[aidenn0]

I don't think anybody actually did the math on this though. It's more like "I get a fat bonus if I decrease inventory without a significant effect to sales over the next 3 quarters" so as long as the near-term risk is worth it, it gets done.

[edit]

There's also the "If I don't implement JIT, I'll get replaced with someone who will" effect in a lot of cases too.

[Guest42]

That’s the impression I get, not so much JIT but rather limiting supply budgets as much as possible. A lot of companies tout Toyota as the pinnacle of manufacturing without realizing that they are not Toyota and there was more to Toyota’s success than JIT.