Just-In-Time (JIT)

Just-In-Time (JIT) originated as a new approach to manufacturing and has been successfully applied in many industries such as the automotive industry. It has significant implications for distribution and logistics. The overall concept of JIT is to provide a production system that eliminates all activities that neither add value to the final product nor allow for the continuous flow material

Just-In-Time (JIT) is  a system that applied to reduce cost. Mostly is about cost. In simple terms, that eliminates the costly and wasteful elements within a production process. The objective of JIT are vitally linked to distribution and logistics, including as they do:

• The production of goods the customer wants.
• The production of goods when the customer wants them.
• The production of perfect-quality goods.
• The elimination of waste (labor, inventory, movement, space, etc)

Just-In-Time means only what is needed, when it needed and what is amount needed. According this production plan can eliminate waste, reducing inventory and responding the customers. By taking a just in time (JIT) approach to inventory and product handling, the company can cut cost.

The result is that the right parts and materials are manufactured and provided in the exact amount needed - and when and where they are needed. Under just in time the rights always a customer. This is because activities in the system only occur in response to customer order.

Productions pulled by the customer rather than being pushed by the needs or capabilities of the production system.