Just In Time (JIT) Inventory Service Management

Just-in-Time (JIT) Inventory management has been used for several years in the private sector. With JIT, there is no need to stock common inventory items on the shelf. In a JIT Inventory System, the suppliers carry the inventory for the customer and provide it at the time and place needed. The City currently has eight inventory locations supported by a staff of approximately 21 personnel. The pilot round of JIT will focus on two areas: Janitorial/ Custodial Supplies and a Contractor Operated Parts Store for Fleet Vehicle Maintenance.

Estimated Annual Savings: $377,750

Actual Annual Savings (Janitorial/Custodial Supplies only): $0

The original estimated savings for Janitorial/Custodial Supplies Just-In-Time was based in part on a reduction in carrying costs and a reduction in administrative processing time.  An Invitation to Bid and a subsequent re-bid of such failed to produce a singular supplier which could materially and technically meet the specifications as outlined in the bid document.  The Purchasing Department will continue to research and identify commodity groupings which will lend itself to Just-In-Time procurement methods.  The second focus area of JIT, which is the initiative for Contractor Operated Parts Store for Fleet Vehicle Maintenance, will be aggressively pursued.