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Just in Time JIT Implementation Roadmap - to achieve a balanced rapid flow from planning to scheduling  Anand Subramaniam
[object Object],[object Object]
Highlights ,[object Object],[object Object],[object Object],[object Object]
JIT -  Overview
JIT Philosophy JIT Lower inventory levels / small lots sizes Streamlined with no waste or variability in production system A “Pull” system thru the plant Fewer suppliers (keiretsu) with long-term guaranteed contract Employee empowerment Guaranteed delivery times A management philosophy Works well in high-volume production with minimal inventory (RM, WIP, FG) Exposes problems & bottlenecks, requires TQM
JIT - Big Vs. Little ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
JIT Objectives Objectives Zero lead time Zero failures Flow process Flexible manufacture Eliminate waste Zero Inventory
JIT – Building Blocks JIT Product Design Process Design Manf Plan & Control Human Resource / Organisation
JIT – Building Blocks ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
JIT Requirements ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Requirement
JIT Relationship
JIT in Manufacturing Planning & Control
MRP vs. JIT ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
JIT & TQM ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Supplier / Buyer Partnership ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],Build Trust
Supplier – Partnership & Concerns ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
Kanban Pull System
What is Kanban Kanban Kan=card  Ban= signal Cards to signal & communicate reorder information Minimise storage in the production area Workstations only produce / deliver components when a card PLUS empty container is received Toyota in 1950s developed it to manage line / material flows Authorisation to produce more inventory Limits the amount of inventory in process  To deliver components to a work station as & when needed (pull) Work-station produces enough to fill the container
Kanban System Machine Centre Assembly Line Bin Part A Bin Part A Material Flow Card (signal) Flow Withdrawal kanban Production kanban
Kanban - Pull Signal
Kanban Card # of containers released Name / location of  preceding process Routing process Store bin / location Units of measure Part # Container type & capacity Name / location of next process Supplier Part  # Supplier Name Reorder / Lot Qty Description Kanban #
Kanban - Rules ,[object Object],[object Object],[object Object],[object Object],[object Object]
Kanban Card Calculation ,[object Object],[object Object],k =  No. of kanbans in card set  d  = Average No. of units demanded over the period L  = lead time to replenish order (same units of time as demand) S  = Safety stock as % of demand during lead time C  = Container size   C S dL ) (1   k Container capacity Expected demand during lead time + safety stock 
Example ,[object Object],[object Object],[object Object],[object Object],  C dL  (1  S ) 4 5(2)(1.1) 2.75 or 3   k size of container Expected demand during lead time + safety stock 
Kanban Challenges Challenges Assumes stable repetitive production Gets complex when upstream w/station makes several parts, each with separate signaling card Poor quality (scrap & rework) affect functioning Doesn't eliminate variability and / or lengthy down times Less suited to industries where mix & volumes fluctuate Buffer stocks may be needed
JIT -  Implementation Roadmap
JIT – Phased Implementation Phase 1 Phase 2 Phase 3 Design Flow Process Review product design, TQC & SPC Kanban Pull Review inventory policies Work & build trust with Vendors Manage Stakeholder Expectations JIT Implementation Inventory reduction Skill / Capability Development Measure performance Business Improvement Improve product design  1  2  3  4    5    6  7 Months Baseline & Stabilise schedules Project / Change Management
JIT – Implementation Steps  Design Flow Process Total Quality Control Baseline & Stabilise Schedule Demand / Kanban Pull Inventory Review & Reduction Build Skills & Capabilities Improve Product Design Continuously Improve Work & Build Trust with Vendors Measures & Metrics
JIT – Implementation Steps (Contd.) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
JIT – Implementation Steps (Contd.) ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]
JIT – Continuously Improve Design Flow Process Total Quality Control Baseline & Stabilise Schedule Demand / Kanban Pull Inventory Review & Reduction Build Skills & Capabilities Improve Product Design Work & Build Trust with Vendors Measures & Metrics
[object Object],[object Object]
[object Object],[object Object]

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JIT

  • 1. Just in Time JIT Implementation Roadmap - to achieve a balanced rapid flow from planning to scheduling Anand Subramaniam
  • 2.
  • 3.
  • 4. JIT - Overview
  • 5. JIT Philosophy JIT Lower inventory levels / small lots sizes Streamlined with no waste or variability in production system A “Pull” system thru the plant Fewer suppliers (keiretsu) with long-term guaranteed contract Employee empowerment Guaranteed delivery times A management philosophy Works well in high-volume production with minimal inventory (RM, WIP, FG) Exposes problems & bottlenecks, requires TQM
  • 6.
  • 7. JIT Objectives Objectives Zero lead time Zero failures Flow process Flexible manufacture Eliminate waste Zero Inventory
  • 8. JIT – Building Blocks JIT Product Design Process Design Manf Plan & Control Human Resource / Organisation
  • 9.
  • 10.
  • 12. JIT in Manufacturing Planning & Control
  • 13.
  • 14.
  • 15.
  • 16.
  • 18. What is Kanban Kanban Kan=card Ban= signal Cards to signal & communicate reorder information Minimise storage in the production area Workstations only produce / deliver components when a card PLUS empty container is received Toyota in 1950s developed it to manage line / material flows Authorisation to produce more inventory Limits the amount of inventory in process To deliver components to a work station as & when needed (pull) Work-station produces enough to fill the container
  • 19. Kanban System Machine Centre Assembly Line Bin Part A Bin Part A Material Flow Card (signal) Flow Withdrawal kanban Production kanban
  • 20. Kanban - Pull Signal
  • 21. Kanban Card # of containers released Name / location of preceding process Routing process Store bin / location Units of measure Part # Container type & capacity Name / location of next process Supplier Part # Supplier Name Reorder / Lot Qty Description Kanban #
  • 22.
  • 23.
  • 24.
  • 25. Kanban Challenges Challenges Assumes stable repetitive production Gets complex when upstream w/station makes several parts, each with separate signaling card Poor quality (scrap & rework) affect functioning Doesn't eliminate variability and / or lengthy down times Less suited to industries where mix & volumes fluctuate Buffer stocks may be needed
  • 26. JIT - Implementation Roadmap
  • 27. JIT – Phased Implementation Phase 1 Phase 2 Phase 3 Design Flow Process Review product design, TQC & SPC Kanban Pull Review inventory policies Work & build trust with Vendors Manage Stakeholder Expectations JIT Implementation Inventory reduction Skill / Capability Development Measure performance Business Improvement Improve product design 1 2 3 4 5 6 7 Months Baseline & Stabilise schedules Project / Change Management
  • 28. JIT – Implementation Steps Design Flow Process Total Quality Control Baseline & Stabilise Schedule Demand / Kanban Pull Inventory Review & Reduction Build Skills & Capabilities Improve Product Design Continuously Improve Work & Build Trust with Vendors Measures & Metrics
  • 29.
  • 30.
  • 31. JIT – Continuously Improve Design Flow Process Total Quality Control Baseline & Stabilise Schedule Demand / Kanban Pull Inventory Review & Reduction Build Skills & Capabilities Improve Product Design Work & Build Trust with Vendors Measures & Metrics
  • 32.
  • 33.