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Dell Supply Chain Concept Jit

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Submitted By flkking
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JIT 1
Running head: Supply Chain concept-JIT

Dell Supply Chain concept Just-In-Time

JIT 2
Abstract
JIT or Just-In-Time a process where inventory is delivered at the time it is needed. This helps an organization from keeping inventory that in time they might not be able to use. Strong communication between the organization and the supplier is crucial to make the process flow smoothly.

JIT 3
Dell Supply Chain concept Just-In-Time Dell is the leader in the computer industry for Just-In-Time. The opportunities of JIT for Dell have been the elimination of its warehouses for storage of inventory, being able to deal directly with suppliers and get the finished product to the customer without delay.
By using JIT, Dell has been able to eliminate the storage of inventory. Dell is able to accomplish this by not guessing what their customers want but by taking direct orders either over the phone or on-line and having the customer pay using a credit card. Having the product paid for up front helps Dell with inventory because the customer will not be able to change his or her mind. Once an order is placed Dell contacts the suppliers for the inventory that is required, then builds and ships the product to the customers within 4 days. (Pen of a Paranoid, 2009).
Dell holds itself to high standard and they also hold their suppliers to a high standard. If you want to be a supplier for Dell you follow their rules. Dell is able to have their suppliers hold inventory in their warehouses and when an order is placed then Dell take possession of that inventory. (Pen of a Paranoid, 2009). Being able to have their suppliers hold inventory helps Dell eliminate warehousing and transportation cost.
For JIT to run smoothly communications plays a big part. The employees of Dell must have a good solid working relationship with the suppliers.

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