What system does JIT use as its basis for production management?

Just-In-Time (JIT) is fundamentally based on a pull system for production management. In a pull system, production is driven by actual demand rather than forecasts or predictions about future sales. This approach enables manufacturers to respond more flexibly to the needs of customers, producing only what is necessary, when it is needed, and in the quantity required. This minimizes waste, reduces inventory costs, and improves overall efficiency, which are core principles of JIT.

The pull system contrasts significantly with push systems, where products are manufactured based on projected demand, often leading to excess inventory and higher storage costs. The effectiveness of JIT in streamlining operations and reducing waste is rooted in its reliance on real-time data and customer demand signals, making it a strategic choice for organizations looking to enhance their operational efficiency and responsiveness in a competitive market.