Just in Time

JUST-IN-TIME
MANUFACTURING
A PowerPoint Presentation
BY
VARUN BABU
WHAT IS JIT?
 JIT is a manufacturing
philosophy involving an
integrated set of
procedures/activities
designed to achieve a volume
of production using minimal
inventories.
 A highly coordinated
processing system in which
goods move through the
system, and services are
performed, just as they need.
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HOW IT WORKS?
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HISTORY
 Evolved in Japan after World War II, as a

result of their diminishing market share
in the auto industry.
 Founded by Taiichi Ohno, a vice
president of Toyota.
 Basically implemented in Toyota plant
1950, well established after 1970.
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FOLLOWERS
 Adopted by General Electrical in the USA in

the 1980.
 Some companies referred JIT with different
names:
i. TOYOTA – ‘Toyota System’
ii. IBM – ‘Continuous flow manufacturing’
iii. GE- ‘Management by sight’
iv. HEWLETT- PACKARD- ‘stockless production
& repetitive manufacturing system’
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7 WASTES
1) Waste of over production

2) Waste of waiting
3) Waste of transportation
4) Waste of Underutilization
of Employees
5) Waste of Inventory
6) Waste of motion
7) Waste of making
defective products
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PRINCIPLES OF JIT
PRODUCTION
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TOTAL QUALITY MANAGEMENT
 Seek long-term
commitment
 Quality must be a
higher priority than cost
 Minimize Waste
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PRODUCTION MANAGEMENT
 Pull System vs. Push System
 Pull = Made to order
 Push = Made for inventory
 Communication Techniques
 Completion of task-Kanban
 Problem- Andon or siren/light
 Flexibility of the system
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 Design For Testability

SUPPLIER MANAGEMENT
 Establish Long Term Relationships with few

E.g. Toyota Productions
suppliers.
 Delivery of Parts = 100% Defect Free

 Where they are needed
 When they are needed
 The exact quantity
 Work Together
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INVENTORY MANAGEMENT
 Eliminate Safety Stock = Zero Inventory
 Inventory is Evil
Traditional systems use

Water = Inventory inventory (water) to buffer the
process from problems (rocks)
that cause disruption.
Poor
Material Break Material
training
handling
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downs
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Long
problems setups
JIT systems view inventory as waste and work to lower
inventory levels to expose and correct the problems (rocks)
that cause disruption.
Material
Material Poor Break quality Long
handling
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training downs
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setups
Lowering the level of inventory is relatively easy to do.
However, the problems that arise must be corrected
quickly … Otherwise, the process will flounder.
Poor
Material
training
Material
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Break downs quality
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Long
handling problems setups
HUMAN RESOURCE
MANAGEMENT
 Company-wide Involvement
 Motivation for
continuous
improvement
 Problem Solving
 Diversified Employees
 Management Support and

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Empowerment of workforce
JIT MANUFACTURING BUILDING
BLOCKS
Ultimate A
Goal balanced
rapid flow
Supporting Reduce setup

Goals and lead times
Eliminate disruptions Eliminate waste
Make the system flexible Minimize inventories
Product Process Personnel Manufactur-

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Design Design Elements
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ing Planning
REQUIREMENTS OF JIT
 Respond to Customer
 Use a pull Production
Requirements System
 Integrate all Processes  Design products for
 Employee Participation Manufacturing
 Company wide  Develop Controllable
Commitment to Production Processes
education  Have Defect Prevention
 Eliminate redundancy Program
 Reduce all Inventory  Reduce Setup Times
 Establish Continuous
Improvement Goals  Build Products to
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Specification
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OBSTACLES IN CONVERSION
 Management not committed

 Workers not cooperative
 Decide which parts need most effort
 Start by trying to reduce setup
times
 Gradually convert operations
 Convert suppliers to JIT
 Prepare for obstacles
 Suppliers may
resist
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ADVANTAGES OF JIT
 High quality
 Flexibility
 Reduced setup times
 Reduced need for indirect labor
 Less waste
 Low warehouse cost
 Synchronization between production scheduling
and work hour
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DISADVANTAGES OF JIT
 Time consuming
 No spare product to meet un expected

order
 Supply Shock : If products do not reach on

time
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 High risk factor
JIT IN GOODS :
 Leveraged JIT principles to make its manufacturing

process a success
 Leverage their suppliers to achieve the JIT goal
 Provide exceptionally short set up times to their

customers
 Suppliers carry inventory instead of carrying it

themselves.
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 Seamless system that allows it to transmit its
component on requirements
 Willingness of suppliers to keep inventory on hand.
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JIT IN SERVICES: MAC D
McDonald’s is the best example of JIT in

Services ! 3
 McDonald's doesn't begin to cook until a
customer has placed a specific order.
 The major benefits are better food at a lower

cost.
 Wastage is reduced along with an improvised

taste that makes you want to scream out I’m
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Lovin’ It ! 02/07/202
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THANK YOU!!
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Just in Time

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Just in Time

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JUST-IN-TIME

 Evolved in Japan after World War II, as a

 Adopted by General Electrical in the USA in

1) Waste of over production

higher priority than cost

 Flexibility of the system

 Design For Testability

 Establish Long Term Relationships with few

 Delivery of Parts = 100% Defect Free

Traditional systems use

 Management Support and

Supporting Reduce setup

Product Process Personnel Manufactur-

 Management not committed

 No spare product to meet un expected

 Supply Shock : If products do not reach on

 Leveraged JIT principles to make its manufacturing

 Leverage their suppliers to achieve the JIT goal

 Provide exceptionally short set up times to their

 Suppliers carry inventory instead of carrying it

 Willingness of suppliers to keep inventory on hand.

McDonald’s is the best example of JIT in

 The major benefits are better food at a lower

 Wastage is reduced along with an improvised

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