| | Just In Time inventory systems have several advantages: less [[warehouse]] space, less [[capital]] tied up in parts inventory, and less [[risk]] of parts obsolescence. | | Just In Time inventory systems have several advantages: less [[warehouse]] space, less [[capital]] tied up in parts inventory, and less [[risk]] of parts obsolescence. |
| − | The downside is that lean inventories leave companies vulnerable to any disruption of [[supply]], for instance in the [[food distribution system]] or [[food production system]]. If [[transportation]] ([[UPS]], [[post office]], [[Fedex]], [[truck]]s, [[ship]]s, [[railroad]], and [[airplane]]s) gets snarled due to a [[Labor strike#Trucker Strike|trucker strike]] or bad [[weather]] or a [[disaster]], or if [[communication]]s get disrupted, or a parts vendor has a [[strike]] or a [[production]] problem, then [[assembly line]]s grind to a halt. Just one missing part means that no finished products go out the door.<ref>[http://www.amazon.com/Christopher-Steiner/e/B001UO7HUG/ref=dp_byline_cont_pop_book_1 Christopher Steiner], ''20 Per Gallon: How the Inevitable Rise in the Price of Gasoline Will Change Our Lives for the Better'', http://www.amazon.com/20-Per-Gallon-Inevitable-Gasoline/dp/B0046LUJCS Accessed December 15, 2014</ref> | + | The downside is that lean inventories leave companies vulnerable to any disruption of [[supply]], for instance in the [[food distribution system]] or [[food production system]]. If [[transportation]] ([[UPS]], [[post office]], [[Fedex]], [[truck]]s, [[ship]]s, [[railroad]], and [[airplane]]s) gets snarled due to a [[Labor strike#Trucker Strike|trucker strike]] or bad [[weather]] or a [[disaster]], or if [[communication]]s get disrupted, or a parts vendor has a [[strike]] or a [[production]] problem, then [[assembly line]]s grind to a halt. Just one missing part means that no finished products go out the door.<ref>[https://www.amazon.com/Christopher-Steiner/e/B001UO7HUG/ref=dp_byline_cont_pop_book_1 Christopher Steiner], ''20 Per Gallon: How the Inevitable Rise in the Price of Gasoline Will Change Our Lives for the Better'', https://www.amazon.com/20-Per-Gallon-Inevitable-Gasoline/dp/B0046LUJCS Accessed December 15, 2014</ref> |
| | The kanban concept has also been taken up by most of America's [[retail]]ers (with [[Wal-Mart]] leading the way), most notably its grocery sellers. | | The kanban concept has also been taken up by most of America's [[retail]]ers (with [[Wal-Mart]] leading the way), most notably its grocery sellers. |