just-in-time inventory control (JIT) Definition | Business Dictionaries from AllBusiness.com
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Business Definition for: just-in-time inventory control (JIT)
just-in-time inventory control (JIT)

method of close coordination with suppliers maximizing the relationship between production and sales levels with inventory, reducing carrying costs. Often JIT is linked with a computerized Point-Of-Sale System and inventory levels are maintained through an automated reordering system connected to suppliers, so that stockouts are minimized.

just-in-time inventory control (JIT)

strategy of retailers who maintain almost no excess on-hand inventory, relying upon suppliers to deliver inventory as needed. JIT delivery is most beneficial to retailers with high inventory, financing, storage, and insurance costs. The retailer may transfer sales data directly to suppliers via point-of-sale terminals.

See also ECR (efficient consumer response) , electronic data interchange (EDI)
Copyright © 2007, 2000, 1997, 1987, by Barron's Educational Series, Inc. Reprinted by arrangement with Publisher.
Copyright c 2000, 1994, 1987 by Barron's Educational Series, Inc. Reprinted by arrangement with Publisher.

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