Abstract
The authors present a theoretical view of the JIT (just-in-time) system in which the impact of JIT on organizations is considered in terms of an increase in interdependence in the organization as a result of the removal or reduction of inventory buffers in the system. It is further theorized that the impact of increased interdependence amongst organizational functions will ultimately impact the structure of the organization by changing it from a functionally organized structure towards a product-based structure. In particular, the manner in which organizations manage interdependencies and reduce and cope with variability, at both the shopfloor level and throughout the organizational system, has direct implications for the success of JIT implementation. This theoretical view is illustrated using examples drawn from empirical studies which investigated the relationship between a large automotive manufacturer and its JIT suppliers, the JIT implementation difficulties experienced by a high-tech manufacturer, and the impact of JIT on the structure of organizations. >
Published Version
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