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http://whatis.techtarget.com/definition/justintimemanufacturingJITmanufacturing 1/10
10/10/2016 Whatisjustintimemanufacturing(JITmanufacturing)?DefinitionfromWhatIs.com
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PartoftheBusinesstermsglossary:
Justintime(JIT)manufacturingisaproductionmodelinwhichitemsarecreatedtomeetdemand,notcreated
insurplusorinadvanceofneed.ThepurposeofJITproductionistoavoidthewasteassociatedwith
overproduction,waitingandexcessinventory,threeofthesevenwastecategoriesdefinedintheToyota
ProductionSystem(knowninNorthAmericaastheleanproductionmodel).
TheJITconceptwasdescribedbyHenryFordinhis1923book,MyLifeandWork:
Wehavefoundinbuyingmaterialsthatitisnotworthwhiletobuyforotherthanimmediateneeds.
Webuyonlyenoughtofitintotheplanofproduction,takingintoconsiderationthestateof
transportationatthetime.Iftransportationwereperfectandanevenflowofmaterialscouldbe
assured,itwouldnotbenecessarytocarryanystockwhatsoever.Thecarloadsofrawmaterials
wouldarriveonscheduleandintheplannedorderandamounts,andgofromtherailwaycarsinto
production.Thatwouldsaveagreatdealofmoney,foritwouldgiveaveryrapidturnoverandthus
decreasetheamountofmoneytiedupinmaterials.
ToyotaadoptedJITintheToyotaProductionSystem(TPS),asameansofeliminatingthesevenwastes.
However,itwasnotattheFordMotorCompanythatToyotarepresentativessawtheJITmodelinaction.When
ToyotatouredplantsintheUnitedStatesin1956,FordhadnotyetfullyimplementedtheJITmodel.Itwasat
PigglyWiggly,thefirstselfservicegrocerychain,thatToyotarepresentativessawJITdemonstratedandthat
wasthemodeltheybasedtheirsystemon.
InthemajoralternativetoJITmanufacturing,inventoryinexcessofimmediateneedismanaged.Thatmodelis
sometimesreferredtoasjustincase(JIC)manufacturing.
Seealso:demanddrivenmanufacturing,kanban
ThiswaslastupdatedinJanuary2015
Postedby:MargaretRouse
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10/10/2016 Whatisjustintimemanufacturing(JITmanufacturing)?DefinitionfromWhatIs.com
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