Just-in-time (JIT) is an operations-management concept that has transformed manufacturing and altered the transportation industry. Invented by the Japanese in the 1980s, the JIT concept prescribes that materials used in manufacturing should arrive exactly when they are needed for production rather than being stored on site. By adopting JIT practices, companies are able to reduce inventory levels and lower their overall production costs.

With JIT, companies decide which transportation mode or multimodal combination is the most cost effective and reliable in order to deliver goods. Businesses may choose among any traditional transport options, but the goal is to deliver materials to both the manufacturing facility and customer in a timely manner and in precise quantities.

For JIT benefits to be maximized, businesses must integrate transportation with good logistics. If materials used in production are not delivered on schedule, problems may erupt across the supply chain. For example, delays may cause production lines to be halted, resulting in a loss of profits and reputation for the organization. However, if businesses successfully coordinate modes of transportation with proper JIT scheduling, they can achieve new efficiencies guaranteed to save the firm time and money.