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Chapter 4: Q14OQ (page 646)

JIT is limited to what type of manufacturing environment?

Short Answer

Expert verified

Repetitive manufacturing environment.

Step by step solution

01

Defining JIT

JIT is used for managing inventory. According to this method, goods from suppliers are availed only when there is a need for those goods. The primary goal of JIT is to minimize the cost of holding inventory and eventually enhancethe inventory turnover of an organization.

02

JIT limitedness in the manufacturing environment

JIT is a concept in which raw material purchases are immediately coordinated with production schedules, resulting in no inventory storage.Ithelps minimize work-in-process as well as lead times. However, it has been found that it has certain limitations. When the manufacturing environment is concerned, it has been found that JIT is limited to organizations having a repetitive manufacturing setting.

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