans

with precise quantities. Defects are not
tolerated.
 Another aspect was the reduction of setup
time through re-engineering.

 Toyota took 10 years to institute kanbans

on company wide basis.

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 Summary JIT Goals and Building Blocks
Ultimate A
Goal balanced
rapid flow

Supporting - Eliminate waste

Goals
- Eliminate disturbance
- Make the system flexible

Building Product Process Personnel Manufactur-

Blocks ing Planning
Design Design Elements

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Product Design

 Standard parts: unify items used

 Modular design: interchangeable parts
 Highly capable production systems
 Concurrent engineering

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Process Design

 Small lot sizes

 Setup time reduction
 Manufacturing cells
 Limited work in process
 Quality improvement
 Production flexibility
 Little inventory storage
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Personnel/Organizational Elements

 Workers as assets
 Cross-trained workers
 Continuous improvement
 Cost accounting
 Leadership/project management

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Manufacturing Planning and Control

 Level loading
 Pull systems
 Visual systems
 Close vendor relationships
 Reduced transaction processing
 Preventive maintenance

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Supporting Goals

 Eliminate disruptions
 Make system flexible
 Eliminate waste, especially excess
inventory
 Sources of Waste
- Overproduction : Producing more than needed
- Inventory: Waste associated with keeping stocks

-Processing : Inefficient work methods, Doing task in more than

average time, high set up or changeover time.

- Transportation: moving items around a factory

- Defects: Defective items in inputs and outputs.
- Waiting time: Idle time.

Waste
Goal of JIT

The ultimate goal of JIT is a

balanced system between needed
outputs and its inputs.
To achieves a smooth, rapid flow of
materials through the system.

 To set unused resources to zero.

 Traditional Supplier Network

Buyer
Supplier Supplier
Supplier

Supplier Supplier Supplier Supplier

 Tiered Supplier Network

Buyer (Best 2 to 3 suppliers)

Supplier Supplier

Supplier Supplier Supplier Supplier

Supplier Supplier Supplier Supplier Supplier Supplier Supplier Supplier

First Tier Supplier

Second Tier Supplier
Third Tier Supplier
Comparison of JIT and Traditional
Factor Traditional (push) JIT (Pull)
Inventory forecast errors, late Minimal necessary to operate,
deliveries, not in match with materials goes directly from
market needs trucks to production lines.
Deliveries Few, in large quantities Many, in smaller quantities
according to forecast. according to needs
Lot sizes Large Small

Setup; runs Few, long runs for big Many, short runs, small
batches. batches.
Vendors Long-term relationships are Partners, in close cooperation.
unusual, change frequently.
Workers Necessary to do the work Assets, very important factor
value
Type of Mass production Mass customized production or
production 26
Big vs. Little JIT

Big JIT – broad focus

Technology management
Human relations

Vendor relations
Little JIT – narrow focus
Scheduling materials
Scheduling services of production

Materials and inventory management

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Two Views of JIT

 Romantic JIT: consists of various slogans

and idealistic goals such as lots size, zero
inventory, zero defects

 Programmatic JIT: consists of a collection

of techniques, some related to machine
changeover, layout design, production
simplification, quality, training, etc.
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JIT in Services
The basic goal in the service organization is
to provide optimum response to the
customer with the highest quality service
and lowest possible cost.
 Eliminate disruptions
 Make system flexible
 Reduce setup and lead times
 Eliminate waste
 Minimize WIP
 Simplify the process

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Production Flexibility

 Reduce downtime by reducing

changeover time
 Use preventive maintenance to
reduce breakdowns
 Cross-train workers to help clear
bottlenecks

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Production Flexibility (cont’d)

 Use many small units of capacity

 Use off-line buffers
 Reserve capacity for important customers

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Comment
Evaluation
Of
JIT system

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To apply JIT we should have these Elements
 Smooth flow of work (the ultimate goal)
 Elimination of all kind of waste
 Continuous improvement
 Eliminating anything that does not add
value
 Simple systems that are easy to manage
 Use of product layouts to minimize moving
materials and parts, Using of production
cells.
 Quality at the source 33
Elements of JIT (cont’d)

 Preventative maintenance
 Poka-yoke – fail safe tools and methods
 Good housekeeping
 Set-up time reduction
 Cross-trained employees
 A pull system

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How to Transform to a JIT System?
 Get top management commitment
 Decide which parts need most effort
 Obtain support of workers
 Start by trying to reduce setup times
 Gradually convert operations
 Convert suppliers to JIT
 Prepare for obstacles
Problems in conversion to JIT

 Management may not be committed

 Workers/management may not be
cooperative
 Supplier may resist
 Increase of transportation cost
 Traffic congestion due to frequent
deliveries
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Problems with JIT system

 It may not suit every business. JIT doesn't

necessarily reduce inventory in total.

 One firm operating a JIT system can reduce its

inventory, but this is often at the expense of firms
further up or down the chain.

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Problems with JIT system (con’t)

 Many firms implementing JIT still

actually have quite a lot of inventory, it
just happens to be carted around on
trucks instead of sitting around in
warehouses.

