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Operations Management as a Competitive Weapon. Module:. JIT & Lean Systems. OM Course Framework. 3. Dependability - Project Management - JIT. 1. Cost - Design & Selection. 4. Flexibility - Inventory - Supply Chain - Location - Forecasting - Aggregate Planning. 2. Quality

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  1. Operations Management as a Competitive Weapon Module: JIT & Lean Systems

  2. OM Course Framework 3. Dependability - Project Management - JIT 1. Cost - Design & Selection 4. Flexibility - Inventory - Supply Chain - Location - Forecasting - Aggregate Planning 2. Quality - TQM - SQC

  3. Learning Objectives At the end of this module, each student will understand: • Definition of Just-In-Time • JIT manufacturing • TQM • Respect for people • Benefits of JIT • JIT in services Module: JIT & Lean Systems

  4. 1. APICS definition of JIT A philosophy of manufacturing based on waste elimination and continuous improvement of productivity. Module: JIT & Lean Systems

  5. Three Elements of JIT Module: JIT & Lean Systems

  6. 2. JIT Manufacturing • Kanbans & pull production systems • Quick setups & small lots • Uniform plant loading • Flexible resources • Efficient facility layouts Module: JIT & Lean Systems

  7. Pull Production & Kanbans Module: JIT & Lean Systems

  8. Quick Setups & Small Lots • Setup times = time required to get ready • E.g.: clean & calibrate equipment, changing tools, etc. • Internal versus external setups • Stop production or setup will still running • Internal setups = lost production time • Inefficient setups = waste Module: JIT & Lean Systems

  9. Uniform Plant Loading Module: JIT & Lean Systems

  10. Flexible Resources • General purpose equipment: • E.g.: drills, lathes, printer-fax-copiers, etc. • Capable of being setup to do many different things • Multifunctional workers: • Cross-trained to perform several different duties Module: JIT & Lean Systems

  11. Efficient Facility Layouts • Workstations in close physical proximity to reduce transport & movement • Streamlined flow of material • Often use: • Cellular Manufacturing (instead of job shops) • U-shaped lines: (allows material handler to quickly drop off materials & pick up finished work)

  12. Job Shop Layout Module: JIT & Lean Systems

  13. Cellular Manufacturing Module: JIT & Lean Systems

  14. 3. Total Quality Management • Quality system involving entire organization from supplier to customer • Objective: Meet or exceed customer needs through company-wide continuous improvement Module: JIT & Lean Systems

  15. TQM & JIT • Quality at the Source • Jidoka • Poka-yoke • Preventive maintenance Module: JIT & Lean Systems

  16. 4. Respect for People: Workers • Cross-trained workers • Actively engaged in problem-solving • Workers are empowered • Everyone responsible for quality • Workers gather performance data • Team approaches used for problem-solving • Decision made bottom-up • Workers responsible for preventive maintenance Module: JIT & Lean Systems

  17. Respect for People: Management • Responsible for culture of mutual trust • Serve as coaches & facilitators • Support culture with appropriate incentive system • Responsible for developing workers • Provide multi-functional training • Facilitate teamwork Module: JIT & Lean Systems

  18. 5. Benefits of JIT • Smaller inventories • Improved quality • Reduced space requirements • Shorter lead times • Lower production costs • Increased productivity • Increased machine utilization • Greater flexibility Module: JIT & Lean Systems

  19. 6. JIT in Services • Multifunctional workers • Reduce cycle times • Minimize setups • Parallel processing • Good housekeeping • Simple, highly-visible flow of work Module: JIT & Lean Systems

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