JIT, Basic elements, concepts and benefits and spread of TPS

1. JUST INTIME MANUFACTURING
17 IM 831
Dr. Rashmi S
Dept of IE&M
JSSATE-B

2. Syllabus

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COs Course Outcomes
Bloom’s
Level
CO1 Make use of various concepts of TPS philosophy to solve organizational problems. L3
CO2 Analyze the versatility of JIT in wide spectrum of industries and review the outcomes. L4
CO3
Choose appropriate layouts designs and supply management system for realizing
benefits from JIT implementation.
L5
CO4 Discuss the framework for JIT implementation. L6
Course with Course Code: Just In Time Manufacturing (17 IM 831)
Academic Year: April – Aug 2021
At the end of this course, students will be able to:
COURSE OUTCOME:

6. MODULE 1
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JIT-AN INTRODUCTION:
 Spread of JIT movement
 New production system research association of Japan,
 Some definitions of JIT
 Core Japanese practices of JIT
 Enabling JIT to occur
 Basic element of JIT
 Benefits of JIT

7. JIT or TPS
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 Just-in-time (JIT) manufacturing, also known as just-in-time
production or the Toyota Production System (TPS), is a
methodology aimed primarily at reducing times within the production
system as well as response times from suppliers and to customers.
 Its origin and development was mainly in Japan, largely in the 1960s and
1970s and particularly atToyota

8. History
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 Evolved in Japan after World War II, as a result of their diminishing market
share in the auto industry.
 Founded by Taiichi Ohno, a vice president ofToyota.
 Basically implemented inToyota plant 1950, well established after 1970.
 Principle of JIT - to eliminate sources of manufacturing waste by getting
right quantity of raw materials and producing the right quantity of products
in the right place at the right time.

9. Contd…
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10. Contd..
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 Sakichi Toyoda, the founder of the Toyota group of companies, started Toyota as a textile
machine company.
 • Kiichiro Toyoda, son of Sakichi and founder of the Toyota automobile business, developed the
concept of Just-in-Time in the 1930 s. He decreed that Toyota operations would contain no excess
inventory and thatToyota would strive to work in partnership with suppliers to level production.
 • Taiichi Ohno, Toyota's chief of production in the post. WWII period. He was THE main
developer ofToyota Production System (TPS).
 • Dr. Shigeo Shingo: A consultant to Toyota. PS: Shingo Prize is the highest manufacturing
excellence award in the U. S. The prize is given both to companies and individuals who contribute
to the development of manufacturing excellence

11. Toyota Production System (TPS): Related Terms
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• Ohno System
• MAN (Material as Needed) - Harley Davidson
• MIPS (Minimum Inventory Production Systems) -Westinghouse
• Stockless production - Hewlett Packard
• Zero inventory production system
• Lean Manufacturing/Production - MIT

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13. Definition of JIT
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 Voss and Robinson [61]: “JIT is a production methodology
which aims to improve overall productivity through the
elimination of waste and which leads to improve quality.”
 Schonberger [55]: “JIT is a system to produce and deliver
finished goods just in time to be sold, purchased materials just
in time to be transformed into fabricated parts and
subassemblies just in time assembled into finished goods.”

14. Followed by
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 Adopted by General Electrical in the USA in the 1980.
 Some companies referred JIT with different names:
i. TOYOTA –‘Toyota System’
ii. IBM –‘Continuous flow manufacturing’
iii. GE-‘Management by sight’
iv. HEWLETT- PACKARD- ‘stockless production & repetitive
manufacturing system’

15. JIT manufacturing that "are important but not exhaustive”
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 Housekeeping – physical organization and discipline.
 Make it right the first time – elimination of defects.
 Setup reduction – flexible changeover approaches.
 Lot sizes of one – the ultimate lot size and flexibility.
 Uniform plant load – leveling as a control mechanism.
 Balanced flow – organizing flow scheduling throughput.
 Skill diversification – multi-functional workers.
 Control by visibility – communication media for activity.
 Preventive maintenance – flawless running, no defects.
 Fitness for use – producibility, design for process.
 Compact plant layout – product-oriented design.
 Streamlining movements – smoothing materials handling.
 Supplier networks – extensions of the factory.
 Worker involvement – small group improvement activities.
 Cellular manufacturing – production methods for flow.
 Pull system – signal [kanban] replenishment/resupply systems.

16. Characteristics features of jit
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 JIT provides cost effective production and delivery of only necessary parts in right quantity
at right place at right time by using minimum of facilities, equipments, materials and
human mgmt.
 JIT is a comprehensive framework which enables to conceive, design, implement and
operate a mfg. and supporting systems as an integrated whole with the help of continuous
improvement and elimination of waste.
 Firms using JIT derive their competitive advantage not on the basis of cost alone, even
quality, delivery, flexibility and combination of all.

