The Just in Time is a managerial concept that finds a way into the setup of the company through the subsystem of inventory management, and the whole productive mechanism modifies itself in order to craft a leaner and better manufacturing culture that drives on the basis of collaboration and teamwork. The integration of Management Information System (MIS) is a necessity that the company needs before applying shredded model of production. However, the suppliers have to have partial access to records of the organization, and upon reaching critical deficiency of the components and subparts those collectively create the final product, the system will automatically generate an order for each of providing sources. The scheduling would reflect the reliance upon the above mentioned technique because all of the activities would take place just minutes before the reaching of the outsourced object. The literature of project management, cost accounting and operational administration would operate in harmony in order to give the entire system meaningfulness.
The companies those use JIT have to focus on time management, and therefore, the element of timely delivery is everything in the discussed realm of production management , and if the lateness occurs at any level, then the whole system would suffer, and the management would not be able to dispatch the badges of finished goods efficiently.
The dealers would receive the shipments late, and the customers would have to wait for new inventories for hours or they have to lineup for days even. The Kanban System would act as a subpart of the production line, but the mechanism would record dispatching and receiving the items, and therefore, the management can better regulate the overall process. The Kanbans would identify defective items from the lots of products received. In the light of above discussion, the companies operating in the developed parts of the world with modern transportation and underlying national infrastructures at their disposal would benefit the most from JIT, and those organizations working in less advanced nations have to adhere to traditional approaches in this regard.
References
Hofer, C., Eroglu, C., & Hofer, A. R. (2012). The effect of lean production on financial performance: The mediating role of inventory leanness. International Journal of Production Economics Vol 138(2), 242–253.
