With this inventory management strategy, materials arrive as they are needed, no sooner. This means that the stock levels on hand are just enough for what is required, with the aim of reducing waste and excess inventory on hand.
This strategy is primarily used where suppliers are reliable and are able to supply stock demands within the required timeframe.
| Pros | Cons |
| - Minimal local storage space required | - Vulnerable to supply chain interruptions |
| - Less waste in the event of decreased demand for particular product | - Difficult to meet sudden increases in demand |
| - Reduces warehousing costs |
Related: Just-In-Case Inventory Management, 01 Stock Tags: #inprogress References
- What is Just-in-Time (JIT) Inventory Management? - YouTube
- Just-in-Time vs Just-in-Case: Choosing the Right Strategy | NetSuite