《物流英语》课程教学课件（PPT讲稿）Unit 05 Just-in-time and lean systems

Just-in-time andlean systemsJust-in-time (JIT) is one of the widelyadopted and practiced philosophy as well astechniqueIt is based on the simple idea that whereverpossible no activity should take place in asystem until there is a need for it

Just-in-time and lean systems  Just-in-time (JIT) is one of the widely adopted and practiced philosophy as well as technique.  It is based on the simple idea that wherever possible no activity should take place in a system until there is a need for it

Toyotaproduction system·In the mid 1950s, Toyota management studied mass productionin the US and found:.The room of cutting down costs outweighed the benefitsbroughtbyscale·Enterpriseswerenotaccustomed tomarket changes,noremployees'creativityencouraged·JITenabledJapantotaptheautomobilemarket intheUS in1980s

Toyota production system •In the mid 1950s, Toyota management studied mass production in the US and found: •The room of cutting down costs outweighed the benefits brought by scale •Enterprises were not accustomed to market changes, nor employees’ creativity encouraged. •JIT enabled Japan to tap the automobile market in the US in 1980s

The Japanese Philosophy? Waste is anything that does not add valuefrom the customer point of view Storage, inspection, delay, waiting in queues.and defective products do not add value andare 100%waste

The Japanese Philosophy  Waste is anything that does not add value from the customer point of view  Storage, inspection, delay, waiting in queues, and defective products do not add value and are 100% waste

CustomerPullOn Time DeliverFIFORotateStockQualityCostGROCERIES-Requirement-FreshR-Ayailable-Brand-PriceSizeSupplyDemandJ.I.T-RequirementsCommunicationsSpecifications-ExpectationsCapacity-Timing

PullSystemPull SignalsPullProcessDefinition:A method of controlling theflowofresourcesbyWASTEreplacing onlywhat hasbeenconsumedMaterialAtManpowerOperator

Pull system vs push systemDemandCustomersFinished products“pull"FactoryFinished productswarehouseWork-in-progressFactoryProductComponentssuppliers“push

Pull system vs push system Demand “pull” Product “push” Customers suppliers Factory warehouse Factory Components Work-in-progress Finished products Finished products

Pull systemApull system uses signals to requestproduction and delivery from upstreamstationsUpstream stations onlyproducewhensignaled? By pulling material in small lots, inventorycushions are removed, exposing problemsand emphasizing continual improvement

Pull system  A pull system uses signals to request production and delivery from upstream stations  Upstream stations only produce when signaled  By pulling material in small lots, inventory cushions are removed, exposing problems and emphasizing continual improvement

Advantages of KanbanAllow only limited amount of faulty ordelayed materialProblems are immediately evidentPuts downward pressure on bad aspects ofinventoryStandardized containers reduce weight.disposal costs, wasted space, and labor

Advantages of Kanban Allow only limited amount of faulty or delayed material Problems are immediately evident Puts downward pressure on bad aspects of inventory Standardized containers reduce weight, disposal costs, wasted space, and labor

Pull system vs push system·Essentially JIT is a‘pull' concept wheredemand determines the flow.The traditional push system works whereproducts are manufactured or assembled inanticipation of demand and are positioned inthe supply chain as “buffers" betweenvarious functions

Pull system vs push system  Essentially JIT is a ‘pull’ concept where demand determines the flow.  The traditional push system works where products are manufactured or assembled in anticipation of demand and are positioned in the supply chain as “buffers” between various functions

PushSystemDefinition:Resources areprovidedtotheconsumerbasedonforecasts or schedules