Just in Time at Jimmy's

Powerful Essays
CHAPTER 15

Lean operations and JIT

Short case: Just-in-time at Jimmy’s
St James’s Hospital, in Leeds in the north of the UK, affectionately known as ‘Jimmy’s’, is
Europe’s largest teaching hospital. It employs around 4500 people to support the 90 000 in-patient treatments per year and over 450 000 total admissions. Under increasing pressure to reduce costs, to contain inventory and to improve service, the Supplies
Department has undertaken a major analysis of its activities, to try and adopt some of the ideas from the JIT approach.
The initial review highlighted that Jimmy’s had approximately 1500 suppliers of 15 000 different products at a total cost of £15 million. Traditionally, the Supplies Department ordered what the doctors asked for, with many cases of similar items supplied by six or more firms. Under a cross-functional task force, comprising both medical and supply staff, a major programme of supplier and product rationalization was undertaken, which also revealed many sources of waste. For example, the team found that wards used as many as 20 different types of gloves, some of which were expensive surgeons’ gloves costing around £1 per pair, yet in almost all cases these could be replaced by fewer and cheaper
(20 pence) alternatives. Similarly, anaesthetic items which were previously bought from six suppliers, were single-sourced. The savings in purchasing costs, inventory costs and general administration were enormous in themselves, but the higher-order volumes also helped the hospital negotiate for lower prices. Suppliers are also much more willing to deliver frequently in smaller quantities when they know that they are the sole supplier.
Peter Beeston, the Supplies Manager, said:
‘We’ve been driven by suppliers for years ... they would insist that we could only purchase in thousands, that we would have to wait weeks, or that they would only deliver on
W ednesdays! Now, our selected suppliers know that if they perform well,

You May Also Find These Documents Helpful

  • Satisfactory Essays

    Jimmy's Misogyny

    • 424 Words
    • 2 Pages

    Think about this, “Jimmy! Have a good day at school”, Jimmy’s mother babbled. Jimmy entered the classroom, filled with kids, desks, and a whole lot of papers. Ms. Pumpin gets the class rallied up, like a bunch of cows in a herd. She starts to talk about classroom expectations and all the kids are bored out of their mind. Jimmy is half asleep, about to fall out of his chair. When Ms. Pumpin saw she went on a riot and started yelling in the first five minutes of class. No one liked her, especially…

    • 424 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    Just in Time

    • 1657 Words
    • 7 Pages

    1. Executive Summary This report provides an analysis and evaluation of the Just-In-Time system, the advantages and disadvantages of the system and how it would benefit AG & Z. The Just-In-Time (JIT) system is a process where goods are ordered as required, as opposed to the currently used batch processing system where goods are made in bulk and stored in warehouses until sold. The Just-In-Time system was initially developed to not only cut down the amount of waste produced by other systems,…

    • 1657 Words
    • 7 Pages
    Powerful Essays
  • Powerful Essays

    just in time

    • 16519 Words
    • 67 Pages

    A Project Report on Just In Time (With Respect to the Comparative Analysis of Tata Motors and Toyota Motors) Submitted By Domenico M. Gouveia T.Y.B.M.S 2012-13 Project Guide Prof. Chitra More Submitted To University of Mumbai Vidyalankar School of Information Technology (Affiliated to University of Mumbai) Vidyalankar Marg, Wadala (E), Mumbai 400 037 PROJECT REPORT ON [Just In Time] SUBMITTED BY Dominic Gouveia T.Y.B.M.S. 2012-13…

    • 16519 Words
    • 67 Pages
    Powerful Essays
  • Powerful Essays

    Just in Time

    • 2171 Words
    • 8 Pages

    Table of Contents Introduction Just-in-time is a new system created by Taiichi Ohno in Japan in the early 1970s at a Toyota car assembly plant. It was created to reduce cost and eliminate inventory. Basically the idea of JIT is to produce necessary items at the necessary time in the necessary quantity needed. It is a management philosophy and not a technique, which is associated with the management process and not the end-result. In other words, the idea is to supply materials…

    • 2171 Words
    • 8 Pages
    Powerful Essays
  • Good Essays

    Just in Time

    • 1336 Words
    • 6 Pages

    Buffer Inventory – Just-in-Time Buffer inventory is also called safety inventory. Its purpose is to compensate for the unexpected fluctuations in supply and demand. For example, a retail operation can never forecast demand perfectly, even when it has a good idea of the most likely demand level. It will order goods from its suppliers such that there is always a certain amount of most items in stock. This minimum level of inventory is there to cover against the possibility that demand will be greater…

    • 1336 Words
    • 6 Pages
    Good Essays
  • Best Essays

    Just In Time

    • 1840 Words
    • 7 Pages

    to be used for research/reference purposes only. These papers are provided to help students write their own paper. All papers should be used with proper references. � [Just In Time 1] Running Head: Just In Time Just In Time [Student 's Full Name] [University 's Name] [Instructor 's Name] [Course Title] � [Just In Time 2] ABSTRACT Globalization has started a competition among all and thus every organization need to be strategically sound in order to survive. In order for a company to survive…

    • 1840 Words
    • 7 Pages
    Best Essays
  • Satisfactory Essays

    Just in Time

    • 1160 Words
    • 5 Pages

    IEEM 517 Just-In-Time LEARNING OBJECTIVES 1 1. 2. 3. Understand the philosophy of Just-In-Time (JIT) Learn the working procedure of JIT Know the differences between the two production-control systems, MRP (the push system) and JIT (the pull system) 1 CONTENTS • Motivation • JIT Philosophy • JIT Procedure – Toyota Kanban Systems • MRP vs. JIT • Summary 2 PRODUCTION AND OPERATIONS MANAGEMENT Product development long term Product portifolio Purchasing Supply network design…

    • 1160 Words
    • 5 Pages
    Satisfactory Essays
  • Powerful Essays

    Just in Time

    • 4213 Words
    • 17 Pages

    Kanban-an Integrated JIT System 1-0 INTRODUCTION Japanese are good at manufacturing. Just ask any global producers of automobiles, copiers, or personal electronics what happened in the 1980s. They will probably tell you how the Japanese captured a large share of the global-market by creating world-class standards in design, materials, and management. What is often overlooked is the attempt to understand how the Japanese industry succeeds at the services that support the manufacturing process (Krajewski…

    • 4213 Words
    • 17 Pages
    Powerful Essays
  • Satisfactory Essays

    Just in Time

    • 733 Words
    • 3 Pages

    Q1. Explain in brief the origins of Just In Time. Explain the different types of wastes that can be eliminated using JIT Ans. Just in Time (JIT) is a management philosophy aimed at eliminating waste and continuously improving quality. Credit for developing JIT as a management strategy goes to Toyota. Toyota JIT manufacturing started in the aftermath of World War II. Although the history of JIT traces back to Henry Ford who applied Just in Time principles to manage inventory in the Ford Automobile…

    • 733 Words
    • 3 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Just in Time

    • 1870 Words
    • 8 Pages

    Title: | Operations Management, 9/e and Principles of Operations Management, 7/e | Book Title: | Operations Management, 9/e and Principles of Operations Management, 7/e | Location on Site: | Chapter 16: Just-in-Time and Lean Operations > Self-Study Quizzes > Multiple Choice | Date/Time Submitted: | May 5, 2012 at 4:33 PM (UTC/GMT) | | Summary of Results | 24% Correct of 17 Scored items: 4 Correct: | 24% | 13 Incorrect: | 76% | | More information about scoring | | |…

    • 1870 Words
    • 8 Pages
    Satisfactory Essays