JIT uses long-term contracts, continuous refilling, and electronic data interchanges to reduce or eliminate ordering costs.

Question

Quizplus · Accepted Answer

Just-In-Time (JIT) system is designed to reduce ordering, carrying, and setup costs by producing only what is needed, when it is needed. One of the ways it achieves this is through the use of long-term contracts, continuous refilling, and electronic data interchanges which streamline the ordering process and reduce or eliminate associated costs.

JIT Uses Long-Term Contracts, Continuous Refilling, and Electronic Data Interchanges