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Just-In-Time SystemsIn todays companies new catch phrases and ideas are beingdeveloped each and every day One of the more popular ideas that iscirculating around these days is the idea of just-in-time manufacturingMany magazines and newspapers have documented the efforts of companiesto develop and implement just-in-time processes The question can be askedthough what does just-in-time mean How does a company implementjust-in-time processes and what are the results of implementationJust-in-time manufacturing is basically the idea that companies shouldhave manufacturing and purchasing strategies that reduce the time betweenthe beginning of the manufacturing process and shipment to the customerThis sounds easier said than done for the development and implementationof these strategies are some of the most difficult tasks in just-in-timemanufacturing One key idea that must be understood about just-in-timemanufacturing is throughput time This is the time between the start of themanufacturing process and the end where the product is ready to be shippedFive key elements are involved in throughput time The first element isprocessing time or the time actually spent working on the product Next isinspection time and moving time Moving time is simply the amount of timespent moving the product from one production department to another as wellas back and forth from storage areas The last two elements of throughputtime are waiting or queue time and storage time Queue time is the amountof time a product is waiting at a production department before being workedon while storage time is the amount of time raw materials finished goodsand works-in-progress actually stay in storage Just-in-time philosophy saysthat the first element processing time actually adds value to the productwhile the last four key elements do not1 Thus there are value-addedactivities and nonvalue-added activities Just-in-time manufacturing tries todecrease the amount of time spent on nonvalue-added activities as much aspossible Just-in-time philosophy was first used by Toyota in Japan Since thattime many companies around the world have begun to successfullyimplement just-in-time processes including several companies in the UnitedStates The implementation of just-in-time processes
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