An evaluation of the impact of just in time (JIT) strategies on cut, make and trim (CMT) customers and suppliers within the apparel supply chain

The thesis evaluates the impact of just-in-time (JIT) strategies on retailers and cut makeand trim (CMT) manufacturers within the apparel supply chain. A simulation approachis adopted based on a case study within the apparel sector, involving a major high streetretailer and a manufacturing supply chain.A range of procurement strategies are subsequently modelled (including manufacturingresource planning [MRPII], safety stock [SS]. ship to forecast [STF] and JIT) withinmanufacturers of differing scale, and varying levels of dependence on primarycustomers (major high street retail chains) and impact on the variation of demand againstforecast are evaluated against a wide range of parameters; these include: net margin,delivery, manufacturing profit and impact on a manufacturing company's ability tosatisfy its secondary customers (smaller retail outlets with less buying power).Analytical methods are used to evaluate performance measures within threeperspectives: Primary and Secondary customers, and Suppliers (manufacturers). Afurther perspective is evaluated combining all three views.Findings indicate that JIT retail strategies, notably where power of the retailer is highand the power of the manufacturer is low (compared to the raw material supplier),necessitate inventory holding and biased work scheduling at a supply level, leading toreduced manufacturing margin and loss of secondary customers; the latter imposeshidden costs in attracting new custom, which is not evaluated in this thesis.The thesis concludes by comparing the variation of parameters across each of the fourperspectives, and proposes recommendations for conventional JIT policy, based uponoptimising benefits for all parties within the supply chain