A survey on the use of just-in-time (JIT) Systems in the companies listed at the Nairobi stock exchange.

Abstract

This Research Project sought to survey the use of JIT practices by the companies listed at the Nairobi Stock Exchange. The study set to achieve three objectives. The first objective was to document just-in-time practices among firms operating in Kenya. Secondly, the study aimed at finding out the benefits emanating from implementing just-in-time systems in organizations in Kenya. Thirdly, the study set out to unfold obstacles hindering successful implementation of Just- in -time systems by Kenyan firms. Primary data was collected by use of a questionnaire with both closed and open- ended questions. The closed-ended questions enabled the collection of quantitative data for analysis using a likertscale of 5; while the open-ended questions enabled the researcher collect qualitative data on the respondents' view of just-in-time systems in organizations in Kenya. The quantitative data was then analyzed by use of descriptive statistics. The study found that most Kenyan firms believe that JIT practices enhance long term business performance and success. The study established that reduction in inventory, work-in-progress (WIP), production space and lead time were the most substantial benefits emanating from JIT implementation. The study established the following hindrances to JIT implementation starting with the most significant obstacle; Poor infrastructure, Government policies, interfacing JIT with existing systems, poor information/data accuracy, power outages/blackouts and lack of internal expertise. These findings should help in encouraging the widespread adoption of JIT practices in other organizations in Kenya.