What are the key features of jit production

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Reference no: EM13936796

JIT production, operating efficiency.

Mannklein AG is a major manufacturer of metal-cutting machines. It has plants in Frankfurt and Stuttgart. The managers of these two plants have different manufacturing philosophies.

Liisa Kurunmäki, the recently appointed manager of the Frankfurt plant, is a convert to JIT production and has fully implemented JIT by January 2007.

Thomas Ahrens, manager of the Stuttgart plant, has adopted a wait-and-see approach to JIT. He commented to Kurunmäki: 'In my time, I have forgotten more manufacturing acronyms than you have read about in your five-year career. In two years' time, JIT will join the manufacturing buzzword scrapheap.' Ahrens continues with his 'well-honed' tradi- tional approach to manufacturing at the Stuttgart plant.

Summary operating data for the two plants in 2007 are as follows:

	January- March	April- June	July- September	October- December
Manufacturing lead time (days)
Frankfurt	9.2	8.7	7.4	6.2
Stuttgart	8.3	8.2	8.4	8.1
Total set-up time for machines
Total production time
Frankfurt	52.1%	49.6%	43.8%	39.2%
Stuttgart	47.6	48.1	46.7	47.5
Number of units requiring rework
Total number of units started and completed
Frankfurt	64.7%	59.6%	52.1%	35.6%
Stuttgart	53.8	56.2	51.6	52.7

Required

1. What are the key features of JIT production?

2. Compare the operating performance of the Frankfurt and Stuttgart plants in 2007. Comment on any differences you observe.

3. Kurunmäki is concerned about the level of detail on the job-cost records for the cutting machines manufactured at the Frankfurt plant during 2007. What reasons might lead Kurunmäki to simplify the job-cost records?

Reference no: EM13936796

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