Just in time

Just-in-time (JIT) is an inventory strategy that schedules materials to arrive only as production or sales consume them, holding stock close to zero. It originated in the Toyota Production System and trades inventory-carrying cost for tighter logistics: deliveries are small, frequent, and precisely timed, often pulled by kanban signals. JIT cuts working capital and storage but removes the buffer that absorbs a late shipment, so it depends on reliable lead times, accurate forecasting, and supply-chain visibility. A single disrupted leg, a port strike or a vessel delay, can halt a JIT line, which is why many shippers now hold targeted safety stock alongside it.