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PROJECT SYNOPSIS

A project report on Just in Time Production

In partial fulfillment of the Dissertation

In Semester - IV of the Master of Business Administration


Prepared by

……............……………

Registration No:…………………………

Under the Guidance of ...................................


Declaration

This is to declare that the report entitled A project report on A project report on
Just in Time Production is prepared for the partial fulfillment of the Dissertation
course in Semester IV of the Master of Business Administration by me under the
guidance of _________________ .

I confirm that this dissertation truly represents my work. This work is not a
replication of work done previously by any other person. I also confirm that the
contents of the report and the views contained therein have been discussed and
deliberated with the faculty guide.

Signature of the Student : ………………..

Name of the Student (in Capital Letters) : ……………………

Registration No : ……………………………………
Certificate

This is to certify that Mr. / Ms. ___________________ Regn. No.


_________________ has completed the dissertation titled “A project report on
Just in Time Production” under my guidance for the partial fulfillment of the
Dissertation course in Semester IV of the Master of Business Administration.

Signature of Faculty Guide: ………………………

Name of the Faculty Guide: ………………………..

(a) Introduction:
Just-in-time (JIT) is a management philosophy that strives to eliminate sources of
manufacturing waste by producing the right part in the right place at the right time. Waste
results from any activity that adds cost without adding value, such as moving and storing.JIT
(also known as lean production or stockless production) should improve profits and return on
investment by reducing inventory levels (increasing the inventory turnover rate), reducing
variability, improving product quality, reducing production and delivery lead times, and
reducing other costs (such as those associated with machine setup and equipment breakdown).
In a JIT system, underutilized (excess) capacity is used instead of buffer inventories to hedge
against problems that may arise.

JIT applies primarily to repetitive manufacturing processes in which the same products and
components are produced over and over again. The general idea is to establish flow processes
(even when the facility uses a jobbing or batch process layout) by linking work centers so that
there is an even, balanced flow of materials throughout the entire production process, similar
to that found in an assembly line. To accomplish this, an attempt is made to reach the goals of
driving all queues toward zero and achieving the ideal lot size of one unit.

JIT was developed as a means of meeting customer demands with minimum delays. Thus, in
the olden days, JIT is used not to reduce manufacturing wastage, but primarily to produce goods
so that customer orders are met exactly when they need the products.

(b) Problem Definition


a) Team leader cannot decide whether to use the tools to select project even though project is
already assigned by the management
b) Team leader lack experience in directing team members
c) Lack of initial data to support decision making
d) Team members are not well verse with the subject matter
e) Lack understanding of the improvement tools

Research Objectives
1. Increasing the organization‟s ability to compete with others and remain competitive over the
long run. The competitiveness of the firms is increased by the use of JIT manufacturing process
as they can develop a more optimal process for their firms.

2. Increasing efficiency within the production process. Efficiency is obtained through the
increase of productivity and decrease of cost.

3. Reducing wasted materials, time and effort. It can help to reduce the costs.

Other short-term and long-term objectives are:-

1. Identify and response to consumers needs. Customers‟ needs and wants seem to be the major
focus for business now, this objective will help the firm on what is demanded from customers,
and what is required of production.

2. Optimal quality/cost relationship. The organization should focus on zero-defect production


process. Although it seems to be unrealistic, in the long run, it will eliminate a huge amount of
resources and effort in inspecting, reworking and the production of defected goods.

3. Reduce unwanted wastes. Wastes that do not add value to the products itself should be
eliminated.

4. Develop a reliable relationship between the suppliers. A good and long-term relationship
between organization and its suppliers helps to manage a more efficient process in inventory
management, material management and delivery system. It will also assure that the supply is
stable and available when needed.

5. Plant design for maximizing efficiency. The design of plant is essential in terms of
manufacturing efficiency and utility of resources.

6. Adopt the work ethnic of Japanese workers for continuous improvement.


Hypotheses

(c) Research Methodology:

The Just-in-Time concept comprises methods and techniques that aim to increase the potential
for short times to delivery.

Production system in which both the movement of goods during production and deliveries from
suppliers are carefully timed so that at each step of the process the next (usually small) batch
arrives for processing just as the proceeding batch is completed.

The "Just in time" (JIT.) inventory concept, also called Kanban, asserts that just enough
inventories, arriving just in time to replace that which was just used, is all the inventory that is
necessary at any given time. Excessive inventory unnecessarily ties up money, adds
warehousing costs, increases risk of damage and risks obsolescence, and most of all, can
possibly obscure opportunities for operational improvements.

Storing inventory is still the basics of warehousing, but in today‟s business it constitutes only
part of the total. A modern thought on warehousing is that large inventories are really not as
necessary as once believed.

To some companies storing large quantities of inventory is detrimental to business because it


ties up capital and can also disguise poor management practices. The JIT philosophy
emphasizes flow flexibility and developing supply chains to reduce all excess and waste.

(e) Expected outcomes

• Culture Differences The organizational cultures vary from firm to firm. There are some
cultures that tie to JIT success but it is difficult for an organization to change its cultures
within a short time.
• Traditional Approach The traditional approach in manufacturing is to store up a large
amount of inventory in the means of backing up during bad time. Those companies rely on
safety stocks may have a problem with the use of JIT.
• Loss of individual autonomy. This is mainly due to the shorter cycle times which adds
pressures and stress on the workers.
• Loss of team autonomy. This is the result of decreasing buffer inventories which lead
to a lower flexibility of the workers to solve problem individually.
• Loss of method autonomy. It means the workers must act some way when problems
occur, this does not allow them to have their own method to solve a problem.

(f) References

 Just-in-Time Manufacturing An introduction Authors:


Cheng, T.C., Podolsky, S.

 JIT Implementation Manual -- The Complete Guide to Just-


In-Time Manufacturing: Volume 6 -- JIT Implementation
Forms and Charts

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