From the course: Lean Six Sigma Foundations

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Just in time

Just in time

From the course: Lean Six Sigma Foundations

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Just in time

- Henry Ford is considered the father of just-in-time in the United States. Simply put, Ford did not believe in using warehouses. He bought material to fit the production plan, only enough to meet immediate needs. Ford recognized that transportation was a critical factor for success in such a strategy, so he owned a private network of railroad cars and trucks to ensure smooth delivery of materials. Well, that's what just-in-time is all about. JIT means that raw materials, components, and subassemblies are delivered to the factory just when they are needed for production. This allows inventory to be maintained at minimal levels, thus reducing costs and increasing flexibility within the system. Should an item become obsolete or a defect is discovered, with minimal inventory it is much easier and quicker to make the needed adjustments. JIT is applied within the factory itself also. Work is not started into the factory until there is actual or forecasted demand for the final product. This…

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