17. Spread of JIT by NPSRA
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 NPSRA stands for New Production System Research Association.
 Firms that comprise of NPSRA have a long term commitment to new type of production system.
 The ultimate goal of NPSRA is to surpass the manufacturing giants of Japan such as TOYOTA by the
turn of century both in profits and sales.
 NPSRA drives its philosophy from TPS.
 The initial 5 companies at NPSRA were Oieresu, Kibun, Ogura Hoseki Seiki Kogyo, Ikiyo, Yoga
Seiki sha.
 Currently over 300 companies are a part of NPSRA and also they follow the policy of having one
company per sector.
 Membership fee are of 3 slots from $2000,$3200,$4800.
 Many companies have gained dramatic improvement in a short period of time
 The initial instructors of the NPSRA in1985 were 11 people from TOYOTA.
 NPSRA is certainly providing the energy required to further boost JIT movement in Japan.
 A few companies in NPSRA are Yokugawa Electric,Nippon,etc.

18. Summary results of JIT applications in Japan
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Company : Cannon
Product category(PC) : Cameras, office equipment,etc.
Productivity improvement(PI) : (indexed) 100 to 250
Waste elimination : $15 million in 1976
: $98 million in 1982
Set up time reduction(STR) : Accessory parts operations 4 min to 15 sec
Inventory reduction(IR) : (indexed)100 in 1976 to 50 in 1982
Quality improvement(QI) : 45% reduction of defects in 3 months
Space savings (SS) : Factor of 3 for copier assembly line
Lead time reduction : Significant

19. Summary results of JIT applications in Japan
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Company : Hitachi
Product category(PC) : Home appliances, integrated circuits,
computers etc
Productivity improvement(PI) : (indexed) 100 to 178
Set up time reduction(STR) : Sheet metal line : 160 to 5 min
Machining Centre : 245 to 9 min
250Ton die cast : 75 to 3 min
Inventory reduction(IR) : (indexed)100 in 1977 to 60 in 1981
Quality improvement(QI) : Significant
Lead time reduction : 20 days to 3 days

20. Summary results of JIT applications in United States
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Company :Apple computers
Product category(PC) : Microcomputers
Productivity improvement(PI) : i) Inspection labour from 25 to 9
ii)Assembly labour from 22 to 4
Set up time reduction(STR) : Estimate of 30%
Inventory reduction(IR) : Estimate of 90% inWIP and raw material
compared to other factories
Quality improvement(QI) : scrap and rework reduced by 10%
incoming material quality up by 20%
Space savings (SS) : No need for warehouse, material delivered to point of
use
Lead time reduction : All components less than 2 days

21. Summary results of JIT applications in United States
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Company : General electric
Product category(PC) : Electrical appliances
Productivity improvement(PI) : i) Direct labour : 15%
ii) Indirect labour : 25%
Set up time reduction(STR) : Significant from hours to minutes
Inventory reduction(IR) : In process by 40%
Quality improvement(QI) : scrap and rework reduced by 33%
Space savings (SS) : 52000 sq. ft.
Lead time reduction : From weeks to days. Mixed
production.Daily vendor delivery

22. Core Japanese practices of JIT
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 TPS makes use of 2 key concepts:
1. JIT
2. Autonomation
1. JIT: Production and conveyance of necessary units in necessary quantities at
necessary time.
Ideal form of JIT can be achieved through 4 prerequisites:
1. Design of Processes
2. Standardization of jobs
3. Smoothing of Production
4. Information system- Kanban system
2.Autonomation:Autonomous defect control system - JIDOKA

23. Design of processes
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Key features:
1. Use of multiprocess holding and multifunction workers
(Shojinka).
2. Creative thinking or inventive ideas (Soikufu) to facilitate
capitalization on workers suggestions.

24. Core Practices of JIT
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1. Kanban system
2. Production Smoothing –Adapt to demand changes
3. Reduction of set-up time - to reduce production lead time
4. Standardization of operations – attain Line balancing
5. Machine layout and multifunction workers – flexible work concept.
6. Implementation of activities by small groups and suggestion systems - to reduce
workforce and increase workers morale.
7. Visual control systems: forAutonomation concepts
8. Functional Mgmt. system – to promote company wide quality control.

25. Core concepts or JIT practices can be grouped under 4 categories
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 People related
 Process related
 Planning related
 Quality related
Further these can be categorized in 2 types:
1. Practices that helps to develop continuous flow manufacturing
2. Practices that are of enabling type – enable JIT to occur.

26. Continuous flow manufacturing
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 JIT aims for continuous flow manufacturing.
 JIT sought to achieve this through
Design of processes
- Material Handling
- Cellular layouts/mfg.
- Product focus
- Use of many small machines than using one large machines
- Process line balancing
The flow must be supported by flexibility-
- Use of small batches
- Flexibility in workforce
- Use of spare physical capacity
- Flexible automation
-

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THANKYOU