Topic > operations management - 601

Faced with a difficult and fierce competitive world, most companies must strive to achieve success and remain competitive in the market. They are finding ways to meet customers' changing needs, satisfy their demand and increase their satisfaction level. They are trying to improve the quality of goods and services provided to customers. To survive in the long term and maintain a competitive advantage, they must pursue a good strategy in their operations that can reduce operating costs. One of the strategies is just-in-time (JIT) strategy. This strategy has been widely used and has resulted in reduced costs, improved efficiency and improved quality. According to Stevenson (1993, pg690), JIT was developed by Taiichi Ohno and was first adopted by the Toyota Motor Company of Japan. It is also known as lean manufacturing system. Slack, Chambers, and Johnston (2010, pg433) state that just-in-time is “a planning and control method and operating philosophy that aims to meet demand instantly with perfect quality and no waste.” It is a philosophy originating from Japan that is applied in manufacturing industries. The goal is to reduce inventory costs by eliminating waste and improve the effectiveness of operations with a smooth production flow. This strategy works by purchasing and producing products on demand, whereby companies only start purchasing the raw materials needed for production when they receive orders from customers instead of making the products in advance. There is no overproduction. It means that raw materials are purchased and produced when needed. Involving staff in operations, driving continuous improvement, and eliminating waste are critical to JIT operations. It is a... medium of paper......es The JIT system is Dell, a technology company that sells computers and related electronic products and services. PC manufacturing companies often face product obsolescence issues due to the rapid development of technology. Dell'sWorks Citedhttp://leanmanufacturingtools.org/114/waste-of-overproduction-causes-symptoms-examples-and-solutions/ http://www.emsstrategies.com/dm090203article2.html http://www.ehow. com/info_8296957_disadvantages-holding-excess-inventory.html http://www.managementstudyguide.com/when-to-avoid-holding-inventories.htm http://www.emccanada.org/blogs/saultstema/identifyin http:/ /integrativeimprovementsystem.com/2011/12/20/the-7-tps-wastes/ ftp://entc.tamu.edu/entc412/Archive/Lean1.pdf http://www.productivity.in/knowledgebase/TQM/ d.%20TQM%20Concepts/Seven%20Wastes.pdf http://openmultimedia.ie.edu/openproducts/jit_i/jit_i/pdf/pdf_JIT.pdf