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To: Sensei Ern

I could go on-and-on about “Just In Time”.
A theory, implemented with varying degrees of success,
that was developed, not by “manufacturers”,
but by “assembly plants” to control inventory.
(your definitions and terminology may vary)

If I am a car assembly plant, and I build 100 cars a day, then
I demand that my tire manufacturer supply me with 400 tires per day,
I demand that my engine manufacturer supply me with 100 engines per day,
my radio, seat, steering wheel, windshield, brake light,
etc., etc., manufacturers all get the same demand.
This is so my assembly line is
(1) assured of an on-going reliable supply of parts, and
(2) not required to have a gigantic warehouse full of parts, and
(3) not required to have $millions$ tied up in parts inventory.

So the shift in inventory went from the assembly line down to the
supplier.
I used to work for an automotive supplier to Ford.
If you want to remain a supplier you had better not
ever-ever-ever-ever let them run out of parts.
So we had a big warehouse with $millions$ tied up in inventory ready to ship.


58 posted on 02/18/2015 4:38:01 PM PST by Repeal The 17th (We have met the enemy, and he is us.)
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To: Repeal The 17th

And, if Ford changed the design, your inventory could be worthless, at worst, or cost a lot to retro fit, and you accepted it, because if you complained, they would find a new supplier.

But inventory at the assembly plant is not good in a world of constantly changing technology.

I just wish, if car manufacturers found a product that worked perfectly, they would stick with it, instead of changing for the sake of change.


59 posted on 02/18/2015 4:43:42 PM PST by Sensei Ern (I love 2015 most because the presidential campaigns mean we are almost done with Nobama.)
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