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Ford Motor Company - Strategic Operations Management


The composition of lean systems requires constant control due to the lack of redundancy. It is crucial, and requires having plenty first level leaders to monitor, react, and work toward solutions as an investment that pays off in results (Aljian,1984).
             The JIT manufacturing model has been used within a lot of manufacturing and has given Japan manufacturing massive success over the last few decades especially for Toyota (Aljian,1984).The JIT approach model involves continuous commitment to the pursuit of excellence in all phases of the manufacturing system design and operation. The aims of the JIT are to produce the products at a regular quality and quantities at exactly when they are needed (Aljian, 1984). JIT achieves its goals which are to eliminate non-value activities, zero inventories, zero defects, zero breakdowns and a 100% on-time delivery (Goddard, 1986). The fundamental aspect of JIT is its emphasis is on the process and not at the end of the product. There is no doubt that the implementation of JIT processes for the auto industry has greatly reduced the foot print within the plants as well as reduced the storage of components. .
             Ford Motor Company.
             There is evidence that the JIT manufacturing model can be useful throughout the entire automotive industry, from suppliers to OEM's. Ford Motor Company is an example of a company that has successfully adapted JIT into their organization. Ford is in the business of engineering, manufacturing and selling vehicles and the implementation of lean and JIT has definitely improved their overall efficiency. Before Ford used JIT, they used to warehouse a .
             months' worth of components used to build vehicles; this resulted in huge storage fees as well as a huge amount of working capital on their financial records. By working with their Tier suppliers and implementing a JIT model, when components arrive to Ford they are now quickly built into vehicles, thus shortening the time from when Ford receives the components to when they can make money from i.


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