Jit
- Created by: Supirinc
- Created on: 14-04-18 23:15
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- JIT
- supplies are dilivered directly to the factory only when they are needed. The suppliers will be expected to deliveries the righ goods in perfect condition to the correct part of the factory at a particular time .
- Advantages
- Less money is tied up I need stock.
- Less time spent checking deliveries as suppliers are expected to get everything right
- Lees storage space needed so rent, security and ohter costs reduced.
- Less chance of build of of finished goods.
- Less chance of stock being damaged or going out of date.
- Disadvantages
- Production depends on suppliers and if stock its not delivered on time due to unforeseen circumstances production can be up
- There is little room for mistakes as stock levels are so low
- There are no spare finished product available to meet unexpected demand.
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