MIBA
ESLSCA XVI
Group A
PQM
Project on Just In Time “JIT”
Under supervision of
Dr. Sonya El Bakry
Presented By
Zhang Jianjing
Amr Ezz El Din Hamdy
History
and
development
of
Concept
2
Just In
Time
?
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What is JIT system?
Just-in-time (JIT):
A highly coordinated processing system in which
goods move through the system, and services are
performed, just as they are needed.
JIT is also known as lean production, World
Class Manufacturing (WCM), Stockless
Production, Continuous Flow Manufacturing
(CFM), and many other name.
JIT II
Developed by Lance Dixon at Bose
corporation. The supplier representative
works right in the company’s plant, have
desk there, attends production meeting,
visit R&D labs, analyze sales forecast, then
he makes the orders to his company,
making sure there is always an appropriate
supply on hand. JIT II is applied at IBM,
Honeywell and Ingersoll-Rand.
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What? Goal
When? Time
Where? Place
How to? Process
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JIT system cycle
Assembly From truck To Unloading
line truck Company
production line
Final Product
Delivery to
Order for
customer
components of
Order for 10 10 blue cars
blue cars
Consolidation Loading truck
Supplier
store of company
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Order for 10
JIT system cycle blue cars
Assembly From truck To Unloading
line truck Company
production line
Final Product
Delivery to
customer
Consolidation Loading truck
Supplier
store of company
Order for
components 8of
10 blue cars
JIT started at Toyota
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Application of JIT at Toyota
After WWII the president of Toyota said "Catch up
with America in three years, otherwise the
automobile industry of Japan will not survive".
Productivity of American car worker was approx.
9 times of Japanese.
Ohno found that American manufacturers made
great use of economic order quantities.
This can not succeed in Japan, because total
domestic demand was low and domestic
marketplace demanded production of small
quantities of many different models.
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Application of JIT at Toyota
Ohno devised a new system of production based
on the elimination of waste by:
JIT : items only move through the production
system as and when they are needed
Autonomation: Automatic detection of defects
during production, whereupon the system will
stop and not proceed until the problem has
been solved
In this system, inventory is regarded as an
unnecessary waste
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Application of JIT at Toyota
Car prices in the USA were typically set using
selling price = cost plus profit mark-up.
Japan low demand make manufacturers face
price resistance. so if selling price is fixed, to
increase the profit mark-up, we reduce costs.
Toyota focused on cost reduction.
Toyota instituted production levelling - eliminating
unevenness in the flow of items, in and out of the
factory.
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Application of JIT at Toyota
Toyota changed their factory layout to
production cells. Different machines were
clustered together so items could move
smoothly from one machine to another as
they were processed. As a result, workers
had to become skilled on more than one
machine.
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Application of JIT at Toyota
Ohno introduced analogy of teamwork in baton relay race.
Workers were encouraged to think of themselves as
members of team.
To have a method of controlling production (the flow of
items) in this new environment Toyota introduced the
kanban. Kanban is the Japanese word meaning “signal”
or “visible record”
In Toyota two types of kanban for controlling the flow of
items:
a withdrawal kanban – For items to be withdrawn
a production ordering kanban - items to be produced
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Application of JIT at Toyota
All movement were controlled by kanbans
with precise quantities. Defects are not
tolerated.
Another aspect was the reduction of setup
time through re-engineering.
Toyota took 10 years to institute kanbans
on company wide basis.
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Summary JIT Goals and Building Blocks
Ultimate A
Goal balanced
rapid flow
Supporting - Eliminate waste
Goals
- Eliminate disturbance
- Make the system flexible
Building Product Process Personnel Manufactur-
Blocks ing Planning
Design Design Elements
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Product Design
Standard parts: unify items used
Modular design: interchangeable parts
Highly capable production systems
Concurrent engineering
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Process Design
Small lot sizes
Setup time reduction
Manufacturing cells
Limited work in process
Quality improvement
Production flexibility
Little inventory storage
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Personnel/Organizational Elements
Workers as assets
Cross-trained workers
Continuous improvement
Cost accounting
Leadership/project management
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Manufacturing Planning and Control
Level loading
Pull systems
Visual systems
Close vendor relationships
Reduced transaction processing
Preventive maintenance
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Supporting Goals
Eliminate disruptions
Make system flexible
Eliminate waste, especially excess
inventory
Sources of Waste
- Overproduction : Producing more than needed
- Inventory: Waste associated with keeping stocks
-Processing : Inefficient work methods, Doing task in more than
average time, high set up or changeover time.
