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Just in time analysis

Just in time analysis






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    Just in time analysis Just in time analysis Presentation Transcript

    • JUST IN TIME ANALYSIS Just-In-Time Manufacturing: A Definition. -Uses a systems approach to develop and operate a manufacturing system -Organizes the production process so that parts are available when they are needed. -A method for optimizing processes that involves continual reduction of waste.
    • JIT CONTD.
      • Material is supplied at work station instead keeping in stock an then supply.
      • Finished goods are dispatched directly from production unit to the customer’s destinations.
      • The emphasis of JIT approach is to get defect free raw material components and also to produce free goods, so as to get advantage of inventory saving.
    • Central Themes Surrounding Just-In-Time
      • Simplicity
      • Quality
      • Elimination of Waste
    • Prerequisites for JIT Implementation
      • A Reason for Changing
      • Executive Commitment
      • Strategic Manufacturing Plan
      • Commitment to Action
    • Just-In-Time Techniques
      • Inventory Reduction as a Tool for Improvement
      • Supplier Relationships
      • Inventory “Pull”
      • Uniform Plant Loading
    • Just-In-Time Techniques (cont’d
      • Reduced Setup Times ,Shop-Floor Layout and Production Cells
      • Total Quality Assurance
      • Preventive Maintenance
    • A Competitive Edge
      • Integrating and Optimizing
      • Improve Continuously
      • Understanding the Customer
    • The Major Misconceptions of JIT
      • JIT is Only an Inventory Control System
      • It is a Method to “Push” Inventory Back to the Supplier
      • JIT is a Quality Control Program
    • Goals of Just-In-Time Systems
      • Design for Optimum Quality and Cost
      • Minimize resources needed for Design and Manufacturing
      • Be Responsive to the Customers Needs
    • Goals of Just-In-Time Systems (cont’d
      • Develop Trust and Open Relationships with Suppliers and Customers
      • Develop a Commitment to Improve the Total Manufacturing System
    • Advantages of JIT Manufacturing
      • Materials Cost Savings
      • Manufacturing Cost Savings
      • Sales Cost Savings
    • Contd.
      • Reduce inventory cost.
      • Lesser storage space.
      • No wastage, thereby higher profitability.
      • Defects are identified faster.
      • C0nsistency and improved quality.
      • Continuous improvement is assured.
      • Properly defined space for storage .
      • Continuous improvement in quality is also known as KAIZEN System. Greater awareness of problems and their causes un the organization, leads to generation of new idea of continuous improvement. This idea is called KAIZEN which literally improve in every sphere of activity.
    • Elements in Materials Cost Saving
      • Reduction of Suppliers
      • Long-term Contracts
      • Reduce Order Scheduling
      • Simplify Receiving Systems
      • Eliminate unpacking
      • Eliminate Inspection
      • Eliminate inventory Stocking
      • Eliminate Excess Material
    • How Just-In-Time Systems Work
      • Requirements for JIT Manufacturing
      • Firm-wide Commitment
      • Knowledgeable Management
    • Requirements for JIT
      • Respond to Customer Requirements
      • Integrate all Processes in the Manufacturing System
      • Employee Participation in Meeting Commitments
    • Contd.
      • Company wide Commitment to education
      • Eliminate redundancy
      • Reduce all Inventory
      • Establish Continuous Improvement Goals
      • Use a pull Production System
      • Design products for Manufacturing
      • Develop Controllable Production Processes
    • Contd.
      • Have a Defect Prevention Program
      • Reduce Setup Times
      • Build Products to Specification
      • Small size purchasing of raw material
      • Inspection of Raw material at supplier’s end.
      • Zero defect in quality is required.
      • U. S. APPROACH
      • Bulk quantity of raw material .
      • Inspection of Raw material at buyer’s end.
      • 2% defect in quality is acceptable.
    • Contd.
      • Supplier is selected based on reasonable pricing as worked out in view quality consideration.
      • Long term agreement with suppliers.
      • Less paper formality.
      • Supplier is selected based on biding pricing for quoted quality.
      • Vary from consignment to consignment.
      • More paper formality as is based on tender system.
    • Contd.
      • Minimum packing in handling of raw materials.
      • Transportation cost is less as supplier’s are located nearby.
      • More suitable for single product system.
      • Heavy packing in handling of raw materials as bulk purchases.
      • Transportation cost is more as supplier’s are scattered.
      • More suitable for multi product system.