Jit Research Paper

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The perceived impact of JIT implementation on operations performance Evidence from Chinese firms
Zhi-Xiang Chen
Sun Yat-Sen University, Guangzhou, China, and

Perceived impact of JIT implementation 213

Kim Hua Tan
Nottingham University Business School, Nottingham, UK
Abstract
Purpose – The purpose of this paper is to investigate the perceived impact of just-in-time ( JIT) implementation on operations performance, identify the relationship between elements of JIT (integrated and individual) and performance metrics, and based on the results, present some helpful suggests for improving JIT implementation in manufacturing industry. Design/methodology/approach – Framework and hypotheses based on literature review were first constructed, then a questionnaire was developed to collect data from mainland China; in total, 224 information responses were obtained, then statistical analysis was carried out to test the hypotheses. Based on the data analysis results, conclusion and managerial insight were summarized. Findings – Results show that, no matter what kind of industry or scale of sale of the firm, implementation of an aggregate bundle of JIT elements can improve production operations performance. However, for individual elements of JIT, their impacts are different; some basic elements of JIT like 5S, multiple-skill employee and JIT purchasing can play a more remarkable role than other elements. Practical implications – The conclusions of this paper can benefit firms in improving implementation of JIT in practice, especially for those firms in developing countries. Originality/value – Although a number of studies on JIT implementation have been reported in developed countries, little attention has been paid to the status of Chinese firms; this paper has value for examining the practice of JIT in China and reference value for other developing countries’ firms. Keywords China, Manufacturing industries, Just in time, Operations management, Operations performance, Manufacturing companies, Developing countries Paper type Research paper

1. Introduction Originated from Toyota Company, just-in-time (JIT) production is a manufacturing philosophy that identifies and then eliminates all waste and emphasizes continuous improvement in plant productivity (Brox and Fader, 2002). More widely, JIT is one philosophy of continuous improvement in which non-value adding activities are identified and removed in order to reduce cost, and improve quality and delivery (Hall, 1983; Brox and Fader, 2002; Zelbst et al., 2010). The objective of JIT is to maximize a firm’s profit and customer value. From the 1980s, JIT has been propagated all over the world. Western firms realized the potential benefit of JIT quite early and began to implement JIT (Mclachlin, 1997). In the past three decades, the experience of JIT mainly came from developed countries like USA, UK and Japan (Hall, 1983; Spencer and Guide, 1995; Huson and Nanda, 1995; Yasin and Wafa, 1996; Sakakibara et al., 1997; Nakamura et al., 1998; Brox and Fader, 2002; Shah and Ward, 2003; Matsui, 2007), however, there is also an increasing trend for experience to come from other developing countries, especially from Asian-Pacific

Journal of Advances in Management Research Vol. 8 No. 2, 2011 pp. 213-235 r Emerald Group Publishing Limited 0972-7981 DOI 10.1108/09727981111175957

JAMR 8,2

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countries such as Singapore (Hum and Ng, 1995), New Zealand (Upton, 1998), Egypt (Salaheldin, 2005), India (Wakchaure and Venkatesh, 2006), Turkey (Aydin et al., 2008), etc. Toyota Production System (TPS) and the JIT concept were first introduced to China with the help of Taiichi Ohno in 1977 (Taj, 2008). In the early 1980s, the first TPS production line was built in the first auto manufacturing plant in Changchun (City), Jilin province, and this plant is also the first Chinese...
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