One of the hardest things for schedulers to accept is the idea of visual schedul

Question

One of the hardest things for schedulers to accept is the idea of visual scheduling, which is commonly referred to as Kanban scheduling. All of the schedulers earned degrees or have extensive experience in operations management and are used to terminology like order launch, schedule compliance, and shop floor control. In prior discussions with some of them, you told them, "These will all be gone soon."

-At its basic theory, what is JIT inventory management all about? From an internal, operational perspective, if JIT is strictly adhered to, what is one downside to making everything literally "to order?"

Explanation / Answer

Solution:-
1. JIT inventory management is all about minimizing the waste in form of inventory to zero. In this type of inventory management, you order or receive inventor as and when needed. You have a negligible safety stock and the inventory is a bare minimum. This helps in lowering the inventory holding cost.

2 The biggest downside of JIT inventory management can be stock outs which can happen when there are unexpected fluctuations in order. Further, since inventory is kept at bare minimum a huge order may have a delayed delivery to customer leading to decreased customer satisfaction. Lack of raw material with one of your suppliers can become a huge dependency and bottleneck.

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