"Just-in-time" and its Logistic
"Just-in-time" is a concept at the convergence of manufacturing and logistics that relies on freight transport, particularly trucking and containers when global supply chains are concerned. It involves the delivery of a component just before the assembly line requires it, which reduces the inventory held at warehouses but increases the inventory in circulation. Consequently, freight forwarders must respect tighter delivery schedules and must plan their operations accordingly in order to avoid delay. The production unit (the factory) assumes a lower level of warehousing. As a result, the trucks (vehicles) themselves assume the task of moving storage units, thus the inventory is constantly in circulation. Although "just-in-time" is a more productive form of supply chain management, it is also prone to vulnerabilities since interruptions can have significant impacts on production.