| Date | November 2019 | Marks available | 1 | Reference code | 19N.1.HL.TZ0.33 |
| Level | HL | Paper | 1 | Time zone | no time zone |
| Command term | Question number | 33 | Adapted from | N/A |
Question
Which of the following costs are lower in just in time (JIT) production?
I. Storage for finished products
II. Marketing costs
III. Labour costs
A. I and II
B. I and III
C. II and III
D. I, II and III
Markscheme
B
Examiners report
Syllabus sections
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22M.3.HL.TZ0.1a:
Outline one reason why Soar use just-in-case (JIC) production for their Soar e-scooter.
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19M.1.HL.TZ0.32:
What is true of just-in-case (JIC) inventory management?
A. Guarantees that products will be available
B. Reduces inventory costs
C. Enables lean production
D. Efficient use of materials
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18N.1.HL.TZ0.31:
Figure 9 shows a car production line.
Figure 9: A car production line
[Source: Lotus 60th Celebration - Final assembly (https://www.flickr.com/photos/32659528@N00/2868489384).
Image by Brian Snelson under CC licence: https://creativecommons.org/licenses/by/2.0/]The company does not allocate space to the storage of components or completed cars. This is an example of which production strategy?
A. Just in case (JIC)
B. Just in time (JIT)
C. Workflow analysis
D. Kaizen
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18M.1.HL.TZ0.33:
The ideal situation in a just in time (JIT) environment is piece per process, which equates to one piece ordered, one piece processed and one piece shipped. All inventory held over and above this quantity is regarded as waste.
However, this is not always possible or practical. Which of the following allows the inventory to be minimised as far as possible?
A. Carry parts that are expensive
B. Carry parts that are likely to become obsolete
C. Carry parts critical to manufacture
D. Carry parts that another local company can also sell
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17N.3.HL.TZ0.1c:
Compare just in time (JIT) and just in case (JIC) as strategies to produce the Dualit toaster.
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20N.3.HL.TZ0.2c:
Explain one advantage and one disadvantage of Mouna & Partners moving towards a just-in-time (JIT) strategy.