- Transportation: moving items around a factory
- Defects: Defective items in inputs and outputs.
- Waiting time: Idle time.
Waste
Goal of JIT
The ultimate goal of JIT is a
balanced system between needed
outputs and its inputs.
To achieves a smooth, rapid flow of
materials through the system.
To set unused resources to zero.
Traditional Supplier Network
Buyer
Supplier Supplier
Supplier
Supplier Supplier Supplier Supplier
Tiered Supplier Network
Buyer (Best 2 to 3 suppliers)
Supplier Supplier
Supplier Supplier Supplier Supplier
Supplier Supplier Supplier Supplier Supplier Supplier Supplier Supplier
First Tier Supplier
Second Tier Supplier
Third Tier Supplier
Comparison of JIT and Traditional
Factor Traditional (push) JIT (Pull)
Inventory forecast errors, late Minimal necessary to operate,
deliveries, not in match with materials goes directly from
market needs trucks to production lines.
Deliveries Few, in large quantities Many, in smaller quantities
according to forecast. according to needs
Lot sizes Large Small
Setup; runs Few, long runs for big Many, short runs, small
batches. batches.
Vendors Long-term relationships are Partners, in close cooperation.
unusual, change frequently.
Workers Necessary to do the work Assets, very important factor
value
Type of Mass production Mass customized production or
production 26
Big vs. Little JIT
Big JIT – broad focus
Technology management
Human relations
Vendor relations
Little JIT – narrow focus
Scheduling materials
Scheduling services of production
Materials and inventory management
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Two Views of JIT
Romantic JIT: consists of various slogans
and idealistic goals such as lots size, zero
inventory, zero defects
Programmatic JIT: consists of a collection
of techniques, some related to machine
changeover, layout design, production
simplification, quality, training, etc.
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JIT in Services
The basic goal in the service organization is
to provide optimum response to the
customer with the highest quality service
and lowest possible cost.
Eliminate disruptions
Make system flexible
Reduce setup and lead times
Eliminate waste
Minimize WIP
Simplify the process
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Production Flexibility
Reduce downtime by reducing
changeover time
Use preventive maintenance to
reduce breakdowns
Cross-train workers to help clear
bottlenecks
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Production Flexibility (cont’d)
Use many small units of capacity
Use off-line buffers
Reserve capacity for important customers
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Comment
Evaluation
Of
JIT system
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To apply JIT we should have these Elements
Smooth flow of work (the ultimate goal)
Elimination of all kind of waste
Continuous improvement
Eliminating anything that does not add
value
Simple systems that are easy to manage
Use of product layouts to minimize moving
materials and parts, Using of production
cells.
Quality at the source 33
Elements of JIT (cont’d)
Preventative maintenance
Poka-yoke – fail safe tools and methods
Good housekeeping
Set-up time reduction
Cross-trained employees
A pull system
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How to Transform to a JIT System?
Get top management commitment
Decide which parts need most effort
Obtain support of workers
Start by trying to reduce setup times
Gradually convert operations
Convert suppliers to JIT
Prepare for obstacles
Problems in conversion to JIT
Management may not be committed
Workers/management may not be
cooperative
Supplier may resist
Increase of transportation cost
Traffic congestion due to frequent
deliveries
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Problems with JIT system
It may not suit every business. JIT doesn't
necessarily reduce inventory in total.
One firm operating a JIT system can reduce its
inventory, but this is often at the expense of firms
further up or down the chain.
37
Problems with JIT system (con’t)
Many firms implementing JIT still
actually have quite a lot of inventory, it
just happens to be carted around on
trucks instead of sitting around in
warehouses.
Those warehouses are still standing as
well, often empty. This is a form of
waste as well.
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Suppliers at JIT
Supplier gets:
long-term, guaranteed, contract
a good price
steady demand
minimal paperwork (e.g. use electronic
means to order - such as email or Web or
electronic data interchange, EDI)
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Suppliers at JIT
In return the supplier agrees to :
quality components (e.g. zero defects)
guaranteed delivery times
a "partnership" with its customer
contingency plans to cope with disruptions,
common disruptions might be:
the effect of bad weather
a truck drivers strike blocking roads/ports
a flu outbreak reducing the supplier's workforce
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Suppliers at JIT
Supplier selection criteria:
close to production plant (else potential
transportation delays)
good industrial relations ("involvement",
"value", "dignity", "ownership"), no strike
deals
you believe that the supplier can met their
promises with respect to the list of factors
given above that that they are agreeing to
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What are the benefits in return ?
