Just-In-Time Practices and the Operational Performance of Micro, Small, and Medium Enterprises in Taraba State, Nigeria

Abstract

This study examines the effects of Just-in-Time (JIT) purchasing, production, and selling on cost reduction, product quality, and responsiveness among micro, small, and medium enterprises (MSMEs) in Taraba State, Nigeria. Grounded in the Resource-Based View, the study addresses two gaps in the JIT literature: the near-absence of MSME-focused evidence and the tendency to treat JIT and firm performance as aggregate rather than disaggregated constructs. Using a quantitative survey design, structured questionnaires were administered to 400 MSME employees across five Local Government Areas selected through stratified systematic sampling; 380 valid responses (95% response rate) were analysed using descriptive statistics and simple linear regression in SPSS 25. JIT purchasing had a strong, statistically and practically significant positive effect on cost reduction (β = 0.653, R² = 0.426, p < .001). JIT selling had a moderate positive effect on responsiveness (β = 0.387, R² = 0.150, p < .001). JIT production had a statistically significant but practically negligible effect on product quality (β = 0.173, R² = 0.030, p = .001). Limited financial resources (33%) and adverse economic/policy conditions (30%) were the most frequently cited implementation barriers. The findings indicate that relational JIT capabilities (purchasing and selling) generate stronger performance advantages than internal production capabilities among resource-constrained MSMEs, extending the boundary conditions of the Resource-Based View to a developing economy MSME context. The study recommends that MSMEs prioritise supplier relationships and demand-responsive selling, while policymakers target financing and infrastructure constraints that limit the returns to JIT production investment.