![]() ![]() In a nutshell, the JIT philosophy eliminates waste to simplify and streamline the production process. Just-in-time (JIT)Īnother inventory management system that can reduce backorder frequency is just-in-time (JIT). And the items don’t have to be shipped multiple times to arrive at the customer’s door. You don’t need to receive or process the product at your warehouse. The supplier does not have to waste time shipping you the product. Using dropshipping cuts out several of the additional fulfillment process steps above. Instead, these orders are sent directly to the supplier, manufacturer, or another retailer for fulfillment, who ships the order directly to the customer. When you use the dropshipping technique, you receive sales orders from customers but keep no inventory in stock yourself. To mitigate backlog delays, you may consider reducing shipping and processing time by cutting out several steps of the inventory management process using dropshipping. ![]() Inventory management systems to avoid backorders Dropshipping
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