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Presentation on

Just In Time Approach

Course Instructor

Shahreen Sonia

Lecturer, Accounting Theory

Department of Business Administration (DBA)

Green University of Bangladesh (GUB)

Dhaka, Bangladesh.

Md. Moazzem Hossain

ID. 110106034Department – Business AdministrationProgram – BBAGreen University of Bangladesh

Table of Contents

Sl. No. Name of Topic Slide No.

1 'Just In Time - JIT 5

2 History of Just In Time 6 & 7

3 Objective of Just In Time 8

4 Characteristics of Just In Time 9

5 Benefits of Just In Time 10

6 Basic Elements of Just In Time 11

7 From Supermarket to Shop Floor 12

8 Conclusion 13

9 Any Question? 14

10 Thank You 15

Just In Time - 'JIT'

An inventory strategy companies employ to increase efficiency and decrease waste by receiving goods only as they are needed in the production process, thereby reducing inventory costs.

This method requires that producers are able to accurately forecast demand.

History of Just In Time

Henry FordFounder of Ford Motor

Just In Time is sometimes said to have been invented by Henry Ford because of his one-at-a-time assembly line, circa 1913.

Taiichi Ohno

With strong backing from Eiji Toyoda, Taiichi Ohno helped establish the Toyota Production System, and built the foundation for the Toyota spirit of "making things" by, for example, creating the basic framework for the Just-in-Time method after World War II.

History of Just In Time

The Father of the Toyota Production System (TPS).

Objective of Just In Time

• Eliminate waste that is, minimize the amount of equipment, materials, parts, space, and worker’s time, which adds a great value to the product.

• Increase productivity.

Characteristics of Just In Time

The seven wastes to be eliminated according to JIT are:

• Over production• Inventory• Waiting time• Effort• Movement• Defective products• Over processing

Benefits of Just In Time

• 1. Reduced inventory• 2. Improved quality• 3. Lower costs• 4. Reduced space requirements• 5. Shorter lead time• 6. Increased productivity• 7. Greater flexibility• 8. Better relations with suppliers• 9. Simplified scheduling and control activities• 10. Increased capacity• 11. Better use of human resources• 12. More product variety

Basic Elements of Just In Time

• 1. Flexible resources• 2. Cellular layouts• 3. Pull production system• 4. Kanban production control• 5. Small-lot production• 6. Quick setups• 7. Uniform production• 8. Quality at the source• 9. Total productive maintenance• 10. Supplier networks

From Supermarket to Shop Floor

USABangladesh

Two different shop but they are following the concept “Just In Time” according to their customers demand.

Conclusion

Just-in-time manufacturing is a philosophy that has been successfully implemented in many manufacturing organizations.

It is an optimal system that reduces inventory whilst being increasingly responsive to customer needs, this is not to say that it is not without its pitfalls.

AnyQuestion?

Thank You