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JIT

Since the dawn of human existence evolution in all sectors of society has occurred due to Economic factors. This has mainly happened due to the fact that all technological achievements have occurred in favor of money. Specifically we can admit that Economy is the main reason for growth and development. By these means it is in our interest to establish strong economies either as societies (macroeconomics) or as individuals (microeconomics). For these reasons several techniques and methods have been initiated in order help modern individuals to develop. Such techniques are usually Accounting or Managerial in their nature. However one of the most important technique is both an Accounting and a Managerial technique and is called "The just in time method". Just in time manufacturing "was an inventory control approach that was developed by Taiichi Ohno at Toyota Motor Company of Japan. Specifically it requires that "the exact quantity of defect-free raw materials, parts and subassemblies are produced just in time for the next stage of the manufacturing stage" (Ivancevich-Lorenzi-Skinner). That actually means an inventory is never large and by this way cost is being reduced due to the fact that there are no lo


Just-in-time production is considered to be on the leading edge of technological advancement. With improvements in the virtually every industry, maintaining an effective production line while minimizing inventory costs is a very feasible option. Just-in-time systems are designed to keep inventory costs at a minimum, unlike the ways of old, with large warehouses loaded with back inventory. With technology allowing instantaneous communication around the world, production lines and stores do not have to wait for days for inventory delivery. It can happen, well, just-in-time. Many companies are on the verge of switching to a just-in-time inventory system, to compliment the millions of companies that have already implemented the system. It is generally recognized that effective implementation of just-in-time will result in a significant reduction of inventories. As a matter of fact, inventory levels are key indicators for measuring just-in-time performance (Harrison). The just-in-time philosophy on inventory management is simple: - Strive for a level of zero inventories. - Produce items at the rate required by the customer. - Eliminate all unnecessary lead times. - Reduce setup costs to achieve the smallest economical lot size - ideally, a quantity of one. - Optimize material flow from suppliers through the production process to the point of sale of the finished product, so that inventories are minimized. - Ensure high quality and dependable just-in-time delivery from suppliers. - Implement a Total Quality Control (TQC) program, which will minimize scrap, rework and resultant delays in production (Naylor).

sses of materials due to bad demand.

Just-in-time requires flow of material in the exact quantity required and at the exact time; the key word is "exact." This is a philosophy of eliminating non value added activities and increasing product quality throughout the manufacturing process" (Meigs, Bettner,). But how can we control if our Just in time manufacturing system is efficient? The answer to that is given by Meigs and Bettner: "A widely used measure of efficiency in a Just in time system is

Some topics in this essay:
Control TQC, Japan Specifically, State-of-the-art MRP-II, Naylor Just-in-time, Just-In-Time Production, Activities Cycle, Slack Just-in-time, Accounting Managerial, Meigs Bettner, Naylor MRP, just-in-time production, inventory control, manufacturing plant, value added, inventory management, blanket purchase, value added activities, flow material, added activities, manufacturing plant supplier, just-in-time result, implementation just-in-time, blanket purchase purchasing, purchase purchasing agreement, manufacturing efficiency ratio,

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Approximate Word count = 1425
Approximate Pages = 6 (250 words per page double spaced)


  

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