Main benefits obtained from a successful JIT implementation

Literature has reported 31 benefits obtained by companies after a successful JIT implementation. However, this research reduces the list by means of a data reduction technique to identify those essential benefits that must be pursued. The 31 benefits are integrated in a questionnaire that is administered to 144 production managers in maquiladoras in Mexico to measure the extent to which they are obtained according to respondents. One the one hand, a validation process and descriptive analysis are carried out for every benefit by considering their median values as a measure of central tendency and interquartile range values as a measure of dispersion. On the other hand, data reduction was achieved by means of a factor analysis based on principal components and varimax rotation. Four main factors related to JIT benefits are identified after the factor analysis, which explain 67.27 % of total variance of data. Identified factors concern inventory management, production process, human resources, and economic benefits.

[1]  Yoshiki Matsui,et al.  An empirical analysis of just-in-time production in Japanese manufacturing companies , 2007 .

[2]  C. Thomas Culbreth,et al.  Flexible manufacturing cell for furniture part production , 1988 .

[3]  Rudolf R. Sinkovics,et al.  The Use of Partial Least Squares Path Modeling in International Marketing , 2009 .

[4]  S. Wold,et al.  Some recent developments in PLS modeling , 2001 .

[5]  Roger G. Schroeder,et al.  Relationship Between JIT and TQM: Practices and Performance , 1995 .

[6]  C. McNair,et al.  Crossroads : a JIT success story , 1990 .

[7]  Qinghua Zhu,et al.  An institutional theoretic investigation on the links between internationalization of Chinese manufacturers and their environmental supply chain management , 2011 .

[8]  Larry C. Giunipero,et al.  Organizational Support for Just‐in‐Time Implementation , 1990 .

[9]  A K Gupta,et al.  A CONCEPTUAL JIT MODEL OF SERVICE QUALITY , 2011 .

[10]  J. Hair Multivariate data analysis , 1972 .

[11]  Hojung Shin,et al.  TQM practice in maquiladora: Antecedents of employee satisfaction and loyalty , 2006 .

[12]  Rosemary R. Fullerton,et al.  The role of performance measures and incentive systems in relation to the degree of JIT implementation , 2002 .

[13]  José Antonio Domínguez Machuca JIT facing the New Millennium , 2002 .

[14]  Kakuro Amasaka New JIT, new management technology principle: Surpassing JIT , 2014 .

[15]  Alejandro Alvarado-Iniesta,et al.  A systematic review/survey for JIT implementation: Mexican maquiladoras as case study , 2014, Comput. Ind..

[16]  Edward E. Rigdon,et al.  Rethinking Partial Least Squares Path Modeling: In Praise of Simple Methods , 2012 .

[17]  Matan Shnaiderman,et al.  Control and enforcement in order to increase supplier inventory in a JIT contract , 2016, Eur. J. Oper. Res..

[18]  Jae-Dong Hong,et al.  JIT purchasing and setup reduction in an integrated inventory model , 1992 .

[19]  Sandra C. Parker,et al.  Simulation analysis of just-in-time feasibility in a manufacturing environment , 1991 .

[20]  Yasuhiro Monden,et al.  Toyota Production System: An Integrated Approach to Just-In-Time , 1993 .

[21]  John Sargent,et al.  China versus Mexico in the Global EPZ Industry: Maquiladoras, FDI Quality, and Plant Mortality , 2009 .

[22]  Pankaj C. Patel,et al.  Enhancing effects of manufacturing flexibility through operational absorptive capacity and operational ambidexterity , 2012 .

[23]  R. Delbridge SURVIVING JIT: CONTROL AND RESISTANCE IN A JAPANESE TRANSPLANT , 1995 .

[24]  John Hadjimarcou,et al.  Maquiladoras in the 21st century: Six strategies for success , 2013 .

[25]  Harry Groenevelt,et al.  Chapter 12 The just-in-time system , 1993, Logistics of Production and Inventory.

[26]  Amrik S. Sohal,et al.  Human resource management strategies and practices in Just-In-Time environments: Australian case study evidence , 2000 .

[27]  Ali Azadeh,et al.  Design of practical optimum JIT systems by integration of computer simulation and analysis of variance , 2005, Comput. Ind. Eng..

[28]  T. Ohno How the Toyota Production System was Created , 1982 .

[29]  John Bicheno,et al.  Expert Advice for JIT Implementation , 1993 .

[30]  Low Sui Pheng,et al.  EOQ, JIT and fixed costs in the ready-mixed concrete industry , 2006 .

[31]  Seung-Lae Kim,et al.  Implementation of JIT purchasing: An integrated approach , 1997 .

[32]  Eddie Anderson,et al.  Operations Management—Strategy and Analysis , 1987 .

[33]  R. C. Baker,et al.  Switching rules for JIT purchasing , 1994 .

[34]  Ajay Das,et al.  Looking beyond the obvious: Unraveling the Toyota production system , 2010 .

[35]  Kerstin Liehr-Gobbers,et al.  Evaluation of Structural Equation Models Using the Partial Least Squares (PLS) Approach , 2010 .

[36]  Tarun Gupta,et al.  JIT and TQM: a case for joint implementation , 1995 .

[37]  Richard J. Schonberger,et al.  The Japanese just-in-time/total quality control production system: potential for developing countries , 1984 .

[38]  Mary J. Meixell,et al.  Global supply chain design: A literature review and critique , 2005 .

[39]  Y. Sugimori,et al.  Toyota production system and Kanban system Materialization of just-in-time and respect-for-human system , 1977 .

