EFFECTS OF JIT IMPLEMENTATION IN INDUSTRIES : A CASE STUDY · EFFECTS OF JIT IMPLEMENTATION IN...

International Journal of Applied Engineering Research ISSN 0973-4562 Volume 13, Number 9 (2018) pp. 18-30

© Research India Publications. http://www.ripublication.com

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EFFECTS OF JIT IMPLEMENTATION IN INDUSTRIES : A CASE STUDY

AMIT KUMAR MIET,MEERUT

MEERUT, UTTARPRADESH,INDIA

NEHA DIXIT MIET,MEERUT

MEERUT, UTTARPRADESH,INDIA

ABSTRACT The main aim of this survey is to present the effect of

employee training, in an Organization, on various output

parameter such as Lead-time, Profit, Quality and

Productivity. The findings in this survey can be used to

reduce the lead time and waste material which in-turn

improves the productivity of the organization. The just in

time technique has been found to be very effective in

productivity improvement of an organization. A web

based survey was sent to the employees of an

organization who underwent trainings on specific tasks in

their respective departments. The methodology is based

on a questionnaire where the questions were asked to

employees as a part of implementation of just in time

technique. The survey allowed the employees to

document their views on key performance indicators

based on their age and gender, Level of experience,

Position held in the organization and qualification of

employee.

A total of 343 out of 800 surveys were completed (43%

response). All the respondents were from India working

in automotive industries and mean age was 35±10 years.

As the main result of the survey one can conclude that

there is significant effect of employee training on

performance parameter of an organization. There was a

little or no impact on lead time reduction as per 30%

respondents. The profit of organization had apositive

impact as per 66% respondents. The productivity was also

found to be having a positive impact with 66%

respondents. The quality of product was improved

according to 60% respondents.

INTRODUCTION

Just in time (JIT) is a Japanese methodology aimed at

reducing the time taken by production systems. It was

first successfully implemented by Toyota production

systems and then it spread all over the world as a

technique to improve the productivity of various

organization. In JIT model the focus is to avoid waste

associated with over production, waiting time, excess

inventory, unnecessary motion, transportation expanses,

inappropriate processing and defects etc. JIT has likewise

been characterized as a driver that set up consistent,

repetitive deliveries in little parts from a supplier,and

which limit stock from a thirty days or sixty days to ten

days supply and if feasible it lessens to hourly supply. A

JIT framework concentrates on the improvement of the

considerable number of procedures and systems by

always seeking after waste elimination. A basic meaning

of JIT is to create and transport complete products

without a moment to spare to be sold, subassemblies just-

in-time to be gathered into final products, manufacture

parts just-in-time to go into subassemblies and buy parts

NISHANT KUMAR MIET, MEERUT,

UTTARPRADESH,INDIA



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just-in-time to be moved into manufactured parts. The main mantras of JIT Shown in figure 1.

Research design analysis

This investigation utilized non-experimental

quantitative research. In particular, the design and

outline include mail questionnaire method, which is

the most repetitively utilized descriptive research

design. This particular investigational research

design requires reactions of different personnel from

different departments

of a manufacturing unit like procurement,

production, and quality, and further requires

quantitative analysis of data and information. To

expand the inner and outer validity or legitimacy, the

sampling methodology in this investigational study

has been adopted and applied.

Figure 1: Elements of JIT



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Table 1: Research Hypothesis

Employee Training has impact on Key

Performance Indicators

Employee Training has no impact on

Lead Time Reduction

Employee Training has positive impact

on Profit of organisation


on Productivity


on Quality of the product

1. What JIT elements may be

implemented easily to increase the

profit of the organization?

2. How do respondents observe various

JIT elements when it comes to

implementation?

3. Does the profit of the organization get

impacted by employee training?

Questionnaire:

Questions are asked to the respondents

regarding the level of difficulty in

implementation of JIT elements like

Employee training, Waste elimination

and Standardization.

Interviews:

A chain of telephonic interviews has

been conducted with some line

managers who are closely working in

material management.

TQM has impact on Key Performance

Indicators

TQM has no impact on Lead Time

Reduction

TQM has positive impact on Profit of

organisation

TQM has positive impact on

Productivity

TQM has positive impact on Quality

of the product

Which JIT elements are most

important for optimizing the

productivity?

Does productivity have any relation

with Total Quality Management?

Questionnaire:

Questions are asked to the respondents

regarding the effect of various

elements like Quality Circle and Total

Quality Management on performance

indicators like Productivity, Quality of

product.

Interviews:

A chain of telephonic interviews has

been conducted with some

procurement managers who are closely

working JIT management.

Quantitate Analysis

The questionnaire is converted into

qualitative and quantitative data with

some mathematical and technical

methods.



