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| | 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. |
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| − | 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 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 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 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> |
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| | 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 store|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 store|grocery sellers]]. |
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| | ===Threats to the Store System of Distribution=== | | ===Threats to the Store System of Distribution=== |
| − | Some examples of [[threat]]s to the modern grocery store "JIT" style goods and [[food distribution system]] include: | + | Some examples of threats to the modern grocery store "JIT" style goods and [[food distribution system]] include: |
| − | * [[Labor strike#Trucker Strike|Trucker strike]] | + | * Trucker strike |
| | * [[Labor union]] [[strike]] | | * [[Labor union]] [[strike]] |
| | * Prices of a barrel of [[crude oil]] and hence the price of [[gasoline]] and [[diesel]] | | * Prices of a barrel of [[crude oil]] and hence the price of [[gasoline]] and [[diesel]] |
| − | * [[Man-made disaster]]s such as [[war]] and [[terrorism]] | + | * Man-made disasters such as [[war]] and [[terrorism]] |
| | * [[Natural disaster]]s such as [[storm]]s, [[tornado]]s, [[hurricane]]s, [[earthquake]]s, etc. | | * [[Natural disaster]]s such as [[storm]]s, [[tornado]]s, [[hurricane]]s, [[earthquake]]s, etc. |
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