What is a company that is successfully using JIT (Just In Time Inventory) systems in its operations? Describe the company briefly (product/services, locations, customers). Describe the company’s operations briefly (type of process). Describe how JIT is being used and how it has benefitted this company.

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Toyota is an example of a company that uses JIT Inventory systems. It is growing more common for vehicle companies to use JIT systems because of their practical benefits, but it is difficult to maintain a solid balance between keeping up with demand and not building unnecessary inventory.

Toyota is one of the pioneers of Six Sigma, which is a process to reduce waste, eliminate excessive inventory and lead times, and standardize processes. The standardization of processes—with very defined operator instructions, machinery in place to automate as much as possible, and more—has allowed them to transition from attempting to predict demand and hope it sells to being able to shift and accommodate demand and manufacture according to what has an active purchase order.

This style of operation involves having standardized components so that the same set of parts can be used in multiple products. When a purchase order is placed, the company will manufacture the item immediately to have it ready for the delivery date required. It allows them to adapt quickly to market fluctuations and ensures that they don't build up excessive inventory that they cannot sell.

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One of the most famous companies using JIT is Harley Davidson.

Harley Davidson is a company that manufactures motorcycles. It is an American company based out of Milwaukee, Wisconsin which started back in 1901 with the combined efforts of William, Arthur, and Walter Davidson and William Harley.

The HD factories are located in three Wisconsin locations as well as one in York, Pennsylvania and Kansas City, Missouri. Each factory branches out into a museum. The company celebrates its anniversary with a country-wide "ride out".

The use of JIT by Harley Davidson is mostly well known from the way that it dynamically changed during the 1940s from being a bad manufacturer that used to resolve its weaknesses by adding more inventory and parts, to becoming a quick-response manufacturer that went on to resolve all the demands of the public quickly and effectively.

The way that they did that was by increasing productivity and by decreasing inventory levels.

If Harley Davidson had not implemented JIT, it could have gone bankrupt. This is because Harley used to purchase additional parts and fixtures whenever there were process problems. This was costing the company enormous amounts of money, and it was basically buying itself out. When JIT was implemented the first thing that took place was a quality control and quality assurance evaluation of the processes of production. The moment the evaluation was conducted it was determined that there were major faults in the production and shipment practices. Once they were fixed, Harley began to meet shipping dates and using its own inventory more effectively.

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