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JIT philosophycJust-in-timec

c
Just-in-time Supply Chain
modelc Planning c

   pioneered by c in Japan at the Toyota car assembly plants in the early 1970s, is a
manufacturing organization philosophy. JIT cuts waste by supplying parts only when the assembly process
requires them. At the heart of JIT lies the , the Japanese word for card. This kanban card is sent to the
warehouse to reorder a standard quantity of parts as and when they have been used up in the
assembly/manufacturing process. JIT requires 
, as the right parts must arrive "just-in-time" at the right
position (c
  at the assembly line). It is used primarily for   c  cc   
processes.

Historically, the  c


 arose out of two other things:

1. Japan's wish to improve the quality of its production. At that time, Japanese companies had a bad reputation as
far as quality of manufacturing and car manufacturing in particular was concerned.

2. Kaizen, also a Japanese method of continuous improvement.

The 
  c  regards inventories as a poor excuse for bad planning, inflexibility, wrong
machinery, quality problems, etc. The target of JIT is to speed up customer response while minimizing inventories
at the same time. Inventories help to response quickly to changing customer demands, but inevitably cost money
and increase the needed working capital.

Typical attention areas of JIT implementations include:

- inventory reduction

- smaller production lots and batch sizes

- quality control

- complexity reduction and transparency

- flat organization structure and delegation

- waste minimization
Through the arrival of Internet and u ccc
 , companies have in the mean time extended

  c   c , by demanding from their suppliers to deliver inventory to the factory
only when it's needed for assembly, making JIT manufacturing, ordering and delivery processes even speedier,
more flexible and more efficient. In this way Integrated Supply Networks (Demand Networks) or Electronic
Supply Chains are being formed. Just-in-time is sometimes referred to as 'c  '.

Compare: Kaizen | Deming Cycle | Six Sigma | Value Chain | Value Stream Mapping | Bricks and Clicks |
Delta Model

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