What is Just-in-Time Delivery?

Business is as complicated as it is at different levels yet many variations of management methods or systems are presently utilized for feasibility. In the fastener industry, productivity and success is a major fulfillment hence the practice of just-in-time delivery. The process focuses on inventory management which ultimately leads to several advantages and benefits for manufacturers and suppliers.

Just-in-time delivery is a method wherein raw materials of final products such as screws and bolts are only delivered to the manufacturer once the manufacturer receives an order from a customer. Generally, the idea is to decrease the inventory stock of every manufacturer and to have more control within the supply chain. The cycle starts when a customer places an order to the manufacturer – the manufacturer orders the material required to the supplier – the supplier receives the order and delivers the materials to the manufacturer – the commodities are received and produced into their final form – and the order from the customer will be delivered and fulfilled.

Simply put, a just-in-time inventory process saves time and money for fastener manufacturers or suppliers while keeping a balance in the supply chain. And just like other methods, there can be potential disadvantages yet if planned correctly a minimal or lesser chance of significant impacts can only occur. For example, shipments or delivery of materials can encounter disruption for their size or destination – which is why it is best to coordinate in a harmonized system with the supplier. In the end, business is a risk, and risk can have solutions.

Benefits of Just-in-Time Delivery for Fastener Suppliers

A coordinated and well-planned inventory system or the use of the JIT process should allow benefits for a fastener company. The 3 objectives that ensure it are speed, accuracy, and efficiency. Overall, several factors can also impact the success rate of the process but the said implementation of a transparent system is what can help many businesses. 

But to broaden our knowledge on how just-in-time logistics can help fastener suppliers, let’s get to know some of its benefits;

• Spend less money on items and warehousing resources since they are only fulfilled once orders are finalized with the manufacturer
• Low inventory which gives more space and takes less effort in managing the stocks in the manufacturer’s facility
• Reduction of waste for corroding elements or materials that become unusable over time.
• The high-quality production of fasteners since parts and materials are only sourced from trusted suppliers
• Lesser risks of mistakes as materials are received only when needed and processed by a manufacturer based on the demands of fastener supply.

Contact us today for more fastening tips and tricks that can help your business or next project. We offer high-quality service and industrial products that can be manufactured according to customer design, drawing, and specification.