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MB0044 : List the objectives of JIT. Explain briefly characteristics of JIT.

Posted on: October 18, 2011

MB0044  : List the objectives of JIT. Explain briefly characteristics of JIT.
Answer : Just-In-Time (JIT) manufacturing is a process by which companies don’t keep lots of excess inventory; instead, they manufacture a product as an order comes in. It is a management philosophy of continuous and forced problem solving.

The objective of JIT manufacturing system is to:

  • Eliminate waste that is, minimise the amount of equipment, materials, parts, space, and worker’s time, which adds a great value to the product
  • Increase productivity

JIT means making what the market demands when it is in need. It is the most popular systems that incorporate the generic elements of lean systems. Lean production supplies customers with exactly what the customer wants, when the customer wants, without waste, through continuous improvement.

Deploying JIT results in decrease of inventories and increases the overall efficiencies. Decreasing inventory allows reducing wastes which in turn results in saving lots of money.

There are many advantages of JIT:

  • Increases the work productivity
  • Reduces operating costs
  • Improves performance and throughput
  • Improves quality
  • Improves deliveries
  • Increases flexibility and innovativeness

For industrial organisations to remain competitive, cost efficiencies have become compulsory. JIT helps in this process. It is extended to the shop floor and also the inventory systems of the vendors. JIT has been extended to mean continuous improvement. These principles are being applied to the fields of Engineering, Purchasing, Accounting, and Data processing.

Characteristics of JIT

The consequent savings are to be utilised for reducing cost and rendering better service to the customer. Shigeo Shingo an authority on JIT at Toyota classifies the wastes to be eliminated as follows.

The seven wastes to be eliminated according to JIT are:

  • Over production
  • Inventory
  • Waiting time
  • Movement
  • Effort
  • Defective products
  • Over processing

1. Over production: Over production is to manufacture products before it is actually needed. If the demand for that product decreases, the extra parts or products produced may not be useful or needed. Also over production results in high storage costs and is also difficult to detect defects. So, over production is considered a waste.

2. Inventory: Excess procurement or production builds up stock of materials which are not immediately used, thus locking space and funds carrying heavy costs. The figure 13.2, illustrates the inventories at different levels of an organisation – Supplier distribution, Production, and Customer distribution.

3. Waiting time: Waste of time happen when goods are not moving or being processed. The operator, the machine or the part will either be not working or be worked upon. The duration of waiting is can be said to be unproductive and may create more serious consequences.

4. Movement: Any unnecessary movement is a waste of energy; it causes blockages, disrupting movements and delaying the flow of other items creating delays.

5. Effort: The people, who work, do not make a study as to how the products on which they are making are utilised and do not realise the purpose for which they are made. This lack of education will lead to waste of resources. Finally, they end up in shortage of resources when needed.

6. Defective products: The defective products lead to a tremendous loss to the company. This is because they use up the same equipments, workmen and the time that would be used to make good products. Thus defective products use up resources and result in losses.

7. Over Processing: Some steps like unnecessary processing or production do not add value to the final output. As a result, it is waste of all the inputs that go into the process.

1 Response to "MB0044 : List the objectives of JIT. Explain briefly characteristics of JIT."


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