1. Operations Management JIT & Lean Systems
Operations Management as a Competitive Weapon
Module:
JIT & Lean Systems

2. Operations Management
OM Course Framework
1. Cost
- Design & Selection
3. Dependability
- Project Management
- JIT
4. Flexibility
- Inventory
- Supply Chain
- Location
- Forecasting
- Aggregate Planning
2. Quality
- TQM
- SQC

3. Operations Management
Learning Objectives
At the end of this module, each student will understand:
Definition of Just-In-Time
JIT manufacturing
TQM
Respect for people
Benefits of JIT
JIT in services
Module: JIT & Lean Systems

4. 1. APICS definition of JIT
A philosophy of manufacturing based on waste elimination and continuous improvement of productivity.
Module: JIT & Lean Systems

5. Module: JIT & Lean Systems
Three Elements of JIT
Module: JIT & Lean Systems

6. Module: JIT & Lean Systems
2. JIT Manufacturing
Kanbans & pull production systems
Quick setups & small lots
Uniform plant loading
Flexible resources
Efficient facility layouts
Module: JIT & Lean Systems

7. Pull Production & Kanbans
Module: JIT & Lean Systems

8. Quick Setups & Small Lots
Setup times = time required to get ready
E.g.: clean & calibrate equipment, changing tools, etc.
Internal versus external setups
Stop production or setup will still running
Internal setups = lost production time
Inefficient setups = waste
Module: JIT & Lean Systems

9. Module: JIT & Lean Systems
Uniform Plant Loading
Module: JIT & Lean Systems

10. Module: JIT & Lean Systems
Flexible Resources
General purpose equipment:
E.g.: drills, lathes, printer-fax-copiers, etc.
Capable of being setup to do many different things
Multifunctional workers:
Cross-trained to perform several different duties
Module: JIT & Lean Systems

11. Efficient Facility Layouts
Workstations in close physical proximity to reduce transport & movement
Streamlined flow of material
Often use:
Cellular Manufacturing (instead of job shops)
U-shaped lines: (allows material handler to quickly drop off materials & pick up finished work)

12. Module: JIT & Lean Systems
Job Shop Layout
Module: JIT & Lean Systems

13. Cellular Manufacturing
Module: JIT & Lean Systems

14. 3. Total Quality Management
Quality system involving entire organization from supplier to customer
Objective: Meet or exceed customer needs through company-wide continuous improvement
Module: JIT & Lean Systems

15. Operations Management
TQM & JIT
Quality at the Source
Jidoka
Poka-yoke
Preventive maintenance
Quality at the Source
Jidoka (authority to stop line)
Poka-yoke (foolproof the process)
Preventive maintenance
Module: JIT & Lean Systems

16. 4. Respect for People: Workers
Cross-trained workers
Actively engaged in problem-solving
Workers are empowered
Everyone responsible for quality
Workers gather performance data
Team approaches used for problem-solving
Decision made bottom-up
Workers responsible for preventive maintenance
Module: JIT & Lean Systems

17. Module: JIT & Lean Systems
Respect for People: Management
Responsible for culture of mutual trust
Serve as coaches & facilitators
Support culture with appropriate incentive system
Responsible for developing workers
Provide multi-functional training
Facilitate teamwork
Module: JIT & Lean Systems

18. Module: JIT & Lean Systems
5. Benefits of JIT
Smaller inventories
Improved quality
Reduced space requirements
Shorter lead times
Lower production costs
Increased productivity
Increased machine utilization
Greater flexibility
Module: JIT & Lean Systems

19. Module: JIT & Lean Systems
6. JIT in Services
Multifunctional workers
Reduce cycle times
Minimize setups
Parallel processing
Good housekeeping
Simple, highly-visible flow of work
Module: JIT & Lean Systems