Everyone, welcome to this lecture on the case studies of Justin time lean tool. Let's begin with the made for you kitchen at McDonald's. McDonald's uses just in time to cook freshly prepared burgers, only when the order is placed by a customer. Until a few years ago, it used to keep precooked batches of hamburgers on metal forming bins for as long as possible. The sandwiches that were not sold were eventually discarded. To get a freshly cooked burger during those times a customer had to place in a special request.
McDonald's have now implemented the made for you kitchen system. In this system, there are no pre cooked items that are stored on the traditional metal warming bins. When a customer places an order the requirements of the customer are punched into a computer system and customer payment is processed. These customer requirements reached the kitchen buns are toasted to a specific temperature in 11 seconds. Then condiments, pickles, cheese and other material such as a patty is added as per customer requirements. This sandwich is then wrapped and sent to the counter.
Fries are freshly cooked to and served along with Coke. All of these steps take no more than 90 seconds. The speed is so profound that in a few instances the McDonald's employee tells the customer if the order is not delivered by the time this 90 seconds and glass turns empty, they would offer a free coke. That is the effect of just in time benefits of just in time for McDonald's. freshly cooked food adds to the taste of their product. faster processing helps achieve customer satisfaction.
McDonald's can adapt to customer demands at swift speed. premade burgers do not pile the inventory levels and necessitates the elimination of the traditional metal warming bins. Justin in time at Dell. Until a few years ago, computers were sold through a distribution of retailers and dealers. This additional layer of middleman increased the cost of computers substantially. With the advent of the Internet, Michael Dell, the founder of Dell computers, saw an opportunity to eliminate the middleman and provide customers the option of fully customizing their computer at the click of a button.
A customer could now log in to Dells website, decide a customer configuration that would suit his requirements and budget. And have the product shipped to the delivery address. The product would reach the customer in disparate pieces, and the customer would be able to assemble his computer in just a few steps. Benefits of just in time for Dell, low ordering cost of inventory, better output quality, reduction of handling cost of material, efficient space utilization, no bottlenecks, sales cost savings.