1、JIT and SCM,JIT can be defined as an integrated set of activities designed to achieve high-volume processes using minimal inventories (raw materials, work in process, and finished goods). BIG-JIT is the elimination of all forms of waste. JIT also involves the timing of production resources (e.g., pa
2、rts arrive at the next workstation “just in time”).,Minimizing Waste: Just-In-Time Production,STYRO J-I-T PRESENTATION,Styro Results,J-I-T PERFORMANCE,J-I-T PERFORMANCE,WORLD CLASS SUPPLY CHAIN,Bullwhip Effect,Order Quantity,Time,Retailers Orders,Order Quantity,Time,Wholesalers Orders,Order Quantity
3、,Time,Manufacturers Orders,The magnification of variability in orders in the supply-chain.,A lot of retailers each with little variability in their orders.,can lead to greater variability for a fewer number of wholesalers, and,can lead to even greater variability for a single manufacturer.,3,Supply
4、Chain Management,Apply a total systems approach to managing the entire flow of Inventory Transportation Facilities Information,Raw material suppliers,CONSIDER UNCOORDINATED, LARGE BATCHES NO INFORMATION SHARING EXCEPT ORDERSSUPP. MANUFACTURER RETAILER CUSTOMER d=100 U/DAY, D=25000 U/YEAR, Order Quan
5、tities Qs=2500, Qm=1250,Qr=1250, Qc=100 U/DAY Time Between Shipments AND Information Lag: Ts = 2500/25000=1/10 1 month Tm = 1250/25,000 = 1/20 year 2 weeks Tr = 1/20 year 2 weeks Total network shipment and info. leadtimes ABOUT 2 months Retailer change will take about 2 months to be felt back at the
6、 Supplier,CONSIDER COORDINATED, SMALL BATCHES FULL INFORMATION SHARING FROM RETAILON-LINE, REAL TIMESUPP. MANUFACTURER RETAILER CUSTOMER d=100 U/DAY, D=25000 U/YEAR, Order Quantities Qs=100, Qm=100,Qr=100, Qc=100 U/DAY Time Between Shipments:Ts = Tm = Tr = 1 DAY Information Lag = 0 time. Total shipment leadtime = 3 DAYS A change at retail will be felt back at the Supplier immediately.,Matching Supply-Chains with Products,Efficient Supply-Chain,Responsive Supply-Chain,Functional Products,Innovative Products,Match,Match,Mismatch,Mismatch,
