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Materials Control: Procurement and External Transportation

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Materials Control: Procurement and External Transportation
MATERIALS CONTROL: PROCUREMENT AND EXTERNAL TRANSPORTATION
I. MATERIALS MANAGEMENT
MATERIALS – is one of the principal “m’s” of industry, worry controllers, annoy sales managers, plague purchasing agents, haunt production managers, and harass stock-keepers. MATERIAL MANAGEMENT – is a continual struggle between too much and too little,, too soon and too late. In sum, materials management is concerned with controlling the kind, amount, location, movement, and timing of the various commodities used in and produced in industrial enterprise.

II. CLASSES OF MATERIALS
Industrial materials can be divided into six main classes:
A. Raw Material – are materials used in the product which in an unprocessed condition.
Ex. Metal bars, tubes, flat stock, castings, forgings, leather hides, cloth, and commercial chemicals.
B. Purchased Parts – item used in the assembly of the product which are obtained from outside sources.
Ex. Bolts, nuts, screws, bearings and gears.
C. In – Process Material – material used upon which work has been performed to change its form, size, or physical or chemical characteristics.
Ex. Machine-tap blank turned from a bar, a shoe upper cut from a leather hide and a sandblasted and painted castings.
D. Finished Products – good completely manufactured and inspected, ready for a shipment to a customer.
Ex. Completed machine tap, a finished pair of shoes, and a decorated cast-aluminum vase.
E. Supplies – Consumable materials used in the manufacturing process which do not become a part of the product.
Ex. Grinding wheels, taps, drills, belting sand paper, oils, sawdust, plating supplies, lumber, shipping cartons, stationary and pencils.
F. Equipment Items – expendable parts of machines and other physical facilities.
Ex. Jigs, Fixtures, fittings, valves, fuses and fluorescent lamps.

III. SCOPE OF MATERIALS CONTROL
Effective control of materials embraces four phases:
A. Procurement – Purchasing
B. External Transportation – receiving,

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