Just-in-time

 

Just-in-time (JIT) synchronizes material supply with true customer demand so inventory arrives exactly when it is needed for production or order fulfillment. By shrinking buffers and lead times, JIT frees working capital, reduces obsolescence, and exposes process waste that can be removed permanently. It works best when demand signals are reliable, suppliers are aligned to takt time, and transport plans are engineered for consistency rather than heroics.
 

 

A mature JIT model combines heijunka leveling, e-kanban triggers, standardized containers, and time-definite pickup windows. Upstream quality is critical because defects propagate faster when buffers are thin. Governance matters as much as math, with clear playbooks for shortages, engineering changes, and logistics disruptions.

What business outcomes does just-in-time drive?

 

 JIT lowers days of inventory on hand, reduces premium freight tied to expediting, and improves first-pass yield by surfacing upstream issues earlier. Space saved from buffer stock can be repurposed for value-adding operations or postponed manufacturing.

What can go wrong and how is it mitigated?

 

 Single-sourcing, unpredictable border delays, or volatile demand can overwhelm thin buffers. Mitigation includes dual sourcing for critical parts, vendor-managed inventory for long-lead items, nearshore hubs for quick cycles, and time-fenced planning that separates stable from variable demand.

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