Question

Which of the following benefits is not typically associated with a move to a just-in-time (JIT)...

Which of the following benefits is not typically associated with a move to a just-in-time (JIT) manufacturing system?

Multiple Choice

  • Existence of long-term contracts with selected suppliers.

  • Raw materials are delivered as close as possible to time of production.

  • Reduction in employee training and education costs.

  • Decreases in manufacturing lead time.

  • Improved customer-response time (CRT).

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Answer #1

Answer is reduction in employee training and education costs

Just in time (JIT) manufacturing system is a system which reduces the holding of inventory by the firm. It needs long term contracts with selected supplies to implement it. Raw material is delivered as close as possible near to production time to reduce the inventory carrying cost. It decreases the manufacturing lead time and improves the customer- response time. JIT is one of main cost management technique used by organisation today.

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