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JIT – Just-In-Time Production

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1 JIT – Just-In-Time Production
4/22/2017

2 Introduction to JIT Overview of JIT Catch Phrase
JIT is a pull production system Catch Phrase “The right part in the right place at the right time” 4/22/2017

3 History of JIT Taiichi Ohno of the Toyota Motor Corporation is often referred to as “The Father of JIT.” The JIT management philosophy has been around since the 1950’s, which is when Ohno first started developing and practicing JIT concepts within the Toyota Corporation. Ohno titled his new methods of production the Toyota Production System (TPS), which has now become a synonymous term for JIT 4/22/2017

4 Toyota’s Lean Production House
Goal: highest quality, lowest cost, shortest leadtime Heijunka S Standardized Work Kaizen Jidoka Just in Time (JIT) – continuous flow, pull system, or kanban JIT JIT is one of the pillars necessary to achieve Lean Production! Stability – Stable Manufacturing Processes, 100% Quality, Total Preventative Maintenance 4/22/2017

5 Synonyms for JIT Toyota Production System Stockless production
Lean production Kanban system 4/22/2017

6 JIT Goal and Philosophies
GOAL of JIT: Production control through waste elimination Philosophy of JIT Elimination of waste Broad view of operations Simplicity Continuous improvement Visibility Flexibility 4/22/2017

7 JIT Principles Simplification Cleanliness and organization Visibility
Cycle timing Agility Variation reduction Measurement 4/22/2017

8 Elements of JIT Meet daily Discuss work practices Reduce buffer stock
Modify machinery – reduced setup Reveal non-value added practices Involve the workforce: consultation instead of confrontation Expose problems 4/22/2017

9 Benefits of JIT Better quality products Reduced scrap and rework
Reduced cycle times Lower setup times Smoother production flow Cost savings Less inventory Higher productivity Most skilled workforce Reduced space requirements Higher work participation 4/22/2017

10 Toyota’s Seven Wastes Producing defects Transportation Inventory
Overproduction Waiting Time Processing Motion These 7 wastes are characteristic of push production systems. 4/22/2017

11 Canon’s Nine Wastes Work-in-process Defects Equipment Expense
Indirect labor Planning Human resources Operations Startup Discussion: Why is planning considered waste here? Why human resources? Can the class identify other sources of waste associated with organizations? 4/22/2017

12 The Five Why’s Ask “Why” five times to get to the source of waste and the cause of problems Why did the machine stop? Overload and blown fuse Why the overload? Not lubricated Why not lubricated? Oil pump not pumping Why not pumping? Pump shaft worn out Why worn out? No screen, scrap was let in 4/22/2017

13 Push vs. Pull Push System
Material is pushed downstream and inventory builds regardless of resource availability Strong emphasis on production first Stock points and additional inventory can overflow with parts and raw materials 4/22/2017

14 Traditional Push Production System
Big purchase shipments w/ lower per unit shipping cost Huge lot sizes Lots of inventory “Push” material to next stage Big “pushes” of finished goods to warehouse or customers 4/22/2017

15 Pull vs. Push Pull System
The customer starts the production process by pulling production when it is needed Material is moved to workstations as it is needed Stock points are kept at a minimum Waste is MINIMIZED 4/22/2017

16 Pull Production System
Smaller lots Faster setups Less inventory Smaller shipments w/ minimal / no inventory holding cost Goods are “pulled” by demand out of the plant 4/22/2017

17 Necessary Conditions For Pull
Planning and Control Responsibility Producing to Meet Demand Reduce In-Process Inventories Preventative Maintenance Quality Assurance Setup Times Must be Small Linking of All Operations Production Plans and Schedules Must Be Uniform Develop Cooperative Attitudes and Teamwork 4/22/2017

18 Achieving Pull Production
Pull System as Reorder Point (ROP) System D = demand (consumption rate) LT = lead time (elapsed time btwn order and replenishment P = production time C = conveyance time (time to convey order to upstream process, plus time to move materials to the downstream operation SS = safety stock (number of parts) As variability increases in D or LT, SS increases When D & LT are relatively constant, SS can be zero 4/22/2017

19 Achieving Pull Production
Standard-Sized Containers If Q = the capacity of a standard container, then ROP as expressed in terms of the number of containers is K, or the maximum number of completely full containers in a buffer Container Size Container should hold about 10% of the daily demand 4/22/2017

20 Kanban Kanban card shows typical production quantity
Derived from two-bin inventory system Maintains pull production system A production kanban authorized production A withdrawal kanban authorizes material handling 4/22/2017

21 Kanban Pre-Conditions
Point of use inclusion (all parts on the assembly line) Level production There are four pre-conditions for the successful implementation of Kanban Quick Changeover procedures Stabilized processes 4/22/2017

22 Kanban Kanban means “signboard”
Kanban is a signal used to communicate production cues in a pull production system 4/22/2017

23 Sample Kanban Card Part No.: 6934 Description: Servo motor
Box capacity: 30 From: Box type: AF To: Issue No.: 06 Assembly Station 3 D-7 4/22/2017

24 Sample Kanban Card <<Part Number>>
Market Address <<Market_Address>> Kanban Number <<Kanban_Number>> Line-Side Address <<Line_Side_Address>> Part Number <<Part Number>> Route <<Route>> Part Description Bar Code Area Dock Code <<Dock Code>> Supplier Code <<Supplier Code >> Quantity <<Quantity>> Serial Number Comment: <<Comment>> 4/22/2017

25 Conveyance Kanbans A conveyance kanban, or C-kanban, authorizes containers to move from an upstream, outbound buffer to a downstream, inbound buffer Kc = number of C-kanbans C = total time between when workers remove a C-kanban from a full container at the inbound buffer and when they remove a C-kanban from the next full container Steps for C-kanban on p.274 4/22/2017

26 Production Kanbans P-kanban is used to authorize production parts to assemblies Kp = number of P-kanbans P = total time elapsed from when workers or mat’l handlers remove the P-kanban from a full container and post it at the outbound buffer until the time they remove the P-kanban from the next full container Steps on p. 276 4/22/2017

27 1 & 2-Card Kanban Systems 1-card systems use only C-kanbans
2-card systems use both C-kanbans and P-kanbans 4/22/2017

28 DISCUSSION 4/22/2017


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