Final answer:
A firm that provides just-in-time inventory is part of a supply chain management strategy used in the automotive industry, emphasizing efficiency by supplying parts to assembly plants as needed, thus reducing warehousing and improving quality control.
Step-by-step explanation:
A firm that supports an automotive assembly plant by providing just-in-time inventory is engaged in a supply chain management strategy focused on efficiency and reducing the overhead associated with parts storage. Originating from Japanese manufacturing practices and later adopted by American car manufacturers in the 1980s, just-in-time delivery means suppliers provide components to assembly plants exactly when they are needed, minimizing storage and warehousing jobs. With quality control benefits and reduction in waste, just-in-time also creates economic pressures on suppliers to maintain cost-effectiveness, often at the expense of wages and benefits, especially in non-unionized settings.
Just-in-time production contrasts with earlier strategies used by companies like Ford, where all stages of production were integrated into one giant factory, like the River Rouge plant which was shut down in 2004 due to inefficiencies. The approach can also increase the leverage of workers in key parts of the supply chain, as seen in the mid-1990s strike by unionized workers in Dayton, Ohio, which halted production across General Motors assembly and sub-assembly plants. Nowadays, global assembly lines reflect a further evolution of production strategies, emphasizing international outsourcing, as evidenced by companies like Apple.