OCTOBER 19-20, 2012 - YMCA University of Science & Technology

Proceedings of the National Conference on
Trends and Advances in Mechanical Engineering,
YMCA University of Science & Technology, Faridabad, Haryana, Oct 19-20, 2012
car, outselling even oldest cheapest model, XY also denied importing cars or shifting production elsewhere to meet
the shortfall in production at the plant, which accounts for just over a third of the company's total vehicle output.
The company supply chain was JIT based in which commitment of the work force was exemplary since long. In due
course of the time company failed to maintain the harmony among the workers and managerial staff. In order to
capture the demand of the market and cutting the production cost the company continued its day to day production
on Just in time Pattern. This led the working pressure mounting on the workers and managerial staff. The poor
coordination between managerial and working staff become open when a mass violence of discipline erupted causing
even death of senior managerial staff and then shutting of the plant for indefinite time leaving the suppliers and
customers of the firm in dilemma of the supply. The plant outsources 90% parts from its vendors who regularly
followed JIT delivery system to ascertain that firm’s production which does not get delayed due to supply. So
supplier always keeps the buffer stock with them to meet the sudden demand of the raw materials. In case of shut
down the capital trapped in stock was blocked leaving the supplier into dark. It is understood that reducing the cost
and waste continuously is not very simple task. Supplier suffered the loss for the shut down period which may not
recoverable while he maintained the JIT concept accordance to the firm. We recommend the following few points
which may be the cause of the supply break down.
• Lack of Strong and committed JIT leader/coordinator;
• Lack of Regular staff meetings, good communication
• Reluctance of Readiness to seek external assistance - e.g. consultants to solve problems and to maintain
program
• Government neutral policy and let the situation go beyond the control.
• Lack of cultural attitudes
7. Conclusion
Just in time supply chain is an integration of the procurement, production and delivery process in JIT environment,
where waste elimination, cost reduction, quality production and delivery are the committed task. The literature and
this study show that benefits of JIT supply chain are obvious, but Just in time concept implementation in firm is not
like a plug in and use type. The building of the concept in a firm takes time and it is a long journey done by
committed staff of the firm. The risk associated in implementation of JIT is also very high. We can not say a firm a
JIT follower firm till the Just in Time concept is not applied through out the firm’s activities. The ultimate goal of
any firm is to synchronize demand through the supply chain by generating precise, timely orders at each tier. This
practice occurs on a limited basis, but there are obstacles yet to overcome, such as better inventory control;
accurately reporting production and scrap; and accurate bill-of-material usage data.
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