Just-in time inventory management-jit production , Managerial Accounting

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Just-in Time (JIT) Inventory management

JIT is a system whose purpose is to generate or to purchase products or components as they are required by customers or for use rather than for stock.

A JIT system is a pull system which responds to demand as opposed to a push system in which stocks acts as buyers between the different element of the system like purchasing, manufacture and sales.

JIT production

Is a production system, that is driven by demand for the finished products whereby each component on the production line is produced only when needed for the next stage.


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