The Just-in-Time (JIT) inventory system is a business model that works to minimize production and storage costs by only allowing for the delivery of raw materials or finished products when needed. It relies on close communication with suppliers and customers to ensure the uninterrupted flow of goods. By predicting demand, JIT allows businesses to produce and deliver the right amount of product at the right time, reducing delays, waste, and excess stock. With this system, companies can save money and boost efficiency while still providing exceptional customer service.