3...integrated approach to_material_management

INTEGRATED APPROACH TO INTEGRATED APPROACH TO MATERIAL MANAGEMENTMATERIAL MANAGEMENT

Soumya K.RM.Sc IF

3rd semesterCUSAT

INTRODUCTIONINTRODUCTIONMATERIALS MANAGEMENT(MM)

INCLUDESPLANNINGSOURCINGPURCHASINGMOVINGSTORING ANDCONTROLLING MATERIALS

OBJECTIVES OF MMOBJECTIVES OF MM

MATERIAL SELECTIONOPERATING COSTCONSISTENT QUALITYCONTINUITY IN SUPPLYLOW COST OF POSSESSIONHIGH INVENTORY TURNOVERVENDOR-VENDEE RELATIONSSTANDARDISATION SCIENTIFIC SYSTEMS & RECORDS

INTEGRATED MATERIAL INTEGRATED MATERIAL MANAGEMENTMANAGEMENT1. INVENTORY CONTROL2. PURCHASING3. STORES MANAGEMENT4. MATERIALS PLANNING &

CONTROL

1.1. INVENTORY CONTROLINVENTORY CONTROLIDLE RESOURCE OF AN

ENTERPRISETHIS INVOLVES PYSICAL

CONTROL MATERIALS PRESERVATION OF STORES, MINIIMISATION OF OBSOLESCENCE AND DAMAGE THROUGH TIMELY DISPOSAL AND EFFICIANT HANDLING

2.PURCHASING2.PURCHASING

SELECTION OF SOURCES OF SUPPLY FINALISATION OF TERMS OF

PURCHASE PLACEMENT OF PURCHASE ORDERS FOLLOWUPMAINTANACE OF SMOOTH

RELATIONS WITH SUPPLAIERS EVALUATING AND RATING

SUPPLAIERS

Right attitudeTrainingSWOT

analysisMaterials intelligens

Right place of delivery

Pricecommunicati

on

Right sourcesVendor rating

Purchase research

Right contracts

Legal aspects

Right transportatio

nCost analysis

of transportation & logistics

Right timeRe-order

point Lead time analysis

Right priceNegotiation

Learning curve

Right quantityEOQ &

inventory models

Right qualityRejections and specifications

Right material

Value analysis

stdisation

Purchase parameters

TYPES OF PURCHASING TYPES OF PURCHASING SYSTEMSYSTEM1. PRE-PURCHASE SYSTEM2. ORDERING SYSTEM3. POST- PURCHASE SYSTEM

1.PRE-PURCHASE SYSTEM

REQUISITION TRAVELLING REQUISITIONS ENQUIRIES

2.ORDERING SYSTEM2.ORDERING SYSTEMPURCHASE ORDER REFERENCE NUMBER.DESCRIPTION OF THE MATERIALS AND

DETAILED SPECIFICATIONS.QUANTITY REQUIRED AND DELIVERY

SCHEDULE & DETAILED TERMS,CONDITION

PRICE AND DISCOUNTS.LOCATION WHERE THE MATERIALS ARE

TO BE SHIPPED SIGNATURE OF THE MATERIALS

MANAGER.

3.POST-PURCHASING 3.POST-PURCHASING SYSTEMSYSTEMFOLLOW-UP

RECEIPT

INVOICE CHECKING

3.STORES MANAGEMENT3.STORES MANAGEMENT

FUNCTIONS OF STORESTO RECIEVE RAW MATERIALS, COMPONENTS,

TOOLS etc. AND ITACCOUNT THEM.TO PROVIDE ADEQUATE AND PROPER STORAGE

AND PRESERVATION TO THE VARIOUS ITEMS.TO MEET THE DEMANDS OF THE CONSUMING

DEPARTMENTS BY PROPER ISSUE AND ACCOUNT FOR THE CONSUMPTION.

TO MINIMISE OBSOLESECENS,SURPLUS ect.

TO HIGHLIGHT STOCK ACCUMULATION,

DISCREPANCIES AND ABNORMAL CONSUMPTION.

TO ENSURE GOOD HOUSE KEEPING .TO ASSIST IN VERIFICATION AND PROVIDE

SUPPORTING INFORMATION. TWO SYSTEMS RECEIPT SYSTEM PHYSICAL SYSTEM

FUNCTONS OF M.PLANNING & CONTROL

• INVOLVES ESTIMATING THE INDIVITUALS REQUIREMENTS OF PARTS,PREPARATING MATERIALS BUDGET,FORECASTING THE LEVELS OF INVENTORIES,SCHEDULING THE ORDERS AND MONITORING THE PERFORMANCE IN RELATION TO PRODUCTION AND SALES.

TYPE OF MATERIALS PLANNING• MACRO FACTOR• MICRO FACTOR

THANK YOUTHANK YOU