This paper implements the inventory model developed in the first part of this paper in a simplified problem to simultaneously reduce costs and risks in JIT systems. This model is developed to ascertain an optimal ordering strategy for procuring raw materials by using regular multi-external and local backup suppliers to reduce the total cost of the products, and at the same time to reduce the ri...

In this paper, we deal with a supply chain in which an assembler orders parts from a supplier. The assembler decides both order size and lead time for the supplier. In response, the supplier will determine its production capacity to fulfill the order from the assembler. Compared with the case where the assembler and the supplier maximize their own individual profits, the supply chain coordinati...

Since the early 1980’s, when Japanese manufacturing firms in a number of industries—including auto, electronics, and machinery—achieved high levels of international competitiveness, Japanese manufacturing practices—particularly those associated with just-in-time manufacturing (JIT)—have attracted considerable attention in North America. Transfer to the United States of JIT is characterized by s...

This paper considers a just-in-time (JIT) manufacturing system in which a single manufacturer procures rawmaterials from a single supplier, process them to produce finished products, and then deliver the products to a single-buyer. The customer demand rate is assumed to be linearly decreasing time-varying. In the JIT system, in order to minimize the suppliers as well as the buyers holding costs...

This article establishes a rating system for supplier’s performance from the orientation of customer satisfaction by objective-orientation driving. Its purpose is to provide a methodology of “how to integrate the capabilities between supplier and manufacturer, and to apply different strategies under the needs of quality improvements”. This study is undertaken to specify the interaction and mutu...

The product quality is very important for long-term survival of a company. Therefore, the question of how much quality is enough seems relevant. During the late 1970s and early 1980s, the common answer of this question in western countries was to accept a small but allowable amount of poor quality in outgoing manufactured goods. The Japanese during same time chose a different course of action c...

Three types of JIT ordering systems used for supply chain management were quality tested, the Kanban, the original constant work-in-process (CONWIP), and a synchronized CONWIP. The synchronized CONWIP system is described for its ability to handle complicated supply chains, which consist of assembly stages with different lead times. In the system, orders for each process are released while adjus...

Just in Time (JIT) is a system designed to make an organization operate efficiently and with a minimum number of human and mechanical resources. JIT also improves quality, reduces inventory levels, and provides motivation to solve problems as soon as they occur. JIT can be defined as a system designed to eliminate waste in an organization. Waste is anything that does not add to the value of the...

Two aspects of regime-change management are transitory planning, which avoids assembly feed-stock shortages in the new processing regime, and the timing of the change, which enhances the meshing of adjacent plans. In this paper, the stock implications of regime changes which incorporate transitory planning, are optimised with respect to the timing of the change. To highlight the stock effect, p...