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Material Management (Discuss this statement "Material handling in…
Material Management
- What is Material Management?
:check: the movement, protection,storage and control of materials and products throughout the manufacturing, distribution, warehousing,consumption and disposal
- How material handling in logistics works?
:check: Materials handling covers virtually all aspects of all movements of raw materials, work -in-process or finished goods within a factory or warehouse. Basically, material movement is considered as a non value adding activity. Hence, primary objective of A SC manager should be to eliminate material handling where is possible. This includes minimizing inventory, travel distance, bottlenecks and loss due to spillage, wast, wrong handling, damage etc. Manual sorting of materials is quite labor-intensive. It involves separating & regrouping picked items into the customer orders. Items have to be physically examined and placed on to pallets or containers for the purpose of dispatching to customers.:check: Hence, with a view to minimize manual sorting, organizations use powered or non powered equipments like pallets, palletizers, strapping machines, stretch wrappers etc. Very often these equipments represent a major capital outlay for an organization in spite of all the developments, manual equipment has been the mainstay of the traditional warehouse. Such equipments can be categorized according to function performed- storage & order picking, transportation & sorting and shipping. similarly the storage systems can be "Fixed" or can be "Movable" depending on the requirements.
- Discuss this statement "Material handling in logistics makes the supply chain works"
:check: For moving material in and out of warehouse many types of equipment and system are in use, depending on the type of products and volume to be handled. The equipment is used, in loading and unloading operations, for movement of goods over short distances. The handling of material in warehouse is restricted to unitized forms, which require smaller size equipment. However, for bulk handling of material at logistics nodes such as shipyards, ports
and airports different type of equipment is used. In warehouses, material
handling operation is performed at the following stages:
:star:The efficiency of material handling equipments adds to the performance level of the
warehouse. The internal movement of goods has a direct bearing on the order picking and
fulfillment cycle. The warehouse, wherein the material handling equipments is in use, is more
sensitive to labor productivity than the manufacturing center as material handling is more
labor intensive. There is a scope for reducing labor and enhancing productivity by emerging
technology in material handling. A good material handling system will enhance the speed and
throughput of material movement through the supply chain.
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- Discuss the term material management.
:check: Material management is an approach for planning, organizing, and controlling all those activities principally concerned with the flow of materials into an organisation.
:check: The scope of Materials Management varies greatly from company to company and may include material planning and control, production planning, Purchasing, inventory control, in-plant materials movement, and waste management :check: It is a business function for planning, purchasing, moving, storing material in a optimum way which help organisation to minimize the various costs like inventory, purchasing, material handling and distribution costs.
- The aim of materials handling.
:warning:Lower prices
:warning:Lower Inventories
:warning:Regular supply
:warning:Efficient handling of materials
:warning:Procurement of quality materials
The 5R's of material management:
:star: Right Quality
:star: Right Quantity
:star: Right Time
:star: Right Price
:star: Right Source
- The purpose of material management
:star: To gain economy in purchasing
-Economic situation will affect the material management where firms have to stored their goods till the economic gets better.
:star:To satisfy the demand during period of replenishment
- Maximize customer demand on time when they requested based on their requirements.
:star: To carry reserve stock to avoid stock out
- Firms usually must stored extra goods to avoid stock out when customer requested .
:star: To stabilize fluctuations in consumptions
- Firms must ensure they must stored extra goods in warehouse in order to manage the demand of customers that changes by time to time, where this will affect the fluctuation of the consumption.
:star: To provide reasonable level of customer service
- Firms must manage the level of quality and quantity of goods before delivering it to customers. This to ensure the customers are satisfied with the service provided by firms.
- Functions of Material Management
:check: Purchasing
-Purchasing department is authorized to make buying arrangements on the basis of requisitions issued by other departments. This department keeps contracts with suppliers and collects quotations etc. at regular intervals. The effort by this department is to purchase proper quality goods at reasonable prices. Purchasing is a managerial activity that goes beyond the simple act of buying and includes the planning and policy activities covering a wide range of related and complementary activities.
:check: Transportation
- The transporting of materials from suppliers is an important function of materials management. The traffic department is responsible for arranging transportation service. The vehicles may be purchased for the business or these may be chartered from outside. It all depends upon the quantity and frequency of buying materials. The purpose is to arrange cheap and quick transport facilities for incoming materials.
:check:Production and Material Control
-Production manager prepares schedules of production to be carried in future. The requirements of parts and materials are determined as per production schedules. Production schedules are prepared on the basis of orders received or anticipated demand for goods. It is ensured that every type or part of material is made available so that production is carried on smoothly.
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- What is forklift?
:check: A forklift (also called a lift truck, a fork truck, or a forklift truck) is a powered industrial truck used to lift and move materials short distances.
Disadvantages of forklift:
:pencil2: Slow refuelling
:pencil2: Need for proper training on the correct use, storage and charging of batteries
:pencil2: Not appropriate for use outside, especially in wet weather
Advantages of forklift:
:pencil2: Ease of maintenance
:pencil2: Increased safety
:pencil2: Great Lifting and Loading capabilities