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# Consider JIT inventory

From [Cost-Effective Strategies for Small Businesses Using 3PL Warehousing](https://listium.com/@Business_Connect/113961/cost-effective-strategies-for-small-businesses-using-3pl-warehousing)  
By [Business Connect (@Business\_Connect)](https://listium.com/@Business_Connect)

List stats: 90 views · 0 likes · 0 followers  
Published 5 September 2024 · Updated 5 September 2024

Category: business & industrial / logistics

- Notes:
  > Just-in-Time (JIT) inventory is a strategy where you receive goods only as you need them in the production process. Unlike models that stockpile inventory to meet future demands, JIT takes the opposite approach, aiming to keep inventory levels as low as possible while still meeting customer demand. This approach can bring you a range of benefits:
  > 
  > \*   Reduces costs that come with storing excess inventory, like warehousing expenses and the risk of obsolescence.
  > \*   Helps you avoid overproduction or accumulating unsellable inventory, which often turns into waste or dead stock
  > \*   Less money tied up in inventory frees up capital for other business priorities. You can redirect these funds to more pressing business concerns.