This chapter include objectives: Outline the steps in the decision process, name some causes of poor decisions, describe and use techniques that apply to decision making under uncertainty, describe and use the expected-value approach,. | Chapter 7 - Just-in-Time (JIT) and Lean Systems Operations Management 6th Edition R. Dan Reid & Nada R. Sanders Copyright © 2016 John Wiley & Sons, Inc. Learning Objectives Explain the core beliefs of the just-in-time (JIT) philosophy. Describe the elements of JIT. Explain the key elements of JIT manufacturing. Explain the elements of total quality management (TGM) and their role in JIT. Learning Objectives - cont'd Describe the role of people in JIT and why respect for people is so important. Describe the benefi ts of JIT. Discuss the implementation process of a successful JIT system. Describe the impact of JIT on service and manufacturing organizations. Just-in-Time (JIT) JIT philosophy means getting the right quantity of goods at the right place and the right time JIT exceeds the concept of inventory reduction; it is an all-encompassing philosophy geared to eliminate waste, anything that does not add value A broad JIT view – or lean production/lean systems - is one | Chapter 7 - Just-in-Time (JIT) and Lean Systems Operations Management 6th Edition R. Dan Reid & Nada R. Sanders Copyright © 2016 John Wiley & Sons, Inc. Learning Objectives Explain the core beliefs of the just-in-time (JIT) philosophy. Describe the elements of JIT. Explain the key elements of JIT manufacturing. Explain the elements of total quality management (TGM) and their role in JIT. Learning Objectives - cont'd Describe the role of people in JIT and why respect for people is so important. Describe the benefi ts of JIT. Discuss the implementation process of a successful JIT system. Describe the impact of JIT on service and manufacturing organizations. Just-in-Time (JIT) JIT philosophy means getting the right quantity of goods at the right place and the right time JIT exceeds the concept of inventory reduction; it is an all-encompassing philosophy geared to eliminate waste, anything that does not add value A broad JIT view – or lean production/lean systems - is one that encompasses the entire organization Philosophy of JIT JIT originated in Japan at Toyota Motor Co, fueled by a need to survive the devastation post WWII JIT gained worldwide prominence in the 1970s Often termed “Lean Production” or “Lean Systems” Broad view that entire organization has the same goal - to serve customers Defining beliefs of JIT Everyone should have a broad view of the organization and work toward the same goal, which is serving the customer JIT is built on simplicity - simpler is better Continuous improvement – often using kaizen blitz Visibility – all waste must be visible to be identified and eliminated Flexibility - to adapt to changes in environment Three Elements of JIT Three Elements of JIT - cont'd JIT manufacturing focuses on production system to achieve value-added manufacturing TQM is an integrated effort designed to improve quality performance at every level Respect for people rests on the philosophy that human resources are an essential .