Just in Time Manufacturing

Definition of ‘Just in Time Manufacturing’

Just in time manufacturing, often referred to as just in time production and abbreviated to JIT, is a method of dealing with inventory in a manufacturing environment.

Ideally with just in time manufacturing, no inventory is held by the business and raw materials and components are delivered to the production line as needed (just in time).

The objective of just in time manufacturing is to keep the costs of holding inventory to a minimum, reduce waste and shorten inventory lead time.

In order to operate a just in time inventory management system it is necessary for the purchasing and delivery process to be as efficient as possible to avoid unnecessary shortages of inventory causing stoppages in the manufacturing line.

For further information see the Wikipedia Just in Time Manufacturing definition.

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