[40]  Mahmoud M. Yasin,et al.  Organizational modifications to support JIT implementation in manufacturing and service operations , 2003 .

[41]  R. Anthony Inman,et al.  Total JIT (T-JIT) and its impact on supply chain competency and organizational performance , 2014 .

[42]  John W. Toomey MRP II: Planning for Manufacturing Excellence , 1996 .

[43]  Rosemary R. Fullerton,et al.  Management accounting and control practices in a lean manufacturing environment , 2013 .

[44]  B. Tabachnick,et al.  Using Multivariate Statistics , 1983 .

[45]  John B. Kidd,et al.  Toyota Production System , 1993 .

[46]  Ruhul A. Sarker,et al.  An optimal batch size for a JIT manufacturing system , 2002 .

[47]  Marko Sarstedt,et al.  Partial least squares structural equation modeling (PLS-SEM): An emerging tool in business research , 2014 .

[48]  S. Bylka Non-cooperative strategies for production and shipments lot sizing in the vendor–buyer system , 2009 .

[49]  Sang M. Lee,et al.  The impact of critical success factors of JIT implementation on organizational performance , 1996 .

[50]  R. Schonberger Some observations on the advantages and implementation issues of just-in-time production systems , 1982 .

[51]  Dixit Garg,et al.  JIT SYSTEM: CONCEPTS, BENEFITS AND MOTIVATION IN INDIAN INDUSTRIES , 2011 .

[52]  Jonathan Burton,et al.  Supply chain coordination through effective multi-stage inventory linkages in a JIT environment , 2007 .

[53]  L. Cronbach Coefficient alpha and the internal structure of tests , 1951 .

[54]  J. Parnaby,et al.  A systems approach to the implementation of JIT methodologies in Lucas Industries , 1988 .

[55]  Serge Lambert,et al.  Adaptation of JIT phylosophy and Kanban technique to a small-sized manufacturing firm; a project management approach , 1998 .

[56]  Wei-Chung Hu,et al.  An integrated MOGA approach to determine the Pareto-optimal kanban number and size for a JIT system , 2011, Expert Syst. Appl..

[57]  Dixit Garg,et al.  JIT purchasing: Literature review and implications for Indian industry , 1999 .

[58]  Damodar Y. Golhar,et al.  The just-in-time philosophy : a literature review , 1991 .

[59]  Roy L. Harmon Reinventing the Factory: Productivity Breakthroughs in Manufacturing Today , 1989 .

[60]  N. Anantharaman,et al.  Vendor rating in purchasing scenario: a confidence interval approach , 2001 .

[61]  Sang M. Lee,et al.  Just‐in‐Time Production System : Some Requirements for Implementation , 1984 .

[62]  M. Giaquinta,et al.  Mathematical Analysis: An Introduction to Functions of Several Variables , 2004 .

[63]  Karen A. Brown,et al.  A Comparison of Just-in-Time and Batch Manufacturing: The Role of Performance Obstacles , 1991 .

[64]  Emilio Bartezzaghi,et al.  The evolution of production models: is a new paradigm emerging? , 1999 .

[65]  Süleyman Tüfekci,et al.  Dynamic programming solution to the batching problem in just-in-time flow-shops , 2006, Comput. Ind. Eng..

[66]  V. Wakchaure,et al.  Review of JIT Practices in Indian Manufacturing Industries , 2006, 2006 IEEE International Conference on Management of Innovation and Technology.

[67]  Christopher O'Brien,et al.  A method to enhance volume flexibility in JIT production control , 2006 .

[68]  Rosemary R. Fullerton,et al.  AN EXAMINATION OF THE RELATIONSHIPS BETWEEN JIT AND FINANCIAL PERFORMANCE , 2003 .

[69]  R. A. Inman,et al.  Agile manufacturing: Relation to JIT, operational performance and firm performance , 2011 .

[70]  Tadaaki Fukukawa,et al.  The determination of the optimal number of kanbans in a Just-In-Time production system , 1993 .

[71]  Fabrizio Erbetta,et al.  Optimal scale in the Italian gas distribution industry using data envelopment analysis , 2008 .

[72]  Eric W. T. Ngai,et al.  Decision support and intelligent systems in the textile and apparel supply chain: An academic review of research articles , 2014, Expert Syst. Appl..

[73]  Yih-Long Chang,et al.  An integrated MRP and JIT framework , 2001 .

[74]  Vikas Kumar JIT Based Quality Management: Concepts and Implications in Indian Context , 2010 .

[75]  S. Bruce Han The effects of ISO 9000 registration efforts on Total Quality Management practices and business performance , 2000 .

[76]  Kiyohiko Sakurai Japanese Worker Attitudes: A Key Factor in Productivity , 1986 .

[77]  Fariborz Jolai,et al.  A Simulated Annealing algorithm for a mixed model assembly U-line balancing type-I problem considering human efficiency and Just-In-Time approach , 2013, Comput. Ind. Eng..

[78]  Kent D. Messer,et al.  Mathematical Programming for Agricultural, Environmental, and Resource Economics , 2012 .

[79]  Nazim U. Ahmed,et al.  A comparative study of US manufacturing firms at various stages of just-in-time implementation , 1991 .

[80]  Alan Robinson,et al.  Modern Approaches to Manufacturing Improvement: The Shingo System , 1990 .

[81]  Ralph L. Rosnow,et al.  Essentials of Behavioral Research: Methods and Data Analysis , 1984 .