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In JIT, with deliveries being made on a frequent basis, ordering costs need to be low compared to the benefits of holding inventory.
Isnt ordering cost high and holding cost low for JIT? Im confused! Please help.
The wording of your first sentence is confusing and on its own does not really mean very much.
Although JIT will mean low holding costs, there are costs attached (i.e. benefits lost) such as possible breaks in production due to faulty material or orders delivered late. With JIT we attempt to minimise those costs (by, for example, having contracts with suppliers that penalise them if they are late delivering).
JIT will indeed mean more frequent deliveries which will mean more ordering costs. However we need to make sure that the extra cost of ordering is lower than the costs there would be of not operating a JIT approach.
However JIT is much much more than simply trying to save costs. Have a read of page 27 of my free lecture notes (and watch the free lecture that goes with it).
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