Material management

FUNCTION OF MATERIAL MANAGEMENT CONT.

1. METERIAL MANAGEMENT Presented by Sajal Kumar Chowdhury B.PHARM 4 TH YEAR

2. CONTENT Definition Aim of material management Objective of material management Function of material management Techniques of material planning

3. DEFINITION OF MATERIAL MANAGEMENT Material management organizing & coordinating all management function that are responsible for every aspect of material, storage & transformation. Material management is a scientific technique, concerned with planning, organizing & control of flow of materials from their initial purchase to destination.

4. AIM OF MATERIAL MANAGEMENT To get :- The right quality Right quantity of supplies At the right time For the right costs At the right place

5. OBJECTIVE OF MATERIAL MANAGEMENT Buying storage and movement of material are the 3 basic objectives of material management. Optimum investment in inventory is the prime objective divided into 2 categories:- 1. Primary objective 2. Secondary objective

6. OBJECTIVE OF MATERIAL MANAGEMENT CONT. Primary objectives:- Lower prices High inventory turnover Low cost acquisition & possession Continuity of supply Consistency of quality Favourable supplier relations

7. OBJECTIVE OF MATERIAL MANAGEMENT CONT. Secondary objectives:- Reciprocal relations New materials and products Economic make or buy Standardization Product improvement Inter departmental harmony Forecasts Acquisitions

8. FUNCTION OF MATERIAL MANAGEMENT MATERIALS PLANNING AND CONTROL:- Based on the sales forecast and production plans. The materials planning and control is done. This involves estimating the individual requirements of parts, preparing materials budget, forecasting the levels of inventories, scheduling the orders and monitoring the performance in relation to production and sales.

9. FUNCTION OF MATERIAL MANAGEMENT CONT. Purchasing :- This includes selection of source of supply finalization, placement of purchases order, follow-up, maintenance of smooth relations with suppliers, approval of payments to suppliers, approval of payments to suppliers, evaluating and rating suppliers.

10. FUNCTION OF MATERIAL MANAGEMENT CONT. Inventory control:- Inventory generally refers to the materials in stock. It is also called the idle resource of an enterprise. Inventories represent those items, which are either stocked for sale or they are in the process of manufacturing or they are in the from of materials, which are yet to utilized.

11. FUNCTION OF MATERIAL MANAGEMENT CONT. Transportation:- Material handling:- Value analysis:-

12. REFERENCE Monohar A. Potdar , Pharmaceutical Quality Assurance , Nirmala Prakashan , Fourth Edition : April 2015, page no: 4.1-4.18. J.R. Tony Arnold , Stephen N.Chapman , Introduction to Meterial Management , Pearson Publication , Sixth Edition , page no : 2-10

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