Reference no: EM132976520

JIT System Developments at Nissan

Questions:

Nissan's JIT system developments include synchronizing supplier deliveries with its own car assembly programme. One such link is between Nissan and Sommer-Allibert, a French-owned carpet and trim manufacturer that has a satellite plant 3 KM away from the car factory. As each car starts its journey through Nissan's manufacturing system, a special coding tag triggers a message to Sommer-Allibert that specifies which of the 120 variations of carpet and trim is needed for that particular vehicle, a factor that reflects color, right- or left-hand drive, engine size and option selection. At Sommer-Allibert, the correct set of requirements (including carpets, parcel shelves, and boot linings) is selected, trimmed, and finished before being stacked in sequence and loaded onto a vehicle in reusable carriers. On arrival (which can be as many as 120 times a day), the driver takes the sets straight to the assembly line.

1. Why is a car assembly plant particularly well suited to JIT scheduling systems?
2. What developments in this example have been important in making the system work?
3. What advantages and disadvantages are inherent in these arrangements?