Answer to Question #240135 in Management for Palak

Question

MG Motors have been having a tough time from the time of their launch in India. They feel that there have been a lot of pilferages and wastage in their production and they need to sort it out as soon as possible. Also, the time taken to manufacturer one unit of their cars is extremely high as compared to global benchmarks. They have hired you as a consultant for the same? Can you explain the concepts of JIT and Lean Production to them and help them apply the same in order to reduce their troubles?

Answer 1

The Just-In-Time (JIT) concept is a manufacturing workflow methodology aimed at reducing flow times and costs within production systems and the distribution of materials.

Lean production is a production methodology focused on eliminating waste, where waste is defined as anything that does not add value for the customer.

MG Motors should combine both JIT and Lean production to reduce both time and wastage in the production system towards bettering their efficiency.