Just In

Time(JIT)
Subhasri & Vasundhara
Background
◎ Following the war, Japan lacked the cash to finance big-batch, large inventory
production methods used by other developed countries.

◎ They also had high unemployment and a lack of abundant natural resources. In
order to survive, they had to “lean out” their processes.

◎ They built smaller factories, which focused on quickly turning small amounts of raw
materials into small amounts of physical products.

◎ Processing smaller batches allowed the manufacturers to reduce financial risk, while
slowing generating sustainable levels of working capital.

◎ Toyota are the pioneers in the implementation of JIT.

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“Just in time means that in a flow process, the right parts
needed in assembly reach the assembly line at the time they
are needed and only in the amount needed. A company
establishing this flow can approach zero inventory”

A set of techniques to increase productivity, improve quality, and reduce cost

of an operations

A management philosophy to promote elimination of waste and continuous

improvement of productivity
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Source: https://www.slideshare.net/aneelayousaf/jit-case-study-of-toyota 4
Main Elements of JIT

◎ Elimination of waste
○ Anything that exceeds the minimum resources needed for the appropriate
value
○ Toyota’s seven deadly wastes:
● Overproduction (excessive production resources), Inventory, Waiting,
Transportation
Processing, Motion, Defective parts

◎ Quality at the source

○ Jidoka – autonomation (automatic detection of defects, e.g., Poka-yoke)
○ Employee empowerment
○ Prevention orientation (elimination of root causes through PDSA cycle)

◎ Balanced and flexible work flow

○ Yo-i-don (ready, set, go) system
○ Stable production schedule
○ Set-up time reduction
○ Flow-shop and cellular layouts 5
Main Elements of JIT
◎ Respect for People
○ Productivity improvement needs employee support - Demonstrate by
● providing cross-training opportunities
● creating a safe and equitable work environment
● encouraging people to achieve their potential by giving them greater
responsibility and authority
● promoting teamwork (formal and informal)
● developing partnerships with unions

◎ Continuous Improvement
○ Employee suggestion system
○ Process improvement
○ 5S’s (Seiri – organization, Seiton – tidiness, Seiso – purity, Seiketsu – cleanliness,
Shitsuke – discipline)

◎ Simplification & Visual Control

○ Standard and simple product designs
○ Andon boards, Kanban pull system, Flag systems, Music as signals
○ Performance display systems
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Main Elements of JIT

◎ Focus on Customer Needs

○ Customer needs determine the “value” of a product or service
○ Be responsive to customers needs (present and future)
○ Strive to “delight,” not just “satisfy” customers

◎ Partnership with Suppliers

○ Reduce number of suppliers
○ Use long-term contracts
○ Emphasize price, delivery, and services
○ Improve communication
○ Share information
○ Develop local just-in-time delivery
○ Provide technical support to suppliers

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Benefits of JIT

◎ Production Flexibility

◎ Quick response to customer demands

◎ High quality products with low cost

◎ Low inventory systems

◎ Early detection of defects / quality problems

◎ Small lot sizes

◎ Shortened lead times

◎ Low cost of production

◎ Employee empowerment

◎ Increased supplier relations

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Implementation
The key to JIT implementation is the attitude of the manager who
is considering the changeover. The basic attitudes to JIT can be
mapped in a framework whose dimensions consist of (a) the drive
to replicate or emu- late it, and (b) the drive to innovate or
improve on it.
Focus on the pro-JIT strategy which can be characterized as the
Eightfold Way. It consists of
(1)effecting attitudinal change (2) Estabishing the JIT launchpad
(3) plantwide JIT rollout (4) comprehensive JIT (5) JIT extension
(6) JIT dispersion (7) joint JIT, (8) moving towards New JIT
Issues in Implementation:
-Sequential vs. Simultaneous ?
Toyota and Hewlett-Packard Vs. Mazda
- New Plants vs. Turnaround of Old Plants ?
Maruti-Suzuki & Harley Davidson (New Plants)
- Implementation In-house vs. in Suppliers' Facilities ?
Toyota, HP and Harley Davidson
-Emphasis on Human vs. Technical Aspects ?
Matsushita (US)
-Technology?

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JIT for Non-Manufacturing
Operations (Lean
Operations)
◎ Implement demand-pull ◎ Develop supplier partnership
operations networks

◎ Eliminate unnecessary ◎ Level work load

activities ◎ Organize problem-solving
◎ Standardize process flows groups

◎ Increase process flexibility ◎ Improve quality

◎ Reorganize physical layouts ◎ Develop effective suggestion

◎ Promote teamwork systems

◎ Cross-train employees
Thanks!
Any questions?

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