To avoid disrupting production runs, sellers must ensure a steady, reliable supply of materials and parts, especially when a JIT management system is being used by the buyer. This system’s objective is to eliminate inventories at the customer’s manufacturing site, which requires the delivery of 100 per cent quality (zero-defect)products. This relieves the customer of any incoming inspection. A vendor’s failure on quality or delivery can close a customer’s operation so the resulting penalties are usually severe.