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RESEARCH MODEL:

(Key Performance Indicators) (JIT Elements)

Productivity

Lead Time

Reduction

Profit

Employee Training

Lot Size

Quality Circle

Standardization

Total Quality Management

Flexible Manufacturing

System

Waste Elimination

Total Productive

Maintenance

Top Management

Commitment



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Results

Employee Training has impact on Key


Employee Training can be a catalyst which can

accelerate the overall process of any organization.

The employee training is the critical and important

element of the just in time strategy. Table 2 shows

that 47.7% of the respondents said that Employee

Training has huge impact on the key performance

indicators whereas 50% of the participants think that

it has considerable impact on key performance

indicators like lead time, productivity and profit of

the organization. Only 2.27% of respondents chose

that there is a little impact of the Employee Training

on the key performance indicators

Table: 2 Employee training impact on KPIs

Answer Choices Response %age

Yes, Employee Training has a huge impact

on Profit of the organisation.

47.73%

Yes, Employee Training has considerable

impact on Profit of the organisation.

50.00%

Yes, Employee Training has very little impact

on Profit of the organisation.

2.27%

Yes, Employee Training has no impact on

Profit of the organisation.

0.00%

Employee Training has no impact on Lead Time

Reduction

One sub-hypothesis was about the impact of the

employee training on the lead time reduction

(KPI).Almost, all the respondents responded to this

question. It is shown in the Figure 2 that 22.5% of

the participants think that employee training has high

positive impact on the quality of the product whereas

positive impact was chosen by 45% of the



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respondents. 30% of the respondents think employee

training have no impact on the lead time

reductionwhereas 2.5% of the participants chose

negative impact.

High positive impact Positive impact

No impact

Negative impact

High negative impact

Lead time reduction 22.50% 45% 30% 2.50% 0

Profit 27.27% 65.91% 6.82% 0 0

Productivity 32.56% 62.79% 4.65% 0 0

Quality 30.23% 60.47% 6.98% 2.30% 0

Employee training Respondent Statistics

Basic statistics Minimum Maximum Median Mean Standard Deviation

Productivity 1 3 2 1.72 0.54

Profit of the

organisation 1 3 2 1.8 0.55

Quality of the

product 1 4 2 1.81 0.66

Lead time

reduction 1 4 2 2.13 0.78

Figure:2 Effect of Employee training on key performance indicators



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The scale has been chosen from 1 to 5. If mean is

less than 3 and closer to 1 that means the JIT element

has positive relation with the corresponding Key

Performance Indicator. Also, the standard deviation

has been calculated for the case.From the survey

outcome, the above sub-hypothesis of the research is

not valid and proven. Although, it is clear from the

response that employee training and lead time

reduction are related and there is a positive relation

between them, but, 30% of the respondents think that

it has no impact on lead time reduction which

portion cannot be neglected. So, it needs special

consideration for further analysis.

Employee Training has positive impact on Profit

of the organization


employee training on the profit of the organization

(KPI). Almost, all the respondents responded to this


the participants think that employee training has high

positive impact on the profit of the organization

whereas positive impact was chosen by 65.9% of the

respondents. 6.82% of the respondents think

employee training have no impact on the profit of the

organization whereas none of the participants chose

negative impact or highly negative impact.

From the survey outcome, the above sub-hypothesis

of the research is valid and proven. It is clear and

proven from the response that employee training and

profit of the organization are related positively to

each other. It means, if the company emphasis on

better employee training, the profit of the

organization will increase.

Employee Training has positive impact on

Productivity


employee training on the productivity (KPI). Almost,

all the respondents responded to this question. From

the Figure 2 it is clear that around 32.6% of the

participants think that employee training has high

positive impact on the productivity whereas positive

impact was chosen by 62.8% of the respondents.

4.65% of the respondents think employee training

has no impact on the Productivity whereas none of

the participants chose negative or highly negative

impact.The scale has been chosen from 1 to 5. If

mean is less than 3 and closer to 1 that means the JIT

element has positive relation with the corresponding

Key Performance Indicator. Also, the standard

deviation has been calculated for the case.




productivity of the organization are related positively

to each other. It means, if the company emphasis on

better employee training, the productivity of the

organization will get improve.



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Employee Training has positive impact on Quality

of the Product

One of the sub-hypothesis was about the impact of

the employee training on the quality of the product


question. It is shown in the Figure 2 that around

30.2% of the participants think that employee

training has high positive impact on the quality of

the product whereas positive impact was chosen by

60.5% of the respondents. 6.98% of the respondents

think employee training has no impact on the quality

of the product whereas 2.33% of the participants

chose negative impact.




quality of the product are related positively to each

other. It means, if the company emphasis on better

employee training, the quality of the product will be

high because of better skills and knowledge of the

employees.

