MATERIAL MANAGEMENT

Text     : Siti Aisah Binti Ehsan Helmi
Images : Google Images
Words count : 429 words.

In the name of ALLAH, The Most Gracious and The Most Merciful,

For our eighth post, we would like to discuss more about Material Management.

What is actually material management?

Material management is the planning and control of the functions supporting the complete cycle (flow) of materials, and the associated flow of information. Material management also can be described as an approach for planning, organizing and controlling all those activities principally concern with the flow of materials into an organization. 

Material Management?

Material management in military

Material management in hospital

Why do we need Material Management?

•  Amount spend on material is higher than other inputs
•  Material offer considerable scope for reducing cost and improving profit
•  Material add value to the product
•  Quality of end product depend on material
•  Efficiency of any organization depend upon the availability of right material, in right quantity at right time and right place. 

The famous 5 R's of Materials Management, are acquisition of materials and services:

1. The right quality- With the material management , seller can ensure the goods reach the customers in good condition without any damage.
2. The right time- With the material management, seller can save time by delivering accurate and timely to customers. Besides that, we can satisfy our customers.
3. The right quantity-With the material management, seller can ensure that there are always things to be delivered to customers and the goods can be processed quickly. In addition, the seller should ensure that the goods are delivered is quite like what the customers want.
4. The right sources- Seller must choose a suitable supplier that the goods that we have the right and are in excellent condition without any damage.
5. The right price- Manufacturing must find a supplier near them to reduce the cost so that the price set is not expensive and affordable in ensuring that customers can afford to buy it

Great understanding between supplier and our company will drive to success

        Supplier of raw materials to the factory sent for processing into semi-finished or finished goods, then the finished goods will be delivered to customers using the required transport to the supermarket and grocery stores. Next, the customer will purchase and use of goods.

         However, sometimes we may face some problem getting a wrong delivery from the supplier. Therefore, there are a few steps should be taken as a procedure to return the wrong goods and get the right one. We could not simply just walk-in and claim the right goods. We must undergo some procedures or steps to smooth the work.

Thank you.