Just-in-Time (JIT) is an operational management model where materials, components and sub-assemblies arrive at the production line only at the moment they are needed, not before. The aim is to reduce work-in-progress stock to near zero, freeing up capital, space and attention. Well-implemented JIT improves cash flow and reduces obsolescence; poorly implemented JIT amplifies any break in the chain into catastrophic consequences.
JIT demands rigorous conditions: reliable suppliers with predictable lead times, delivery quality close to 100% (there is no buffer stock to absorb defects), stable production planning and information systems that communicate in real time with the chain. The 2020-2022 pandemic exposed the limits of JIT in global chains — many companies returned to hybrid models with strategic safety stock.
In Portuguese practice, JIT is common in sectors with fast turnover (fashion, food retail, industrial distribution) and requires an ERP that runs MRP continuously, not in a weekly batch. The MULTI ERP + KORA Inventory support this operation for customers whose chain allows it.