Just-in-time inventory II (JIT II)

A refinement of JIT inventory system, created by The Bose Corporation in US. Rather than concentrating on reducing inventory, as JIT does, JIT II focus is on reducing the cost and time involved in day-to-day transaction with suppliers. The central concept of JIT II is that that the supplier, at his or her own expense, places one or more full time employees at the customer’s location and take the place of the customer’s buyer and materials planner and of the supplier’s sales representative. Three relationships have been streamlines into one. The key ingredient for JIT II to work is the “trust”. In addition to saving time it also adds value. Many companies in US have since implemented JIT II.