Question

a management consultant to a large transportation company is considering recommending that the company use the just-in-time (jit) management philosophy throughout its operations. which of these characteristics of the company would probably support the advice to implement the jit management philosophy? (select all that apply.)

□ the company owns larger warehouses in some major locations
□ the company has recently developed partnerships with new subcontractors in its local hubs
□ the company engages in mostly international transportation of goods
□ the freight of the company is widely varied, as are its destinations

Explanation:

• Partnerships with subcontractors: JIT relies on reliable suppliers (subcontractors in this case). New partnerships in local hubs can ensure timely delivery of goods as needed, which is a key aspect of JIT.
• Varied freight and destinations: JIT aims to meet specific customer demands. If the freight (goods) and destinations are varied, JIT can be used to efficiently manage the flow of different goods to different places just when they are required.
• Large warehouses: JIT typically aims to reduce inventory - holding costs. Large warehouses imply a focus on inventory storage (opposite of JIT which wants low inventory levels).
• International transportation: JIT can be more challenging in international transportation due to longer lead - times, customs, etc. It is not a characteristic that supports JIT implementation.

Answer:

• the company has recently developed partnerships with new subcontractors in its local hubs
• the freight of the company is widely varied, as are its destinations