BUS 370 Chapter 13 (JIT/Lean Production)

Muda

a Japanese term meaning waste

Waste

According to APICS, in the JIT/Lean philosophy, "any activity that does not add value to the good or service in the eyes of the consumer"

Lean supply chain management

An extension of the Lean philosophy to supply chain efforts beyond production. Lean supply chain management seeks to minimize the level of resources required to carry out all supply chain activities

Pull system

a production system in which actual downstream demand sets off a chain of events that pulls material through the various process steps.

Move card

A kanban card that is used to indicate when a container of parts should be moved to the next process step.

Production card

A kanban card that is used to indicate when another container of parts should be produced.

Lean Six Sigma

A methodology that combines the organizational elements and tools of Six Sigma with Lean's focus on waste reduction

Just-in-time (JIT)

A philosophy of manufacturing based on planned elimination of all waste and on continuous improvement of productivity. In a broad sense, it applies to all forms of manufacturing and to many service industries as well. Used synonymously with Lean

Lean

A philosophy of production that emphasizes the minimization of the amount of all the resources (including time) used in the various activities of an enterprise. It involves identifying and eliminating non-value-adding activities in design, production, supply chain management, and dealing with customers. Used synonymously with JIT.

Kanban system

A production control approach that uses containers, cards, or visual cues to control the production and movement of goods through the supply chain

Two-card kanban system

A special form of the kanban system that uses one card to control production and another card to control movement of materials