INTRODUCTION

When first developed in Japan in the 1970s, the idea of just-in-time (JIT) marked a radi al ne! approa h to the manufa turin" pro ess# It !as first developed $% To%ota manufa turin" plants $% Taii hi &hno# 't the heart of JIT lies the kanban, the Japanese !ord for ard# This kanban ard is sent to the !arehouse to reorder a standard (uantit% of parts as and !hen the% have $een used up in the assem$l% or manufa turin" pro ess# 'fter the first introdu tion of JIT $% To%ota, man% ompanies follo!ed up and around mid-1970s), it "ained e*tended support and !idel% used $% man% ompanies# The main on ern at that time !as to meet onsumer demands# The prin iple of JIT is to eliminate sour es of manufa turin" !aste $% "ettin" ri"ht (uantit% of ra! materials and produ in" the ri"ht (uantit% of produ ts in the ri"ht pla e at the ri"ht time# JIT re(uires pre ision, as the ri"ht parts must arrive +just-in-time, at the ri"ht position (!ork station at the assem$l% line)# It is used primaril% for hi"h-volume repetitive flo! manufa turin" pro esses# -or JIT to !ork, man% fundamental elements must $e in pla e . stead% produ tion, fle*i$le resour es, e*tremel% hi"h (ualit%, no ma hine $reakdo!ns, relia$le suppliers, (ui k ma hine set-ups, and lots of dis ipline to maintain the other elements# The on ept of $a kflush ostin" is often asso iated !ith just-in-time operation# /a kflush ostin" is a strate"% that involves dela%in" the ostin" pro ess until the produ tion of "oods or servi es is ompleted# &n e the produ tion % le is finished, the osts are then applied to the operation, makin" it possi$le to determine the osts asso iated !ith manufa turin" the produ ts and to set the sale pri e a ordin"l%# With this approa h, one of the "oals is to keep the inventor% of ra! materials as lo! as possi$le# Thus, orders for ra! materials are s heduled so that the "oods arrive just $efore the produ tion ommen es# The journal entries to inventor% a ounts ma% $e dela%ed until the time of produ t ompletion or even the time of sale, and standard osts are used to assi"n osts to units !hen journal entries are made, that is, to flush osts $a k!ard to the points at !hi h inventories remain# It an $e ar"ued that $a kflush a ountin" simplifies ostin" sin e it i"nores $oth la$or varian es and !ork-in-pro"ress#

Just-in-time# http011!!!#e onomist# om1node112973294 CONCLUSION

Just-in-time is a manufa turin" philosoph% !hi h leads to produ in" the re(uired items at the re(uired (ualit% and in the ri"ht (uantities at the pre ise time as the% re(uired# It is an approa h to a hievin" e* ellen e in elimination of !aste# In this ase, !aste an $e thou"ht of as thin"s that don)t add value to the produ t# &verprodu tion, inventor%, defe t produ ts, transport and !aitin" time are some e*amples of !hat an $e !aste a ordin" to JIT# Just-in-time manufa turin" is a s%stem of enfor ed pro$lem solvin"# 5ana"ers have the hoi e $et!een puttin" a hu"e effort in findin" and solvin" auses of produ tion pro$lems, or the% an learn to live !ith an intolera$le level of interruptions in produ tion# 's ever%$od% kno!s, the situation in !hi h one has to put hu"e efforts is hi"hl% undesira$le and therefore the s%stem is alled enfor ed# Just-in-time has it influen e in orderin", s hedulin" and produ in" sides of a manufa turin" firm# JIT produ tion ontains the !ell -kno!n kanban s%stem# This influen e in the manufa turin" firm is dependin" on emplo%ees, suppliers or ustomers# Therefore a lar"e element of trainin" is put to!ard the JIT to rea h ertain "oals# &ne of these "oals is mutual trust and team!ork# This is an important fa tor in the JIT prin ipal# When mana"ers and !orkers see ea h other as e(ual, ommitted to the or"ani6ation and its su ess, the% are more !illin" to o-operate !ith ea h other in order to find the pro$lems and solve these pro$lems# -or the $a kflush a ountin", it is a produ t ostin" approa h that have $een used in JIT operatin" environment, in !hi h ostin" is dela%ed until "oods are finished# 7tandard osts are then flushed $a k!ard throu"h the s%stem to assi"n osts to produ ts# The result is that detailed tra kin" of osts is eliminated# 8o!ever, there is a dra!$a k of usin" the $a kflush ostin"# It is a on ept that is not !idel% onsidered to $e in omplian e !ith "enerall% a epted a ountin" prin iples# It also la ks the se(uential of audit trail# To sum up, JIT is an important operational s%stem for manufa turin" and suppl%in" ompanies to adopt and implement# Te hni all%, pro edurall% and mana"eriall% it re(uires attention to data, information and ommuni ation# /ut if looked at throu"h the e%es of the orporation that has implemented the JIT s%stem, the positive out omes that arise from the use of the s%stem is far "reater than those that are not# JIT s%stem reall% is a state of the art idea that is $e"innin" to at h on in a tremendous !a% all over the !orld#