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There are several keys features of Just in Time (JIT) production include the following The production line

that implement just in time is run on a demand pull basis, so that activity of each work station is authorized by the demand of downstream work stations. Products are produced and materials are purchased only when they are needed at the next stage. Thus, parts move through production system based on end unit demand, focusing on maintaining a constant flow of parts rather than batches of working in progress. Therefore, no component or finished goods are produced until they are needed resulting in no inventory buildup. Next are, the production line is stopped if parts are absent or defective work is discovered. In absence of buffer stock emphasis is placed on doing the job right the first time. The focus is on eliminating the root causes of defect, waste, re-work or non value added cost. JIT goes hand in hand with total quality and most business with JIT system have total quality management program because quality is not requirement but it is a result. By implement just in time in company system, set-up time and manufacturing lead time are minimized. Demand-led production may require manufacturing small quantities of the product and producing small batches is economical only if set up time are small. The analysis of activities and identification and elimination of non-value-added activities analysis and the use of advanced technologies may help to reduce the set-up times. Company can reduce or eliminate setup times. Usually the company aims for single digit setup times (less than 10 minutes) or "one-touch" setup. There no inspection required and company implement just in time to simply the process. This can be done through better planning, process redesign, and product redesign. JIT also help in reduce lot sizes (manufacturing and purchase). As materials are purchased and goods produced only as required, batch sizes tend to be small and inventory levels are low. Reducing setup times allows economical production of smaller lots; close cooperation with suppliers is necessary to achieve reductions in order lot sizes for purchased items, since this will require more frequent deliveries.

Besides that, production also will reduce its lead times (production and delivery). Production lead times can be reduced by moving work stations closer together, applying group technology and cellular manufacturing concepts, reducing queue length (reducing the number of jobs waiting to be processed at a given machine), and improving the coordination and cooperation between successive processes; delivery lead times can be reduced through close cooperation with suppliers, possibly by inducing suppliers to locate closer to the factory. Other than that, JIT production is effective preventive maintenance of equipment. If goods are to be manufactured just in time to meet customer orders, production delay must be avoided, so frequent maintenance of equipment is essential. Use machine and worker idle time to maintain equipment and prevent breakdowns because the machine and workers only be used when there are productions to be made. Lastly is flexible work force. To facilitate JIT, the production processes changes into work based teams. Workers in these teams are multi-skilled and available to work in any times. Workers should be trained to operate several machines, to perform maintenance tasks, and to perform quality inspections. In general, JIT requires teams of competent, empowered employees who have more responsibility for their own work.

Just In Time (JIT) Purchasing Arrangement A JIT system involves JIT purchasing as well as JIT production. The aim of JIT purchasing is, to reduce the carrying cost of inventory and only purchase raw materials from outside suppliers as they are needed. Less inventAory on hand means the company pays less in storage and insurance costs. JIT also requires less cash in the short term. With JIT purchasing, the company will buying less inventory, and therefore using less cash. JIT purchasing is a cost accounting purchasing strategy. With JIT, when there are orders, then purchase of material will be prepare means that the delivery of materials immediately precedes their use .The purchase the minimum number of items is to meet customer demand. JIT purchasing usually results in smaller orders for more frequent deliveries by arranging with supplier. Suppliers normally require inspecting materials before their delivery it to production and this will guarantee their quality. The company will have considerable savings in material handling expenses. JIT purchasing giving more business to fewer suppliers and placing long-term purchase orders with the company. Therefore the supplier has an assurance of long term sales, and can plan to meet the customer demand.

Advantages and Disadvantages of JIT purchasing The benefits of JIT can be divided into two aspect; cost and relationship with supplier. JIT give advantages by savings in inventory-carrying cost, reduced storage and handling costs, lower insurance costs, fewer losses due to spoilage, obsolescence and theft, decreased opportunity costs associated with having money tied up in inventory and reduced investment in raw material and work in progress stocks, In relationship with supplier, the company will benefit significant quantity discount, saving time from negotiation with fewer suppliers, and reduction in clerical work from issuing long term orders to a few suppliers rather than individual purchase orders to many suppliers. If company contract long-term with supplier, inventory price can be lock in and price fluctuations will be eliminate, which makes planning easier. Discounts also be able to secure by entering into a long-term contract. Company also wills benefits, such as superior quality expectation and ontime delivery, are expected with a long-term contract. On the other hand, there are risk factors to consider before implementing JIT purchasing. The risks are production is very reliant on suppliers and if stock is not delivered on time, the whole production schedule will be affected and production can be delayed. Other disadvantages are there is no spare finished product available to meet unexpected orders, because all products is made to meet actual orders.

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