higher worker participation
more skilled workforce, able and wiling
to switch roles
improved relationships with suppliers
Flexibility
Reduced lead times
Increased productivity
Benefits of JIT Systems (cont’d)
better quality products
quality the responsibility of every worker,
not just quality control inspectors
lower setup times
smoother production flow
less inventory, of raw materials, work-in-
progress and finished goods
cost savings
Benefits of JIT Systems (cont’d)
Increased equipment utilization
Reduced scrap and rework
Reduced space requirements
Pressure for good vendor relationships
Reduced need for indirect labor
Application of
JIT in
JITTeaching
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Just in Time Teaching (JiTT)
Just-in-Time Teaching is a method for instructors
to determine what areas of difficulties &
misconceptions their students have, just in time to
prepare for class.
In class, the instructor may focus specifically on
the students’ responses, thereby responded most
effectively to their learning needs.
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Just in Time Teaching (JiTT)
To have students complete web-based
assignments outside of class to engage them in
the course material.
The students submit their responses online a few
hours before class begins.
This allows the instructor time to review the
student submissions, see if any misconceptions
need to be clarified, and prepare for an active
learning environment based on the student
responses 'just in time' for lecture
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Just-in-Time Teaching: How it works.
Instructor poses
1
Warm-up Question
2 Students respond
before class
In class, instructor presents anonymous
4 response addressing general trend of
misconception or difficulty
Anonymous
student response
as example of general
trend in misconception
3 Instructor quickly scans responses noting
trends & collecting specific responses
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Goals of JITT
To maximize the efficacy of the classroom
session when human instructors are present.
To structure the out-of-class time for
maximum learning benefit - students are
encouraged to prepare for class regularly.
To help instructors identify students'
difficulties in time to adjust lesson plans.
To help students develop a stronger "need to
know." 49
Goals of JITT
To establish an interactive environment in the
"lecture" classroom - to create a setting more
participatory and student centered.
To help the instructor develop more precise
and tailored explanations to address student
misconceptions about the course material.
Increases students’ ownership of their own
learning
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Variety of Assignments Applied to JiTT
To review assigned readings in the textbook
To review readings beyond the textbook
(articles, research papers, etc.)
To examine an image or graph and interpret
To solve problem sets
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Application of JiTT
JiTT can be very useful for lecture-only
courses with small or large enrollments.
Large enrollment lecture-only courses can
use JiTT as a springboard for small group
discussions and breakout sessions.
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We are
pleased
to answer your
Questions
Now ?
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End
of
Presentation
54
Thank You
for your
Attention 55
References
Operation Management for Stevenson 8e
Strategic management for Wheelen 9e
http://www.strategosinc.com/just_in_time.htm
http://people.brunel.ac.uk/~mastjjb/jeb/or/jit.html
http://www.semiconfareast.com/jit.htm
http://www.readpen.ca/article.html
http://www.training-management.info/JIT.htm
http://webphysics.iupui.edu/jitt/what.html
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Eli Whitney
While Eli Whitney is most famous as the
inventor of the cotton gin, the gin is a minor
accomplishment compared to his perfection
of the concept of interchangeable parts.
Whitney developed this about 1799 when
he took a contract from the U.S. Army for
the manufacture of 10,000 muskets at the
unbelievably low price of $13.40 each.
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Frederick W. Taylor
Frederick W. Taylor look at individual
workers and work methods. The result was
Time Study and standardized work. Taylor
was a controversial figure. He called his
ideas Scientific Management. The
concept of applying science to management
was sound but Taylor simply ignored the
behavioral sciences. In addition, he had a
peculiar attitude towards factory workers.
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Frank Gilbreth
Frank Gilbreth (Cheaper By The Dozen)
added Motion Study and invented Process
Charting. Process charts focused attention
on all work elements including those non-
value added elements which normally occur
between the "official" elements.
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Henry Ford
Starting about 1910, Ford and his right-hand-
man, Charles E. Sorensen, fashioned the first
comprehensive Manufacturing Strategy. They
took all the elements of a manufacturing
system- people, machines, tooling, and
products- and arranged them in a continuous
system for manufacturing the Model T
automobile. Ford was so incredibly successful
he quickly became one of the world's richest
men and put the world on wheels. Ford is
considered by many to be the first
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Demming
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Juram
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