How Just-in-Time Helps Aerospace Manufacturers Save Cost
Just-in-time (JIT) production is an essential technique used by many modern aerospace manufacturers, and can lead to significant cost reductions when properly implemented. The overall concept is simple – produce parts so that they are delivered exactly as needed, eliminating the costs of managing an inventory of partially completed components. Whether a company manufactures all of their components internally or relies on outsourced vendors, it’s important to ensure that its supply chain can support JIT manufacturing to retain an edge in this highly competitive market.
Due to the complexity of aerospace supply chains, which can require hundreds, thousands or millions of parts for a final product, it’s nearly impossible for aerospace manufacturers to develop a process that is perfectly in line with JIT production goals. However, choosing contractors and suppliers capable of production forecasting and using technologies such as e-kanban allow for shorter lead times and JIT production of many less complex parts, reducing the associated inventory costs. Developing long-term agreements with component suppliers can also help aerospace manufacturers move closer to a JIT production schedule since this allows machine shops to shorten both lead and production times as they gain experience with production. These benefits can be amplified by choosing a contractor capable of providing parts program management services on JIT schedules, as it eliminates the procurement and inventory costs associated with coordinating between multiple vendors for higher tier aerospace manufacturers.
At Intrex Aerospace, we provide reliable, on-time aerospace manufacturing services for a wide range of precision components. As a vertically integrated affiliate of Demmer Corporation, one of the nation’s leading defense and aerospace manufacturers, our company offers both long-term agreements as well as parts program management for companies throughout the industry. With powerful Epicor ERP/MRP software, we’re capable of meeting JIT production schedules for many components and maintain an on-time delivery rate consistently above 95 percent.
For more information on our company, our capabilities, or how we can use our skill at JIT manufacturing to benefit your next parts program, contact us today.