Page 308 - DMGT501_OPERATIONS_MANAGEMENT

Operations Management

Notes Single-card Kanban controls deliveries very tightly so that the using work center never has
more than a container or two of parts and the stock points serving the work center are eliminated.
Single-card systems work well in companies in which it is relatively easy to associate the
required quantity and timing of component parts with the schedule of end products. These are
usually companies with a relatively small range of end products or products which are not
subject to rapid, unexpected changes in demand levels.

Attributes of JIT

Just-in-time has been discussed as a way to control flows of material through sequential processes,
with particular emphasis on the pacing by downstream processes of the production and delivery
work done by upstream processes. While this and associated issues of inventory control are
important aspects of JIT as used in practice, this emphasis misses attributes of JIT that contribute
to problem solving, process improvement and the operations-based sustainable competitive
advantage often associated with Toyota and its affiliates. These attributes are explained through
a real life example.
The Aisin JIT System is shown in Figure. Aisin is a first-tier, auto-parts supplier to Toyota. It also
manufactures consumer products such as mattresses, sewing machines and computerized
bathroom scales.

Customer orders (item 1) determine production mix, volume and delivery timing for the plant.
Production control creates printed manifests establishing the production mix, volume, and
sequence with one manifest for every mattress and sends the individual manifest to the start of
the quilting line (item 2). It also sends one that corresponds to the same mattress to the start of
the framing line (item 3).
For every mattress for which a manifest-set was sent to the start of quilting and framing, a
separate signal was sent to the end of the assembly line (item 4), indicating that the next mattress
was to be taken to shipping.
This signal continued through the system and established for each worker when to produce and
deliver one more unit and thereby determined each person's correct production pace.

Example:

Aisin JIT System

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