JustinTime Production System Chapter 9 JustinTime Production System

Just-in-Time Production System Chapter #9

Just-in-Time Production System Repetitive production system in which processing and movement of materials and goods occur just as they are needed, usually in small batches. Uses a systems approach to develop and operate a manufacturing system JIT philosophy means getting the right quantity of goods at the right place and the right time. JIT exceeds the concept of inventory reduction.

Objectives 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

Main Theme of JIT Elimination of Variations › Quality Assurance Elimination of Waste › Waste is anything that increases cost but does not add value to the product

Seven Basic Types of Wastes Transportation waste Process Waste Inventory Waste of motion Waste from product defects Waiting time Overproduction

JIT Techniques Inventory Reduction Inventory “Pull” system Supplier Relationships (Long-term Contracts) Uniform Plant Loading Reduced Setup Times Shop-Floor Layout and Production Cells Total Quality Assurance Preventive Maintenance

Role of Inventory Reduction üInventory = Lead Time (less is better) üInventory hides problems

PULL Production System þ A pull system uses signals to request production and delivery from upstream stations þ Upstream stations only produce when signaled þ By pulling material in small lots, inventory cushions are removed, exposing problems and emphasizing continual improvement þ Manufacturing cycle time is reduced

Benefits of JIT Systems Reduced inventory levels High quality & Flexibility Reduced lead times Increased productivity Increased equipment utilization Reduced scrap and rework Reduced space requirements Pressure for good vendor relationships Reduced need for indirect labor