🇦🇪UAE
Idle Equipment from Stockouts
2 verified sources
Definition
JIT's low inventory risks production stops if Kanban replenishment fails, leading to lost output.
Key Findings
- Financial Impact: AED 5,000-10,000/day per idle machine (2-5 days/month)
- Frequency: Per stockout event (monthly in automotive supply chains)
- Root Cause: Pull-based JIT vulnerable to UAE import delays without buffers
Why This Matters
This pain point represents a significant opportunity for B2B solutions targeting Motor Vehicle Parts Manufacturing.
Affected Stakeholders
Line Supervisor, Operations Director
Deep Analysis (Premium)
Financial Impact
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Current Workarounds
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Methodology & Sources
Data collected via OSINT from regulatory filings, industry audits, and verified case studies.
Related Business Risks
Rush Orders and Overtime in JIT
AED 50,000-200,000/year in rush premiums + 20-40 hours/month overtime per line
Rework from Rushed JIT Production
2-5% of production cost (AED 50,000-150,000/year for mid-size firm)
Inventory Shrinkage in Manual Kanban
1-3% inventory value (AED 100,000-300,000/year)
مخاطر التزييف في سلسلة توريد قطع الغيار
AED 50,000+ confiscation per batch; 2-5% inventory shrinkage from gray schemes
غرامات عدم الامتثال لشهادة التوافق ESMA
AED 10,000-100,000 fines per violation + AED 50,000+ inventory confiscation value (LOGIC: based on typical UAE regulatory fines for certification non-compliance)
تعويضات العملاء بسبب أجزاء غير مطابقة
AED 5,000-20,000 per claim in refunds/warranty + legal liability (LOGIC: industry std. for auto parts failures)
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