"Just In Time" is a factory warehousing idea that has roots in Japanese efficiency practices. It used to be that factories would warehouse the things they need to produce their products. Because of the timelines involved they might have three, six or even twelve months' supplies sitting in warehouses. By having inventory on hand factories could insure regular production schedules. They would not have to shut down production because they didn't have some necessary item.
But in the last twenty years or so, electronic communications have changed the face of factory warehousing, along with everything else. In an effort to cut costs, factories have attempted to reduce warehousing expenses. Such costs were not seen to add any value to products. Large amounts of capital were just sitting in the warehouse. Somewhere along the line, "Just In Time" delivery methods were begun, and have proved to reduce warehousing expenses.
HOW DOES IT WORK?
Rather than having supplies sitting in warehouses, factories rely upon materials to arrive from their from their vendors "just in time" for use. That way they don't have to waste precious resources by having large amounts of materials sit in warehouses. Today, timely delivery of a wide variety of parts and products is essential to keep factories humming.
And as long as everything works right, it is a great system. Materials and products are "warehoused" in transit as they move from company to company during various manufacturing and production processes. It is truly amazing how much this works, and works well. It involves incredible planning and scheduling made easier by computerization.
MURPHY'S LAW
But occasionally Murphy's Law* asserts itself, and things don't go as expected. A flat tire, an accident, or the illness of someone critical to the complex chain of events can bring about unexpected delays. Just like you occasionally run out of milk at the table, factories run out of materials necessary for production.
Look closely at any manufactured item today and you will find a long chain of complex events that must take place during the production process. Often the factory that produces a product is not the same factory that imprints it. Everything is specialized to increase efficiency, quality, and to decrease costs. Again, most of the time things flow smoothly.
What has this got to do with the promotional products business?
Lots. Because promotional products are manufactured goods and depend upon the flow of "Just In Time" delivery. When any one link in this complex chain of critically timed events breaks, the whole chain is effected.
PLAN AHEAD
One of the more effective things you'll do to insure that you have your promotional products when you need them is to plan ahead. Planning ahead makes everything work better. Yet business being what it is, it isn't always possible.
So, factories offer quick processing. You can get 7-day service, 10-day service, even 3-day service in some cases. These services usually mean 3, 7, or 10 days from the final approval of the artwork, not from the day you gave the distributor the order.
Also, be aware that quick service is not free. If you need it next week, be prepared to pay extra. Not only does the factory charge extra, but overnight shipping costs more, too.
HOW MUCH LEAD TIME?
The norm is about three weeks, but to keep out of Murphy's way you should allow about five weeks from the time you place the order. If you allow three weeks, and something goes wrong, you are the loser. The potential cost to your business for not having what you need for an event, trade show, or whatever, is much greater than the time and energy it takes to plan ahead—or the additional cost of a rush order.
Just In Time - To learn more about this author, visit Phillip Ross's Website.
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Phillip Ross
(Visit Phillip's Website)
Phil's professional education and life
experience have provided him with an
extensive understanding of people and
organizations.
With more than twenty-five years of
ministry leadership, Phil has both an
understanding of and experience with the
unique circumstances involved in ministry
and non-profit organizations. He has
particular understanding of and commitment
to historic Reformed Christianity. He has
extensive teaching, public speaking,
seminar and board leadership experience.
Academic degrees in Philosophy and
Theology provide a broad based perspective
that understands logic, emotion, and
values, and the significant roles each
play in every organization. As a graduate
of the Dale Carnegie Sales Training
Institute (1966), Phil also has extensive
knowledge of sales.
Self-trained in graphic design and web
design, Phil has enjoyed many years
working in the art and science of design.
As a published author of five books and
many articles, Phil understands the
subtleties of language, grammar, editing,
and the art of turning a phrase.
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