A PRESENTATION ON

JIT(JUST-IN-TIME)

By: Ankit saxena

JIT
? “A philosophy of manufacturing
based on planned elimination
of waste and continuous
improvement of productivity
……”
Histor
y of  Evolved in Japan after World War II, as
a result of their diminishing
share in the auto industry.
market
JIT  Toyota M otor Company- first
implement fully functioning to
successful JIT system, in 1970’s. and

 Japanese Manufacturers looked for a

way to gain the most efficient use of
limited resources. They worked on
"optimal cost/quality relationship.
The philosophy of JIT can be traced back to Henry Ford, but formalized JIT
originated in Japan as the Toyota Production System. W. Edwards Deming’s
lesson of variability reduction was a huge influence.

The focus of JIT is to improve the system of

production by eliminating all forms of
waste.
 JIT • ZERO
INVENTORY
(JUST-IN-TIME) • ZERO LEAD TIME
• ZERO FAILURE
Eliminates waste .
 Achieves streamlined production .
Eliminate disruptions in production … caused by poor
quality, schedule changes, late deliveries.
 Makes the manufacturing delivery system flexible by allowing
it to
handle a variety of products and changes in the level of output.
Reduces setup and delivery times .
Wast Definitio
e
1. Overproduction n
Manufacturing an item before it is needed.
2. Inappropriate Processing Using expensive high precision equipment
when simpler machines would suffice.
3. Waiting Wasteful time incurred when product is not
being moved or processed.
4. Transportation Excessive movement and material handling
of product between processes.
5. Motion Unnecessary effort related to the ergonomics of
bending, stretching, reaching, lifting, and
walking.
6. Inventory
Excess inventory hides problems on the shop
floor, consumes space, increases lead times,
and inhibits communication.
7. Defects
Quality defects result in rework and scrap, and
add wasteful costs to the system in the form of
lost capacity, rescheduling effort, increased
inspection, and loss of customer good will.
8. Underutilization of Employees
Failure of the firm to learn from and capitalize
on its employees’ knowledge and creativity
 Overproduction
 Waiting time
 Unnecessary
transportation
 Processing waste
 Inefficient work methods
 Product defects
Strategies For Minimizing Waste By Using
JIT

Manufacturing in smaller lot sizes reduces excess inventory

Reducing inventory levels allows the problems to be uncovered …
thus creating opportunities for manufacturing process
improvement
 Principles Of JIT
Manufacturing
Total quality Management

Production Management

Supplier Management

Inventory Management

Human Resource
Management
JIT Manufacturing Building
Blocks

Product design

 Process design

Personnel/organization
al elements

Manufacturing
planning and
control
1. Product
Design
 Standard parts

 Design Simplification

 Highly capable production

systems

 Concurrent engineering
2. Process
Design
 Small lot sizes

 Setup time reduction

 Limited work in
process

 Quality improvement

 Production flexibility

 Little inventory storage

Benefits of Small Lot
Sizes

Reduced Inventory

Less Rework

Less Storage Space

Problems are more apparent

Increase Product Flexibility

Easier to balance operation

3. Personnel/Organizational
Elements

 Workers as assets

 Cross-trained workers

 Continuous
improvement

 Leadership
 4. Manufacturing Planning and
Control
 Pull systems

 Visual systems (kanban)

 Close vendor relationships

 Reduced transaction processing (delays

in
delivery)

 Preventive maintenance
Evaluation and selection of vendor (suppliers) network
to develop a tiered supplier network – reducing the
number of primary suppliers

Traditional supplier Tiered Supplier

Network Network

Buyer

Buyer
Supplier Supplier

supplier supplier supplier supplier

Supplier Supplier Supplier supplier
In
McDonald’s
 In
McDonald’s

 High holding costs are the nature of the fast

food industries.
 Wastage.
 Time.
 In
McDonald’s

JIT system wherein McDonald's doesn't begin to

cook its orders until a customer has placed a
specific order.
 Implementation of
JIT

Sophisticated burger-making technology (including

a record-breaking bun toaster)
McDonald's is able to make food fast enough to wait
until
it's been ordered.
Reduction in wastage.
Implementing in
JIT Production
Systems

 Criteria for success

 Service
 Quality
 People
 Food preparation
 Profitability

.
 Benefits

Improved Quality – The burgers are prepared freshly and

hence the quality has improved.
Customer service – As the burger is made only after the
order is placed, making special orders is not an issue.
 Cost Reduction – Due to significant reduction in
wastage
as uncooked material has a higher shelf life.
Reduction in waiting – Customer’s waiting time reduce 11
min. to just 1 and half min.
Companies adopted
JIT
TOYOTA PRODUCTION
SYSTEM
Minimizing These are small specialized plants
Waste: Focused that limit the range of products
Factory produced (sometimes only one type
Networks of product for an entire facility)

Some plants in
Japan have as few
as 30 and as
Coordination many as 1000
System Integration employees
Requirement for the implementation of JIT in
Indian industry
 Management Support And Understanding Of the
System.

 Management And Labour Responsibilities.

 Training.

 Supplier Management.

 Production Layout And Work Flow.

 Long‐term Planning.

 Government Support.
JIT
Benefits
 Reduced Inventory
 Improved quality
 Lower costs
 Reduced space
requirements
 Shorter lead-time
 Increased productivity
 Greater flexibility
 Improved vendor relations
JIT Benefits
(contd.)
 Simplified scheduling & control
 Increased capacity
 Better utilization of personnel
 More product variety
 Increased equipment
utilization
 Reduced paperwork
 Valid production priorities
 Work force participation
Disadvantages of
JIT
 Danger of disrupted production due to non-arrival of
supplies.

 Danger of lost sales.

 High dependence on suppliers.

 Less time for quality control on arrival of materials.

 Increased ordering and admin costs.

 May lose bulk-buying discounts.

 JIT … Not For
Everyone
JIT concepts work best when goods can be produced in response
to consumer demand (e.g. automobiles, etc.)

 JIT is less effective for the production of standardized consumer

goods (e.g. basic clothing, food, soft drinks, toasters, etc.)

There are cases where JIT concepts apply to sub-processes of a

make to stock environment. (e.g. computers etc.)