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Benefits of JIT (Just in Time )

JIT or just in time is a production and inventory control system in which materials are purchased and units are produced only as needed to meet actual customer demand. Just In Time manufacturing system inventories are reduced to the minimum and in some cases, they are zero.


Industries that practice JIT manufacturing often experience advantages and benefits such as:

    1. More cost-efficient production
    2. Continuous quality improvement
    3. Waste Elimination
    4. Improve productivity
    5. Improve supplier relationships
    6. Improve storage space used
    7. Reduce costs associated with storage
    8. Reduce manufacturing time
    9. Reduce work in progress
    10. Defect free outputjust in time JIT

When JIT programs are evaluated often companies will find that keeping lower stock holdings mean a reduction in storage space allowing areas previously used to store inventories to be used for other more productive uses. Less space for storage can also mean rent savings and lowered insurance costs.

JIT just in timeWhen a business obtains stock supplies on an as-needed basis, then less working capital is required which appeals to a lot of business owners because funds that were tied up in inventories can be used elsewhere.  With less stock there is also less likelihood of stock supplies perishing, becoming obsolete, or out of date.

With a JIT program, sudden changes in demand can be responded to quickly and a build-up of unsold finished products can be avoided.  This means that less time is spent on checking and re-working the product of others as the emphasis is on getting the work right the first time. In turn, defect rates are reduced, resulting in less waste and greater customer satisfaction.

There are many advantages to a Just in Time program. Valley Box Company can work within your just-in-time needs for packaging. Contact us to learn more. 

Topics: Wood, News, Services, Just In Time (JIT)

Valley Box Company

Written by Valley Box Company

Valley Box demonstrates what is possible beyond just the typical wooden crate. This specialty crating manufacturer works with a wide variety of materials from wood to plastic, corrugated, metals and more. Discover how to take specialty crating to the next level.