Lee, CPQ, for example, could have been using JIT for years while
selling boxes through retail channels. It means they order CPUs from
INTC to arrive just in time to build the box to ship to the distributor,
who may have ordered it just in time to ship it to the retailer,
who puts it on the shelf. With Dell you call up, order a machine,
they say OK, it will be ready in two weeks; today we're busy
assembling machines ordered two weeks ago. Dell calls INTC says, send
me another P-II for delivery two weeks from today. So the PC you buy
today off the shelf, INTC sold the CPU, say, 6-8 weeks ago; maybe
more. The PC you buy from Dell today, INTC sells the CPU, say, 10
days after today. (Some exaggeration, but you get the picture.)
Paul T. |
