The Impact of the Just‐in‐Time Approach on Production System Performance: A Survey of Italian Industry

Abstract

Gives results of a survey on the application of the just‐in‐time (JIT) approach in Italy, based on a sample of 173 industrial companies. The methodological framework used to evaluate JIT application was described in a previous article (International Journal of Operations & Production Management, Vol. 9 No. 8, 1989). Interest in JIT is wide and is growing. The evidence shows the compatibility and complementarity of JIT with different classes of innovation; the need for an integrative approach emerges. Pull‐controlled flow, supply quality certification, preventive maintenance, job enlargement/enrichment and product modularization emerge as the core features of JIT, even though most are widely adopted in JIT implementation. In terms of operating conditions, the most significant improvements obtained by those who adopt JIT are: a speed‐up in production flow and synchronization between production and market and between the different productive and logistic phases. Consequently, major benefits in production system performance are achieved in terms of mix flexibility, working‐capital productivity and productivity of both direct and clerical labour. Success in JIT adoption seem not to be related to certain exogenous factors, such as company size and type and the nationality of ownership. As the strategic profile of a firm also seems irrelevant to the aims of JIT adoption JIT confirms itself as an instrument suitable for different application contexts and diverse strategic objectives.