Just-In-Time (JIT) is a system used in lean management to reduce waste and improve efficiency. Here's a simple explanation of how it works, illustrated with an example:
Learn Just In Time with 7 Steps 🪜
Lean Management+ Six Sigma
1. Customer Order: A customer buys a product online from a vendor's website. They follow the usual process: selecting the product, adding it to the cart, and placing the order. Delivery is typically arranged to take place within 5-6 days, depending on logistics.
2. Order Processing: Once the order is placed, it is received by a manager or knowledge engineer. They note the demand for the product and its specific details.
3. Stock Check: The Inventory manager checks the in-house store to see if the product is available in stock.
4. Raw Material Collection: If the product is not available, raw materials are collected based on the customer's requirements, such as specific choices and colors.
5. Product Development: The raw materials are delivered to the development team to create the product as per the customer's specifications.
6. Logistics Arrangement: Once the product is ready, logistics arrangements are made to deliver the product to the customer.
7. Just-In-Time Delivery: The product is delivered to the customer at the right time, ideally exactly when needed, minimizing storage time and reducing waste.
For example, if a customer orders a custom mobile phone, the JIT system ensures that the phone is manufactured and delivered exactly when required, with no excess inventory or wasted resources.
By following these steps, companies can ensure they operate efficiently and with minimal waste. For more tips on office productivity and other tricks, subscribe to our blog. Thank you for reading, and we hope you found this explanation and the accompanying illustration helpful!
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