Question & Answer: There is no question. I just need to add to what my peer wrote about in their discussion post…..

When it comes to Just-in-time manufacturing, the possibility of products that would go to waste would be minimal. Being that it is a demand-pull system; certain requirements will always be needed:-

In perfect combination it’s not possible to increase the selling price of the product hence we should manage our cost to increase the profit margin.

For this purpose we should identify the non-value added activities and such activities should be reduced / eliminated. So that cost should be reduced.

Non value added activity means the activity which incurred cost but does not add any addition for the customer like storage cost, normal loss and improper utilisation of resources.

For this purpose we should develop a system which ensures that all material should be received whenever we required so that such material could be directly transfer to production department, for this we should select the supplier who agree to supply the material at scheduled time and of required quantity. We should enter into a long-term contract with selected supplier which consist no change in price for the future in normal condition and it’s not possible to change the supplier for particular period of time.

All inspection activities would be carry on at suppliers premises.

Just-in-time manufacturing is a system that acquires inventory and produces only when needed:-

The system of JIT should be applied not only on raw material but also for work in progress and finished goods i.e. the whole manufacturing activity.

Raw material:- Stock holding of raw material can be reduced/eliminated by selecting the supplier with long term agreement.

WIP:- Wonk in progress holding can be reduced/eliminated by changing the plant layout in a dedicated cell i.e. all machine should be placed exact to the preceding process so that the output of one becomes immediately the input of others. For this purpose we should palace a box between two process having capacity of 3 or 4 unit and the operator of preceding process will continue his work till all item remain in the box. He will stop his work when the box filled with 100% capacity and the idle time of the operator should be utilised for the maintenance of machine (this box are to be known as kan ban box).

Finished goods:- The stock holding of FG can be reduced/eliminated by producing the goods on the bases of order or demand.

In order for this to comply employee training and development is a pre-requisite for JIT implementation:-

JIT focuses on waste reduction, inventory management and product quality. The focus of attention shifts away from performance based to high production volumes and quality. In order to make JIT effective, employee participation and co-operation is a must. For this purpose, the HR department must prepare and organise training classes to teach to employees:-

1. How to operate a multitude of different machines?
2. How to perform limited maintenance on the machines without having to call in the maintenance staff?
3. How to spot product errors?
4. How to relate one’s role in the entire system flows? And
5. When to helt the production process to fix problems?

The effects of proper training of employees will be:

1. Versatility in handling operations
2. Reduction in maintenance by maintenance staff
3. Reduction in time and increase in quality output.