Just-In-Time

Just-In-Time

Consumers are demanding their products faster, delivered to their door, and even if I need it today, I want it delivered today.  Companies are struggling to keep up with this demand as transportation and delivery are extra costs that the company wants to minimize.

1. Explain how companies are using Point-of-Sale systems and perpetual inventory control systems to expedite the shipping of products.
2. With JIT, companies are also getting raw material deliveries just when they need the new inventory to manufacture and produce new products for shipping. This has greatly cut down on maintaining large inventory costs and provides greater expectations of less waste of products from spoilage or other inventory issues.  Explain how a new business could implement JIT to reduce costs and improve logistics to reduce the time to get the products to the customers.
3. Lastly, with digital wallets and one-click shopping, explain how companies can maintain limited inventory while still supplying numerous orders in an unplanned manner. Explain any issues you foresee coming from this issue.

Please note you are required to show your math work, provide charts, graphs, and explanations for all of your answers to demonstrate your understanding of the concepts.  For further information on how to do the problems, please reference the examples utilized in the textbook.  If additional assistance should be required, please contact your instructor via email.