4/21/2012 10:54:00 AM
NEWS BRIEFS
Is JIT 2.0 Just Around the Corner?
AP Photo
“For the first time in more than 20 years, U.S. automakers are questioning a pillar of manufacturing: The practice of bringing parts to assembly lines right before they’re used,” the Associated Press reports.
Automakers have used just-in-time deliveries to save billions and improve efficiency. But the approach relies on an almost perfect supply chain, one that has been disrupted at least two times in the past year.
“An earthquake in March 2011 knocked out many Japanese parts makers, resulting in factory shutdowns and model shortages around the world,” the AP reports. “And last month, an explosion at a German chemical plant cut off supplies of a resin essential in car fuel lines.”
The results could be even more serious than last year’s Japanese earthquake, which reportedly damaged parts factories and disrupted supply of everything from electronics to rubber components to a shiny pigment for paint.
Even if auto makers change their supply practices, fastener suppliers are unlikely to see order increases.
Automotive experts say JIT “works well for parts such as bolts and fasteners because many companies make them and there are backups at the ready if the main source is knocked out.” ©2012 GlobalFastenerNews.com
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