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JIT and Lean Operations

Operations Management

William J. Stevenson

8th edition

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JIT and Lean Operations

CHAPTER

14

JIT and Lean Operations

McGraw-Hill/Irwin

Operations Management, Eighth Edition, by William J. Stevenson Copyright © 2005 by The McGraw-Hill Companies, Inc. All rights reserved.

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JIT and Lean Operations

JIT/Lean Production
• 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, lean production pull (demand) system

• • •

JIT JIT

JIT operates with very little “fat”

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JIT and Lean Operations

Goal of JIT
The ultimate goal of JIT is a balanced system. Achieves a smooth, rapid flow of materials through the system

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JIT and Lean Operations

Summary JIT Goals and Building Blocks
Figure 14.1
Ultimate A Goal balanced rapid flow Supporting Goals

Eliminate disruptions Eliminate waste

Make the system flexible

Product Design

Process Design

Personnel Elements

Manufacturing Planning

Building Blocks

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JIT and Lean Operations

Supporting Goals
• • •

Eliminate disruptions Make system flexible Eliminate waste, especially excess inventory

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JIT and Lean Operations

Sources of Waste
• • • • • •

Overproduction Waiting time Unnecessary transportation Processing waste Inefficient work methods Product defects

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JIT and Lean Operations

Big vs. Little JIT
•

Big JIT – broad focus
•

Vendor relations Human relations • Technology management • Materials and inventory management
•

•

Little JIT – narrow focus
• •

Scheduling materials Scheduling services of production

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JIT and Lean Operations

JIT Building Blocks
• • •

Product design Process design Personnel/organizational elements Manufacturing planning and control

•

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Product Design
• • • •

Standard parts