PPT on JIT (Just-in-time) by Ankit saxena

8/11/2019 PPT on JIT (Just-in-time) by Ankit saxena

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By: Ankit saxena

A PRESENTATION ON

JIT(JUST-IN-TIME)



“ A philosophy of manufacturing

based on planned elimination of

waste and continuousimprovement of productivity

……”

JIT?



Bottlenecks inimplementing

JIT in anIndustry

JIT improvement won`t do any good.

Its sounds like a good thing but we still don’t want to do it

Look good on paper but…..

Costs are already as low as that can possibly get

But we already been doing things that way

We can`t lower costs any more without lowering quality

Everything is going just fine now ,Why change it?

That`s a lousy idea! We already tried that 20 years ago

Look we understand this stuff better than anybody(so don’t tell uswhat to do)



Evolved in Japan after World War II, asa result of their diminishing marketshare in the auto industry.

Toyota Motor Company- first toimplement fully functioning and

successful JIT system, in 1970’s.

Japanese Manufacturers looked for away to gain the most efficient use oflimited resources. They worked on

"optimal cost/quality relationship.

History

of JIT



The philosophy of JIT can be traced back to Henry Ford, but formalized JIT

originated in Japan as the Toyota Production System. W. Edwards Deming’s

lesson of variability reduction was a huge influence.

The focus of JIT is to improve the system of productionby eliminating all forms of waste.



• ZERO INVENTORY

• ZERO LEAD TIME

• ZERO FAILURE

JIT

(JUST-IN-TIME)



Eliminates waste .Achieves streamlined production .

Eliminate disruptions in production … caused by poor quality,schedule changes, late deliveries.

Makes the manufacturing delivery system flexible by allowing it to

handle a variety of products and changes in the level of output.Reduces setup and delivery times .



Waste Definition

1. Overproduction Manufacturing an item before it is needed.

2. Inappropriate Processing Using expensive high precision equipment whensimpler machines would suffice.

3. Waiting Wasteful time incurred when product is not beingmoved or processed.

4. Transportation Excessive movement and material handling of

product between processes.

5. Motion Unnecessary effort related to the ergonomics ofbending, stretching, reaching, lifting, and walking.

6. Inventory Excess inventory hides problems on the shopfloor, consumes space, increases lead times, andinhibits communication.

7. Defects Quality defects result in rework and scrap, and addwasteful costs to the system in the form of lostcapacity, rescheduling effort, increasedinspection, and loss of customer good will.

8. Underutilization of Employees Failure of the firm to learn from and capitalize on

its employees’ knowledge and creativity impedeslong term efforts to eliminate waste.



Overproduction

Waiting time

Unnecessary transportation Processing waste

Inefficient work methods

Product defects



Strategies For Minimizing Waste By UsingJIT

Manufacturing in smaller lot sizes reduces excess inventoryReducing inventory levels allows the problems to be uncovered …

thus creating opportunities for manufacturing process improvement





Principles Of JIT Manufacturing

Total quality Management

Production Management

Supplier Management

Inventory Management

Human ResourceManagement



JIT Manufacturing Building Blocks

Product design

Process design

Personnel/organizationalelements

Manufacturingplanning and control



1. Product Design

Standard parts

Design Simplification

Highly capable production systems

Concurrent engineering



2. Process Design

Small lot sizes

Setup time reduction

Limited work in process

Quality improvement

Production flexibility

Little inventory storage



Benefits of Small Lot Sizes

Reduced Inventory

Less Rework

Less Storage Space

Problems are more apparent

Increase Product Flexibility

Easier to balance operation



3. Personnel/Organizational Elements

Workers as assets

Cross-trained workers

Continuous improvement

Leadership



4. Manufacturing Planning and Control

Pull systems

Visual systems (kanban)

Close vendor relationships

Reduced transaction processing (delays indelivery)

Preventive maintenance



Evaluation and selection of vendor (suppliers) networkto develop a tiered supplier network – reducing thenumber of primary suppliers

Traditional supplier Network

Buyer

Supplier

Supplier Supplier

Supplier

Supplier supplier

Tiered Supplier Network

Buyer

supplier supplier supplier supplier







In McDonald’s



In McDonald’s

High holding costs are the nature of the fastfood industries.

Wastage.

Time.



In McDonald’s

JIT system wherein McDonald's doesn't begin to cookits orders until a customer has placed a specific order.



Implementation of JIT

Sophisticated burger-making technology (including arecord-breaking bun toaster)

McDonald's is able to make food fast enough to wait untilit's been ordered.

Reduction in wastage.



Implementing in JIT

Production Systems

Criteria for success

Service

Quality

PeopleFood preparation

Profitability

.



Supply Chain Integration



Benefits

Improved Quality – The burgers are prepared freshly andhence the quality has improved.

Customer service – As the burger is made only after theorder is placed, making special orders is not an issue.

