MIS 2101 Chapter Notes - Chapter 6: Cad Data Exchange
Just-in-Time Manufacturing
• Lets aufaturig purhase ad reeive opoets just efore they’re eeded o the
assembly line
• Relieves manufacturers of the cost and burden of housing and managing idle parts
• Aalysts say there’s still a lot of roo for improvement by using the Web
• Toyota Motor Sales USA Inc.: one of the earliest and highest-profile adopters of just-in-
time processes
• Toyota famous for efficiency and coordination but has low-level technology
• Web allows automakers to send requests for parts to their supplier as the need arises
• Build to Order
o Product is customized and manufactured according to specific customer
requests, making just-in-time manufacturing and delivery key
o At Dell, the proess is alled pull to order
o Model contributes to increasing the accuracy of doing business, both from a
customer and supplier standpoint
o Dell is able to achieve a 4-hour production cycle time using an internet-based
supply-chain management system
o Usually fulfills customer demands within 5 days
o Helps prevent manufacturers from being stuck with inventory that may become
obsolete as it sits gathering dust
• Pros and Cons
o Entire factory has to be in sync to successfully exploit its methods
o If a part is’t there, assely lie stops, ad a result i the loss of anpower
and cash
o Web permits intimate contact between supplier and manufacturer
o An obstacle is struggling with variations in data-formatting methods among its
suppliers; human intervention is required to do data translation which slows the
process
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