Share responsibility suited non repetitive repetitive

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share responsibility Suited Non-repetitive Repetitive, stable demand
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Why has JIT Outperformed MRP in General? Complex and global information requirement in MRP makes it very sensitive and difficult to respond to dynamic production environment in practice. JIT production system is supported by all other integrated JIT components while MRP is not.
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Why has JIT Outperformed MRP in General? (II) JIT and MRP can co-exist be combined and incorporated as: ---JIT purchasing and MRP ---JIT/TQC/TPM with MRP ---JIT for stable demand items and MRP for unstable items ---…………… For a firm that produces a large variety of items with unstable demand MRP will still dominate JIT by using global information and well-planning in advance.
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JIT Benefits Harley-Davidson 40% inventory reduction Increased productivity 129% Reduced supplier base 30% Westinghouse 45% inventory reduction 30% productivity improvement Product warranty costs down 35% Manufacturing space down 40% Apple computer 65% inventory reduction High quality levels Highly motivated work force
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Operational Benefits of Just-In- Time Systems Reduce space requirements Increase equipment utilization Reduce inventory investment in purchased parts, raw materials, work in process, and finished goods Reduce paperwork and require only simple planning systems Reduce manufacturing lead times Set valid priorities for production scheduling Increase the productivity of direct labor employees, indirect support employees, and clerical staff Encourage participation by the work force Increase product quality
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Implementation of JIT in US JIT has been implemented in many US firms 1. Many changes are requirement before implementing JIT: New GT layout design;/Partnership supplier build up; /TQC/TPM development; Worker training & education; Organizational structure/authority/responsibility change 2. Major problems in implementing JIT: Full understanding JIT;/Commitment from top MGT/Good cooperation among all functional areas Managing changes overcome all possible resistances
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Implementation of JIT in US (II) 3. implementation procedures: comprehensive education on all employees /managers. Justify JIT based on potential competitive advantages. Develop a step-by-step JIT implementing plan. Carefully managing changes with a decentralized structure. Continuous JIT progression and reinforcement throughout organization.
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Typical Decision in JIT Systems Decision Area Choice Inventory Minimize lot size and safety stock Competitive priorities Emphasize low cost and consistent quality Positioning strategy Have a product focus Process design Minimize setup times; reduce the frequency of setups through product layouts, group technology, and one worker, multiple machines. Automate as much as possible Work-force management Seek a flexible, cooperative work force through job enlargement, consensus management, and training Maintenance Minimize the frequency and duration of breakdowns Materials management Have a cooperative orientation with suppliers Master production scheduling Maintain the same daily output rate for a whole month Quality Put quality control at the source
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  • Summer '18
  • Jonh
  • Management, Kanban, Toyota Production System, Just-in-time compilation, JIT systems

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