Just-In-Time Strategy Implementation Challenges and The Organizational Structure Dimensions

Abstract

The implementation of the Just-in-Time (JIT) strategy will be successful only if each individual in the organization is maximally involved and committed to independent work tasks, with maximum contribution to teamwork with other employees and active participation in decision making, but also planning, organizing and activity control. This research starts from the assumption that the way of organizing production lines, team work of employees and relationships with suppliers, as factors of successful implementation of JIT strategy, determine the parameters of organizational structure of production companies in Serbia, whose output does not have the status of final product, but other companies use it as an input in production. The subject of the research is a detailed analysis of the impact of the implementation of JIT strategy on the organizational structure of the production company, in order to point out the importance of harmony in the relationship between JIT strategy - the parameters of organizational structure. The research results showed that an adequate organizational structure is a pillar of efficient and effective implementation of JIT strategy in this category of manufacturing companies, because this production model requires strong cooperation within the company, where plants and processes must be arranged to generate efficiency and increasing productivity, while minimizing the total cost of production. Internal cooperation, whose pillar is a decentralized type of organizational structure, and cooperation with suppliers are key prerequisites for manufacturing companies, without or with minimal inventories, to ensure that production size meets demand requirements quickly and efficiently.