Just-in-time

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Supply Chain Planning. Explanation of Just-in-time philosophy of Taiichi Ohno. ('70)


Just-in-Time

What is Just-in-Time? Definition

Just-in-time was pioneered by Taiichi Ohno in Japan at the Toyota car assembly plants in the early 1970s. It is a manufacturing organization philosophy.  JIT decreases waste by supplying parts only when the assembly process requires them. At the heart of JIT lies the kanban, the Japanese word for card. This kanban card is sent to the warehouse to request a standard quantity of parts as and when they have been used up in the assembly/manufacturing process. JIT requires precision, as the right parts must arrive "just-in-time" at the right position (work station at the assembly line). It is used primarily for high-volume repetitive flow manufacturing processes.


History of Just-in-Time

Historically, the JIT philosophy arose out of two other things:

  1. Japan's wish to improve its production quality. 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 Just-in-time framework 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 respond quickly to changing customer demands, but inevitably cost money and increase the needed working capital.


In 1990 James Womack wrote a book called "The Machine That Changed The World", introducing the terminology 'Lean Manufacturing'. Also you may encounter the word: 'Lean Production'. The principles behind these approaches do not substantially differ from the techniques developed by Ohno at Toyota.


Attention Areas of Just-in-Time

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.

External extended Just-in-Time

Through the arrival of Internet and Supply Chain Planning software, companies have in the mean time extended Just-in-time manufacturing to outside the company borders. 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.


Special Interest Group - Just-in-time


Special Interest Group (1190 members)


Forum - Just-in-time  

Discussions about Just-in-time.


  How to Reduce the Vendor Risks with Just-in-Time ?
When we execute JIT, we normally require our vendor to prepare some stock to deliver fast. If there (...)
 
 
 
 
  Can Just-in-Time Work Without Kanban?
Just-in-Time is a basic philosophy or a paradigm. If you read about it, you still have no idea HOW t (...)
 
 
 
 
  Importance of Inventory Velocity
Why is inventory velocity so important in supply chain management? (...)
 
 
 
 
  Experiences with Including Purchased Parts in Kanban
Taiichi Ohno was plant manager of a Toyota factory when he started experimenting with JIT, Kanban an (...)
 
 
 
 
  Sustainable Business Approach after Years of JIT
I had a very interesting conversation with someone who has become recently Chief Sustainability Offi (...)
 
 
 
 
  Just-in-time Needs Flexibility
Of course, Just-in-time needs a flexible manufacturing system. But actually, this flexibility has s (...)
 
 
 
 
  Classification of Lean Tools
Can you briefly explain how to classify lean tools? I mean: different people seem to classify Lean (...)
 
 
 
 
  Lean and JIT Manufacturing
Is there any difference between Lean and JIT Production? (...)
 
 
 
 
  Kanban and Procurement Planning
Does the Kanban or the pull system contradict with the procurement planning early in the project lif (...)
 
 
 
 
  The Impact of JIT on the Organization of Production Planning
JIT will have a strong impact on your organization of production planning. With JIT, a factory shou (...)
 
 
 
 
Hot List of Barriers to Just-in-Time | Barriers to JIT
Though JIT as a theoretical concept seems superb, there are practical barriers in getting this conce (...)
 
 
 
 
  JIT in Variable Marketplaces
In trying to implement a JIT system within my organisation. We are finding difficulties due to the r (...)
 
 
 
 
  Customer Support in Just in Time is Needed
I think for implementing Just-In-Time, the customer must support it with firm and better forecasting (...)
 
 
 
 
  Information Velocity
Why is information velocity important in supply chain management? (...)
 
 
 
 
  Poka Yoke - Explanation
Poka Yoke is a method that shapes the production process the way it gets almost impossible to make m (...)
 
 
 
 
  Disadvantages of JIT
A lean system has no resilience. Integrating JIT as far as possible back up the supply line creates (...)
 
 
 
 
  JIT is Playground for Big Companies
I think that JIT or zero inventory or any system aiming similar targets needs power to execute. Ther (...)
 
 
 
 
  Intent of Just in Time
In my view, ultimately the intent of just in time is to minimise cost. Which must be understood very (...)
 
 
 
 

Best Practices - Just-in-time

Here you find the most valuable discussions from the past.


  Definition of Just-in-time
JIT can be considered as: 1. A way of life 2. A philosophy of continuous improvement 3. A way to (...)
 
 
 
 
  Assumptions of Just-in-time (JIT)
Assumptions for effective JIT: 1. It depends on the type of product a company is manufacturing. JIT (...)
 
 
 
 
  Single Minute Exchange of Dies
Dear reader, I am currently working on a Single Minute Exchange of Dies (SMED) project in a beer pro (...)
 
 
 
 
  Combining JIT and Outsourcing
JIT and outsourcing go hand in hand. On one side it seems contradictory. JIT stands for producing a (...)
 
 
 
 
  The Principles of Lean
Lean works on certain principles: 1. Identify customer specific value (customer requirements); 2. (...)
 
 
 
 
  Lean Manufacturing Tools for Beginners
Could somebody tell me what are the most important lean tools and techniques that should be used in (...)
 
 
 
 
  Just-in-time: Problematic or Possible?
Just-in-time (JIT) has always been a troublesome part of the management of any supply chain. However (...)
 
 
 
 

Expert Tips - Just-in-time

Here you will find advices by experts.


 

Main Advantages of JIT?

Benefits of Just-in-time (...)
 
 
 

Lean Tools to Attack Waste

Waste Management, Waste Tools Overview (...)
 
 
 

7 Things to Avoid in Just-in-Time

Just-in-Time Pitfalls (...)
 
 
 

Use of Andon as Part of Just-in-time

Signaling Abnormalities (...)
 
 
 

The 8 Wastes of Lean Explained

Waste Management (...)
 
 
 

Standard Work in Just-in-Time

Just-in-Time (...)
 
 
 

Operation Management Issues and Focus Areas

Operations Management, JIT, Kaizen (...)
 
 
 

How to Focus your Improvement Efforts?

Achieve More With Less, Kaizen, BPR, JIT, Lean, Value Chain (...)
 
 
 

Synonyms of Just-in-time (JIT)

Other Terms that are used to Indicate JIT (...)
 
 
 

JIT II

JIT with supplier (...)
 
 
 

Obtaining a High Supplier Quality

Best Practice to Consider (...)
 
 

Resources - Just-in-time

Here you find powerpoint presentations, micro-learning videos and further information sources.


Summary of Lean Manufacturing and Maintenance. History, Tools, PROs and CONs

Operational Excellence, Maximizing Efficiency (...)
 

The Role of Value Chain Functions, Quality Management and Innovation in Competitive Advantage

Value Chain Management, Quality Management, Innovation, Operational Excellence (...)
 

Financial Consequences from Implementing Lean Manufacturing

JIT, TQM (...)
 

Lean Production for a Green Environment

Lean Production, Lean Manufcaturing (...)
 

Lean Assessment Tool

Lean / Six Sigma Assessment (...)
 

Managing your Inventory: Quick Introduction to Just in Time, Stock Review and ABC Analysis

Basic Understanding of 3Inventory Management Techniques (...)
 

Compare with: Kaizen  |  Deming Cycle  |  Scientific Management  |  Six Sigma  |  Value Chain  |  Value Stream Mapping  |  CPFR  |  Bricks and Clicks  |  Delta Model  |  3rd Party Logistics (3PL)  |  RFID Technology


Return to Management Hub: Change & Organization  |  Supply Chain & Quality


More Management Methods, Models and Theory

Special Interest Group Leader
Eric Schmitz
Consultant

 


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