 Those warehouses are still standing as

well, often empty. This is a form of
waste as well.
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Suppliers at JIT

Supplier gets:
 long-term, guaranteed, contract

 a good price

 steady demand

 minimal paperwork (e.g. use electronic

means to order - such as email or Web or
electronic data interchange, EDI)

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Suppliers at JIT

In return the supplier agrees to :

 quality components (e.g. zero defects)

 guaranteed delivery times

 a "partnership" with its customer

 contingency plans to cope with disruptions,

common disruptions might be:
 the effect of bad weather
 a truck drivers strike blocking roads/ports
 a flu outbreak reducing the supplier's workforce

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Suppliers at JIT

Supplier selection criteria:

 close to production plant (else potential
transportation delays)
 good industrial relations ("involvement",
"value", "dignity", "ownership"), no strike
deals
 you believe that the supplier can met their
promises with respect to the list of factors
given above that that they are agreeing to
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What are the benefits in return ?

 higher worker participation

 more skilled workforce, able and wiling
to switch roles
 improved relationships with suppliers
 Flexibility
 Reduced lead times
 Increased productivity
Benefits of JIT Systems (cont’d)
 better quality products
 quality the responsibility of every worker,
not just quality control inspectors
 lower setup times
 smoother production flow
 less inventory, of raw materials, work-in-
progress and finished goods
 cost savings
Benefits of JIT Systems (cont’d)

 Increased equipment utilization

 Reduced scrap and rework
 Reduced space requirements
 Pressure for good vendor relationships
 Reduced need for indirect labor
Application of
JIT in
JITTeaching
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Just in Time Teaching (JiTT)

 Just-in-Time Teaching is a method for instructors

to determine what areas of difficulties &
misconceptions their students have, just in time to
prepare for class.

 In class, the instructor may focus specifically on

the students’ responses, thereby responded most
effectively to their learning needs.

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Just in Time Teaching (JiTT)

 To have students complete web-based

assignments outside of class to engage them in
the course material.
 The students submit their responses online a few
hours before class begins.
 This allows the instructor time to review the
student submissions, see if any misconceptions
need to be clarified, and prepare for an active
learning environment based on the student
responses 'just in time' for lecture
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Just-in-Time Teaching: How it works.

Instructor poses

1
Warm-up Question
2 Students respond
before class

In class, instructor presents anonymous

4 response addressing general trend of

misconception or difficulty

Anonymous
student response
as example of general
trend in misconception
3 Instructor quickly scans responses noting
trends & collecting specific responses

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Goals of JITT
 To maximize the efficacy of the classroom
session when human instructors are present.

 To structure the out-of-class time for

maximum learning benefit - students are
encouraged to prepare for class regularly.

 To help instructors identify students'

difficulties in time to adjust lesson plans.

 To help students develop a stronger "need to

know." 49
Goals of JITT
 To establish an interactive environment in the
"lecture" classroom - to create a setting more
participatory and student centered.

 To help the instructor develop more precise

and tailored explanations to address student
misconceptions about the course material.

 Increases students’ ownership of their own

learning

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Variety of Assignments Applied to JiTT

 To review assigned readings in the textbook

 To review readings beyond the textbook
(articles, research papers, etc.)
 To examine an image or graph and interpret
 To solve problem sets

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Application of JiTT

 JiTT can be very useful for lecture-only

courses with small or large enrollments.

 Large enrollment lecture-only courses can

use JiTT as a springboard for small group
discussions and breakout sessions.

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 We are
pleased
to answer your
Questions
Now ?
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 End
of
Presentation
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Thank You
for your
Attention 55
References

 Operation Management for Stevenson 8e

 Strategic management for Wheelen 9e
 http://www.strategosinc.com/just_in_time.htm
 http://people.brunel.ac.uk/~mastjjb/jeb/or/jit.html
 http://www.semiconfareast.com/jit.htm
 http://www.readpen.ca/article.html
 http://www.training-management.info/JIT.htm
 http://webphysics.iupui.edu/jitt/what.html

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Eli Whitney

While Eli Whitney is most famous as the

inventor of the cotton gin, the gin is a minor
accomplishment compared to his perfection
of the concept of interchangeable parts.
Whitney developed this about 1799 when
he took a contract from the U.S. Army for
the manufacture of 10,000 muskets at the
unbelievably low price of $13.40 each.

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Frederick W. Taylor

 Frederick W. Taylor look at individual

workers and work methods. The result was
Time Study and standardized work. Taylor
was a controversial figure. He called his
ideas Scientific Management. The
concept of applying science to management
was sound but Taylor simply ignored the
behavioral sciences. In addition, he had a
peculiar attitude towards factory workers.
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Frank Gilbreth

 Frank Gilbreth (Cheaper By The Dozen)

added Motion Study and invented Process
Charting. Process charts focused attention
on all work elements including those non-
value added elements which normally occur
between the "official" elements.

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Henry Ford

 Starting about 1910, Ford and his right-hand-

man, Charles E. Sorensen, fashioned the first
comprehensive Manufacturing Strategy. They
took all the elements of a manufacturing
system- people, machines, tooling, and
products- and arranged them in a continuous
system for manufacturing the Model T
automobile. Ford was so incredibly successful
he quickly became one of the world's richest
men and put the world on wheels. Ford is
considered by many to be the first
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Demming

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Juram

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