The IUP Journal of Operations Management
Effect Analysis of Customer JIT Implementation on a Supply Die Casting Manufacturer
Article Details
| Pub. Date | :Nov, 2019 |
|---|---|
| Product Name | : The IUP Journal of Operations Management |
| Product Type | : Article |
| Product Code | : IJOM21911 |
| Author Name | : Mustafaa S Muhamed and Herman Tang |
| Availability | : YES |
| Subject/Domain | : Management |
| Download Format | : PDF Format |
| No. of Pages | : 17 |
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Abstract
The present paper is a case-based analysis that examines the impact on a die casting manufacturer when the customer implements Just-in-Time (JIT) by examining the data collected from a primary die casting manufacturing organization. The data is collected through a Likert survey and analyzed using Cronbach’s alpha, pie charts, normal probability plot, and one-way ANOVA. The study investigates and examines the effects of JIT implementation by customers on two dimensions of manufacturing performance: setup in hours (when not meeting the required demand within a given time) and On Time Delivery (OTD) (late shipments). The study also examines and analyzes the effects of JIT implementation by customers on three constructs—production practices, efficiency and delivery—and their interrelationship. The results show JIT production practices are implemented in various ways across the die casting industry, and those who communicate on a higher level have a more efficient and better outcome than those who do not.
Description
According to Ohno, Just-in-Time (JIT) was originally defined in Toyota Motor Corporation as having the right part as precisely, the right time, and in the right quantity (as cited in Phan and Matsui, 2010, p. 185). The success of JIT inventory strategy in the die casting/foundry industry has been studied from the perspective of the customers who receive the products and has led to much success in efficiency and a decrease in waste, by receiving goods only when needed by the customer. In the die casting manufacturing field, not all customer’s implement JIT. However, this paper attempts to further examine the JIT impact in the die casting/foundry industry, from the perspective of producer of goods on its production, efficiency, and delivery, when JIT is implemented by the customer. The focus of this study is on the production impact of JIT on the manufacturer of a die casting organization.
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