Just-in-Time Management System

Goals
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Goals of JIT can vary, but there are a few that should be constant in any JIT system.  Increasing the organization’s ability to compete with others and remain competitive over the long run is very important.  The competitiveness of the firms is increased by the use of JIT manufacturing process as they can develop a more optimal process for their firms.  The key is to identify and respond to consumers needs.  Customers’ needs and wants should be the most important focus for business today.  This objective will help the firm on what is demanded from customers, and what is required of production.  Moreover, the optimal quality and cost relationship is also important. The organization should focus on zero-defect production process.  Although it seems to be unrealistic in the long run, it will eliminate a huge amount of resources and effort in inspecting, and reworking defected goods.  Another important goal should be to develop a reliable relationship between the suppliers.  A good and long-term relationship between an organization and its suppliers helps to manage a more efficient process in inventory management, material management, and delivery system.  It will also assure that the supply is stable and available when needed.  Moreover, adopt the idea of continuous improvement.  If committed to a long-term continuous improvement idea, it will help the organization to remain competitive in the future.

According to Cheng in Just-In-Time Manufacturing – An Introduction, he explains the ideas of Suzaki for the objectives of JIT. (9-10) There are three main objectives:

1. Increasing the organization’s ability to compete with others and remain competitive over the long run. The competitiveness of the firms is increased by the use of JIT manufacturing process as they can develop a more optimal process for their firms.
2. Increasing efficiency within the production process. Efficiency is obtained through the increase of productivity and decrease of cost.
3. Reducing wasted materials, time and effort. It can help to reduce the costs.

Other short-term and long-term objectives(Cheng, 11) are:

1. Identify and response to consumers needs. Customers’ needs and wants seem to be the major focus for business now, this objective will help the firm on what is demanded from customers, and what is required of production.

2. Optimal quality/cost relationship. The organization should focus on zero-defect production process. Although it seems to be unrealistic, in the long run, it will eliminate a huge amount of resources and effort in inspecting, reworking and the production of defected goods.

3. Reduce unwanted wastes. Wastes that do not add value to the products itself should be eliminated.

4. Develop a reliable relationship between the suppliers. A good and long-term relationship between organization and its suppliers helps to manage a more efficient process in inventory management, material management and delivery system. It will also assure that the supply is stable and available when needed.

5. Plant design for maximizing efficiency. The design of plant is essential in terms of manufacturing efficiency and utility of resources.

6. Adopt the work ethnic of Japanese workers for continuous improvement. Commit a long-term continuous improvement throughout the organization. It will help the organization to remain competitive in the long run.

Some other similar ideas are presented by Melnyk and Denzler(387-388):

1. Reduction of Inventory. JIT reduces inventory at all level of the organization.

2. Reduction of Lead Time. Lead time such as setup time and move time and waiting time is reduced.

3. Quality Control. JIT improves the quality control by increasing its efficiency of managing shop floor production and increasing its commitment to its suppliers.

4. Improvement for Performance. In JIT manufacturing, the organization can obtain a greater impact/control over its suppliers. With fewer suppliers, organizations have larger control because the amount purchased is usually large. And, organizations can obtain a tighter requirement on products from their suppliers.

5. Total Preventive Maintenance. JIT provides preventive maintenance to lessen the risk of machine breakdowns.
6. Continuous Improvement. JIT is a never-ending method in operation management.

7. Strategic Gain. JIT helps organization to remain competitive in the market place.

8. Reduction of Wastes. JIT helps significantly in reducing wastes.