Just-in-Time Systems

Reducing Variance, Waste and Lead Time in the Supply Chain

Main topics
Review of JIT & Waste Objectives of JIT JIT Principles JIT and Variance JIT Tools and Procedures

What is JIT?
a corporate system designed to produce output within the minimum lead time and at the lowest total cost by continuously identifying and eliminating all forms of corporate waste and variance. It is --- a corporate strategy a philosophy

Focus of JIT:
variance & waste

Seven Basic Types of Waste

Transportation waste Process Waste Inventory Waste Waste of motion Waste from product defects Waiting time Overproduction

 Common Causes of Waste

Layout (distance)

Long setup time Incapable processes Poor maintenance Poor work methods Lack of training

Inconsistent performance measures Ineffective production planning Lack of workplace organization Poor supply quality/reliability

Objective of JIT
Produce only the products the customer wants. Produce products only at the rate that the customer wants them. Produce with perfect quality Produce with minimum lead time. Produce products with only those features the customer wants.

Produce with no waste of labor, material or equipment -- every movement must have a purpose so that there is zero idle inventory. Produce with methods that allow for the development of people

JIT Principles
Create flow production one piece flow machines in order of processes small and inexpensive equipment U cell layout, counter clockwise multi-process handling workers easy moving/standing operations standard operations defined

JIT Tactics
Single Minute Exchange of Dies (SMED) Statistical Process Control Use of standard containers Doable stable schedules with adequate visibility TAKT-Time 5-S Program Kaizen Event Visual control Flexible workers Tools at the point of need Product redesign Group Technology Total Productive Maintenance

JIT & Lean Manufacturing

Lean Manufacturing Doing more with less Less of:

JIT is a subset of Lean Manufacturing Now seen as most applicable to mass production settings
materials, time, resources overhead, people waste money

Limitations of JIT
Preconditions to JIT trust must be present labor/management suppliers/consumers

recognition of processes familiarity with problem solving quality at the source agreement over value and waste