Advantages Of JIT

Although Just in Time (JIT) system provides many benefits and advantages to the organization but there are still some limitations about the JIT system. First, the differences of organizational culture varies from company to company. There are some cultures that are linked to the success of JIT, but it is difficult for organizations to change their culture in a short time. Therefore, cultural differences are considered to be a possible limitation of JIT system. There are many cultural differences that may be inherently related to JIT success. If the attitude and philosophy of employees do not change, these will be difficult to overcome or solve the problem. Due to its nature, its magnitude may be difficult to measure.

Second, JIT is produced

JIT 's ideal goal is to re-understand the enterprise itself, including production and profit. For example, in any enterprise loyalty, inventory is always regarded as assets, in fact, the business accounts is to do so. The profits shown on the profit and loss account of the enterprise will be inflated due to the existence of a large number of stocks in the enterprise. However, excess inventory is a liability. When you establish the concept of inventory is a liability, you will find ways to reduce inventory. As a result of this operation will certainly be able to improve the operational status of

However, JIT is a process to pursuit the ideal goal. And with this objective, all employees should participate in the enterprise. JIT appears to a large extent in the performance of a gradual process, but not a revolution. Corporate culture cannot change in an instant. If there is plenty of time, a lasting change in the right direction is best for gradual change. It is important to think that taking the necessary measures, such as timely management, is not an initiative to reduce inventories, but a reduction in inventories is a result of some of the methods that have successfully implemented JIT, including improved product flow and demand pull. Therefore, it is very important to instil the right ideas to your employees.

Secondly, JIT implemented is to keep the cycle time of the material planning system intact while shortening the actual production cycle. The effect is to move the stock back from the factory floor to the warehouse. Although this strategy will not reduce inventory, but it will improve the flow of materials in the production process. In fact, it is certain that this is the goal of the traditional emission reduction program. Components that are late for the supplier are usually delivered from the warehouse before