Sunday, February 1, 2015

JUST-IN-TIME SYSTEM

JIT refers to a system in which materials receive exactly as they required.

With a JIT system a company must ensure that it gets materials from its supplier on the exact date & time        when they are needed. For this purpose the purchasing staff must investigate & evaluate every supplier, eliminate those which could not keep with the delivery dates.

Deliveries should be sent straight to the production floor for immediate use in manufacturing products, so that there is no time to inspect & investigation incoming parts for defects.

Engineering staff must visit supplier sites & examine their processes, not only to see if they can reliably ship high-quality parts but also to provide them with engineering assistance to bring them up to a higher standard of product.

As soon as suppliers certify & verify their delivery & quality, the concern must install a system, which may be as simplistic, that says suppliers exactly how much of which parts are to be sent to the company.

The companies which are following the JIT system are HONDA MOTERS &  SIEMENS, AT&T, they believes that the inventory was a waste that can be minimized with careful planning.

No comments:

Post a Comment