Total Quality Management has impact on Key


Total quality management is the approach in which

all the employees from bottom to top are involved in

achieving overall objective of the organization. Total

quality management is the critical and important

element of the just in time strategy. It is clearly

shown in Figure 3 that 50% of the respondents said

that the total quality management highly improves

the key performance indicators whereas 45% of the

participants think that it considerably improves the

key performance indicators specially the productivity

and profit of the organization. Only 5% of

respondents chose that there is a little impact of total

quality management on the key performance

indicators.Overall it can be said that TQM positively

impact the key performance indicators like

productivity and profit of the organization.



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Figure:3 Impact of TQM on KPIs

High positive impact Positive impact

No impact

Negative impact

High negative impact

Lead time reduction 20.93% 55.81% 20.93% 2.33% 0

Profit 23.26% 72.09% 4.65% 0 0

Productivity 34.88% 55.81% 9.30% 0 0

Quality 30.95% 50.00% 14.29% 4.76% 0

TQM Respondent Statistics

Basic statistics Minimum Maximum Median Mean Standard Deviation

Productivity 1 4 2 2.05 0.71

Profit of the

organisation 1 3 2 1.81 0.49

Quality of the

product 1 3 2 1.74 0.61

Lead time

reduction 1 4 2 1.93 0.80

Figure: 4 Impact of TQM on key performance indicators



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Total Quality Management has no impact on

Lead Time Reduction

One sub-hypothesis was about the impact of the total

quality management on the lead time reduction



the participants think that total quality management

has high positive impact on the lead time reduction

whereas positive impact was chosen by 55.8% of the

respondents. 20.9% of the respondents think total

quality management have no impact on the lead time

reduction whereas 2.33% of the participants chose

negative impact.

The scale has been chosen from 1 to 5. If mean is

less than 3 and closer to 1 that means the JIT element

has positive relation with the corresponding Key

Performance Indicator. Also, the standard deviation

has been calculated for the case.From the survey

outcome, the above sub-hypothesis of the research is

not valid and proven. Although, it is clear from the

response that total quality management and lead time

reduction are related and there is a positive relation

between them, but, 20.9% of the respondents think

that it has no impact on lead time reduction. So, it

needs special consideration for further analysis.

Total Quality Management has positive impact on

Profit of the organization


quality management on the profit of the organization



the participants think that total quality management

has high positive impact on the profit of the

organization whereas positive impact was chosen by


think total quality management have no impact on

the profit of the organization whereas none of the

participants chose negative impact or highly negative

impact. From the survey outcome, the above sub-

hypothesis of the research is valid and proven. It is

clear and proven from the response that total quality

management and profit of the organization are

related positively to each other. It means, if the

company emphasis on Total quality management

culture, the profit of the organization will increase.


Productivity


quality management on the productivity (KPI).

Almost, all the respondents responded to this

question. From the Figure 4, it is clear that around

34.88% of the participants think that total quality

management has high positive impact on the

productivity whereas positive impact was chosen by


think total quality management has no impact on the

Productivity whereas none of the participants chose

negative or highly negative impact.



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proven from the response that total quality

management and productivity of the organization are

related positively to each other. It means, if the

company emphasis on Total quality management

culture, the productivity of the organization will get

improve.


Quality of the Product

One of the sub-hypothesis was about the impact of

the total quality management on the quality of the

product (KPI). Almost, all the respondents responded

to this question. It is shown in the Figure 4 around

30.9% of the participants think that total quality

management has high positive impact on the quality

of the product whereas positive impact was chosen

by 50% of the respondents. 14.29% of the

respondents think total quality management has no

impact on the quality of the product whereas 4.76%

of the participants chose negative impact.From the

survey outcome, the above sub-hypothesis of the

research is valid and proven. It is clear and proven

from the response that total quality management and

quality of the product are related positively to each

other. It means, if the company emphasis on TQM

culture, the quality of the product will be high

because of all employee involvement.

Conclusion

The present research work is a survey based study

conducted through online survey by

surveymonkey.com. A questionnaire was formed to

evaluate the effect of employee training and TQM

methods on the performance parameters of some

automotive industries. The research method included

two hypothesis and the questions were aimed to

quantify the effectiveness of each hypothesis.

According to the responses received from the survey

both the hypothesis are found to achieve the desired

goal.

The employee training has no impact on lead time

reduction but it has a positive impact on profit,

productivity and quality of the product in an

organization.

Implementation of total quality management

techniques have positive impact on all the key

performance parameter i.e. lead time reduction,

profit of organization, productivity and quality of the

product.



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