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Some units are left with a robust stock to fall in on, and others are left with little or nothing, which forces the incoming unit to do just-in-case ordering.
Eradicating just-in-case ordering is going to be difficult to accomplish without first resourcing units with adequate shop stock and bench stock to support them.
To make things worse, the just-in-case logistics system was often unreliable, inefficient, and expensive.
5) The figure above represents the resource dependency analysis and can be applied to either the just-in-case theory or the just-in-time theory.
The just-in-case logistics method would evaluate its resources like so.
In the just-in-case logistics method, labor includes not only the personnel needed to maintain the large stockpiles in the warehouse but also the personnel required to purchase them.
An important advantage of just-in-case stockage is that the unit in need may have stocked the part "just in case" it is needed so that it is immediately available to the requester and no wait time is encountered.
A significant disadvantage of pure just-in-time distribution is that the requester has no option to obtain a part from just-in-case stockage in the theater.
During Desert Storm, the just-in-case logistics system was so severely hindered by misprioritized shipments that high-priority items, such as food, ammunition, and fuel, were not delivered to participating units in a timely manner.
It began re-engineering with an almost religious zeal, substituting demand-flow technology, a just-in-time inventory concept, for the just-in-case philosophy that once permeated the company.
In today's global automotive market, supply chain integration, visibility and interoperability can be the difference between just-in-time and just-in-case," said Ben Wong, vice president of Asia-Pacific operations at GXS.