Just-in-time inventory system (JIT)

Inventory system popularized by Japanese manufacturers that brings raw materials, parts ad subassemblies to the production point at the exact time they’re needed an not a moment before. The advantage of JIT is that less money and warehouse space is tied up in raw goods inventory. The disadvantage is that much responsibility is shifted to the company’s suppliers. If one of them fails, the system breaks down. The Japanese are so namored of the concept that the streets of Tokyo and other major cities in Japan are clogged with trucks rushing from point to point to meet JIT deadlines.