JIT and Advantages Of JIT (Just In Time) Manufacturing.

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JIT and Advantages Of JIT (Just In Time) Manufacturing:

JIT (Just In Time) manufacturing is very benificial for lean manufacturing.
The benifits of JIT for manufacturing industries are a lot.
Some of the advantages of JIT in manufacturing are as follows-

  1. Lesser Cost Of Production.
  2. Less working capital is required to finance for procurement. 
  3. Minimum re-order level.
  4. Works on a demand-pull basis, in the volatile and unpredictable market demand.
  5. Inspection costs and Rework costs are minimized.
  6. High customer satisfaction due to constant communication with the customer.
  7. Reduction in Manufacturing Lead Time and Increased Conformance to Delivery Lead Time.
  8. Reduction in Inventory Investment and Increased Investment Savings.
  9. Increased Revenue and High ROI (Return On Investments).
  10. Increased Response Speed to Market Needs.
  11. Close relationships and Improved Workforce Morales.
  12. Uncovering of Problems.
  13. Keeps stock holding costs minimum and better space utilization with Low or No warehousing cost.
  14. Eliminates waste.
  15. Elimination of Overproduction.


JIT APPROACH:

  • Low Cost, High Quality, Limited Market.
  • Design For Manufacturing (DFM).
  • Flexible and Moderately Used Capacity.
  • Repetitive Production System.
  • Short Lead Times.
  • Accurate Planning.
  • Employing Kanban.
  • Manual Transfer.
  • Cooperative Attitude.
  • Small WIP Inventories.
  • Single Sourcing.
  • Supplier as a part of Team.
  • Focuses on Control.
  • Preventive Maintenance.
  • Parts Inspection by Workers.
  • Zero Defect Goal.
  • Maintenance by Operators.
  • Slow Equipment Runs.


TRADITIONAL APPROACH:

  • Traditional approach of inventory system.
  • Accepting all customer orders.
  • Highly Utilized Capacity.
  • Inflexible Capacity.
  • Job-Shop Transformation System.
  • Long Lead Times.
  • More Time Taken For Decisions.
  • Job-shop approach & Handling Equipments Required.
  • Competitive attitudes between Workers and Managers.
  • Large WIP Inventories.
  • Multiple Sourcing.
  • Suppliers as Adversaries
  • Focuses on planning.
  • Goods Inspection at critical points.
  • Scraps Tracked.
  • Breakdown Maintenance.
  • Maintenance by experts.
  • Equipments Run is Fast.


Disadvantages of Adopting Just-In-Time (JIT) in Manufacturing Systems:

  1. Provides zero tolerance for mistakes.
  2. Makes re-working very difficult in practice, as inventory is kept at minimum.
  3. High reliance on suppliers.
  4. No buffers for delays for Production Downtime and Line Idling.
  5. Unexpected increase in orders affects on smooth production.

Location: India

Comments

  1. pavani27 November 2021 at 08:22

    Really explains everything in detail, the article is very interesting and effective. Thank you and good luck with the upcoming articles.What is Just In Time Manufacturing


    ReplyDelete

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