The Advantages of Just-in-Time Delivery

The J.I.T. delivery system, or just-in-time inventory, allows businesses to lower their overhead expenses while still ensuring that parts are available when they are needed. Many companies use the J.I.T. model to serve their consumers better while lowering business costs.

Lower Warehouse Costs

The cost of excess inventory storage can easily add up, so reducing the amount of inventory that a business keeps on hand will help to reduce carrying costs. Companies that integrate a J.I.T. model may be able to eliminate or reduce the number of warehouses they maintain.

Efficient Supply Chain Management

The J.I.T inventory model helps businesses remain more competitive and efficient in the way that they use their parts and handle their supply chains. This can lower costs during the manufacturing process, which in turn can be passed on to the customer. Lower costs can help make products more affordable, help the company stay ahead of its competitors and gain a larger market share.

Higher Customer Satisfaction

Integrating a J.I.T. management model allows businesses to serve their customers quickly and with more efficiency. Businesses that use this model have greater control over the production process, making it easier to respond when the needs of the consumer base change.

Lower Waste

When businesses use the traditional method of inventory control and management, they can easily end up with piles of unused items that may go to waste. In order to sell inventory the business may need to slash prices, which can have an effect of the perceived value of the brand. The J.I.T inventory models reduces waste and helps companies respond faster to consumer needs.

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