Cost Reduction – Due to significant reduction in wastage

as uncooked material has a higher shelf life.

Reduction in waiting – Customer’s waiting time reduce 11min. to just 1 and half min.



Companies adopted JIT



TOYOTA PRODUCTION SYSTEM



Minimizing Waste:Focused FactoryNetworks

CoordinationSystem Integration

These are small specialized plants thatlimit the range of products produced(sometimes only one type of product

for an entire facility)

Some plants in Japan have as fewas 30 and as manyas 1000 employees



Minimizing Waste: Group Technology (Part 1)

Using Departmental Specialization for plant layout can cause a lot ofunnecessary material movement

Saw Saw

Lathe PressPress

Grinder

LatheLathe

Saw

Press

Heat Treat

Grinder

Note how the flow lines are going back and forth



Minimizing Waste:Group Technology (Part 2)Revising by using Group Technology Cells can reduce movement and

improve product flow .

Press

Lathe

Grinder

Grinder

A

2

BSaw

Heat Treat

LatheSaw Lathe

PressLathe

1



Minimizing Waste: Just-In-Time Production

Management philosophy “Pull” system though the plant

Hydraulic Push Systems

WHAT IT IS

Employee participation

Industrial engineering/basics

Continuing improvement

Total quality control

Small lot sizes

WHAT IT REQUIRES

Attacks waste Exposes problems and bottlenecks

Achieves streamlined production

WHAT IT DOES

Stable environment

WHAT IT ASSUMES



Minimizing Waste: InventoryHides Problems

Work inprocess

queues

(banks)

Changeorders

Engineering design

redundancies

Vendor

delinquencies

Scrap

Design

backlogs

Machine

downtime

Decision

backlogsInspection

backlogs

Paperwork

backlog

Example: By identifyingdefective items from avendor early in theproduction process thedownstream work is saved

Example: By identifyingdefective work by employeesupstream, the downstreamwork is saved



Minimizing Waste: Kanban Production ControlSystems

Storage

Part A

StoragePart A Machine

Center Assembly

Line

Material Flow

Card (signal) Flow

Withdrawalkanban

Once the Production kanban isreceived, the Machine Centerproduces a unit to replace theone taken by the Assembly Linepeople in the first place

This puts the systemback were it wasbefore the item waspulled

The process begins by the Assembly Line

people pulling Part A from Storage

Production kanban



Determining the Number of Kanban Needed

Setting up a kanban system requires determining the number of kanbancards (or containers) needed.

Each container represents the minimum production lot size.

An accurate estimate of the lead time required to produce a container iskey to determining how many kanban are required.

Side Bar – In Japan space is a very important consideration since there is solittle of it. This process saves on space requirements.



Example of Kanban Card Determination:Problem Data

A switch assembly is assembled in batches of 4 units from an “upstream” assembly area and delivered in a special container to a “downstream” control-panel assembly operation.

The control-panel assembly area requires 5 switch assemblies per hour.The switch assembly area can produce a container of switch assemblies in

2 hours.

Safety stock has been set at 10% of needed inventory.



Example of Kanban Card Determination:Calculations

Always round up!





A.gunasekaran and J.lyu in their research implementation of just-in-time in a small company has depicted its advantage in SMEs. he depictedthat implementation of JIT in SMEs should start with layout revision,schedule stability and the development of long-term supplier-customerrelationships.

A new purchasing policy supporting frequent purchases of small lotsizes may help SMEs in implementing a JIT system.

Education and training of workers in SMEs about JIT concept and theirhigh leverage opportunity would tremendously support theimplementation of JIT system in SMEs.



Requirement for the implementation of JIT inIndian industry



Management Support And Understanding Of the System.

Management And Labour Responsibilities.

Training.

Supplier Management.

Production Layout And Work Flow.

Long‐term Planning.

Government Support.



JIT BenefitsReduced Inventory

Improved quality

Lower costs

Reduced space requirements

Shorter lead-time

Increased productivity

Greater flexibility

Improved vendor relations



JIT Benefits (contd.)

Simplified scheduling & control

Increased capacity

Better utilization of personnel

More product varietyIncreased equipment utilization

Reduced paperwork

Valid production priorities

Work force participation



Disadvantages of JIT

Danger of disrupted production due to non-arrival of supplies.

Danger of lost sales.

High dependence on suppliers.

Less time for quality control on arrival of materials.

Increased ordering and admin costs.

May lose bulk-buying discounts.



JIT … Not For EveryoneJIT concepts work best when goods can be produced in response to

consumer demand (e.g. automobiles, etc.)

JIT is less effective for the production of standardized consumergoods (e.g. basic clothing, food, soft drinks, toasters, etc.)

There are cases where JIT concepts apply to sub-processes of a

make to stock environment. (e.g. computers etc.)



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PPT on JIT (Just-in-time) by Ankit saxena