Have you ever wondered if you could perhaps do something amazing for all those customers of yours that are ordering your products? No, I’m not talking about sending gifts to everyone, since that probably wouldn’t be a sustainable solution for your business. Instead, I am talking about letting them enjoy the products they order as soon as possible instead of having to wait for ages for the package to arrive.
Well, if you don’t want to lose customers, you definitely won’t keep them waiting for too long: https://smallbiztrends.com/2019/10/delivery-statistics.html
What if I told you, however, that there is a way to keep your customers happy delivery-wise while also doing something great for the overall success of your business? If you aren’t sure how that is possible, then you probably haven’t heard much about the Just-In-Time delivery system. It’s time to change that right away.
In other words, it’s time to take a look at what JIT is and how it can actually help your business. I know you have probably come across one or two pieces of information regarding this system, but the truth is that you need to learn more about it in order to understand precisely how you can benefit from it. Let us get started with the very basics.
JIT Explained
The JIT system is a strategy that moves materials just before those are actually needed for the manufacturing process. In other words, production schedules and raw-material orders are carefully aligned, which reduces or completely eliminates the need to store excessive materials in a warehouse. Basically, every single business operation is carefully synchronized with the next one, allowing for maximum efficiency. Go here to understand the process better.
The specific goal of a JIT system is to actually deliver exactly what your customers want and when they want it. If you are using a different method, you might find yourself low on stocks and materials at a moment of a huge spike in orders, which will cause some delays and possibly lead to you losing some customers. I suppose you can see how the JIT system can be beneficial both for your customers and for your business.
In case you are still not exactly sure how you can benefit from this management technique, let me try and make it as clear as possible. Below is a list of benefits that you can expect to gain once you start implementing the Just-In-Time delivery method. After taking a look at those benefits, I’m sure that you will understand exactly why this system has become so popular and why you should think of using it too.
Increased Efficiency
Efficiency is a significant factor in every single business and it just so happens to be the primary focus of the Just-In-Time system. By taking stocking out of the equation, you will allow your workforce to focus on things such as manufacturing and distributing, which will certainly positively affect their efficiency and overall productivity. Simply put, you are getting rid of the tasks and activities that don’t add value to your company or your customers and thus focusing on those tasks and activities that do.
Reduced Costs
Perhaps one of the major benefits of a JIT delivery system lies in the fact that your costs of operation will be significantly reduced in many different aspects. For starters, you will cut warehousing and transportation costs. Then, by minimizing the amount of stocks, you will avoid losing money on products that will get damaged or even go into obsolescence. This way, you will free up a lot of resources that can be used for different purposes that can actually contribute to the success of your whole business.
Happier Customers
Happy customers are the cornerstone of every successful business and I am going to assume that you do want your company to be successful. If I am right, then you will need to put in a lot of effort into keeping your customers happy with the services you are providing. By using the JIT delivery method, you will certainly manage to keep those customers content by making sure that they are getting the products they are ordering in time and avoiding unnecessary delays.