Quản trị kinh doanh - Chapter 4: Materials management

1Chapter 4:Materials ManagementPurchasting and Supply Chain Management, 3rd edition, Copyright 2013 W. C. Benton, Jr., All rights reserved.Materials ManagementThe purpose of materials managementTo support the transformation of raw materials and component parts into shipped or finished goods2The Five Functions of Inventory1. Pipeline inventories 2. Cycle inventories3. Buffer stock4. Seasonal5. Decoupling3Order Cycle as a LinkA link or pipeline that facilitates the flow of information and materialsCharacteristicsLengthThe distance between supplier and customerModesMethod by which information is sent and material movedThe Trade-off Speed, reliability, inventory, and cost4Order Cycle as a Set of ActivitiesActivitiesOrder preparation by CustomerOrder transmission by CustomerOrder processing by SupplierOrder transportation by SupplierOrder receipt by Customer5Tasks:1. Physical receipt2. Unloading3. Inspection4. Storage location decision5. Move to storage6. DocumentationCustomer SatisfactionObjectives of Material Managers Customer satisfactionMinimum total materials costsCustomer Satisfaction DimensionsCustomer serviceMaterial availabilityQualityAnd others6Product design and QualityDesign is setting the specifications for a material or product.A product designer’s job is to capture, in the product’s design, the expectations of the customer.A Materials manager’s job is to ensure that products are made in the least costly way so that the item qualifies as a best buy.7Objective QualityApproaches to qualitySubjective qualityObjective qualityThe degree to which material conforms to specificationsHigh quality products must both:Conform closely to specificationsObjective QualitySatisfy consumer expectationsSubjective QualityHowever, objective quality can be too high.8MRO Materials and SpecificationMaintenance MaterialsPeriodical replacement in a piece of equipmentResupply by original equipment manufacturerSpecified by manufactured part number and the model number of the unitRepair MaterialsUnexpected replacementUsually not carried as inventorySpecified by various ways such as drawings and photographs9MRO Materials and Specification (cont.)Operating SuppliesEssential parts of the end item Unit value or size is too small to plan or control usage unit by unitStandard itemsSpecified by manufacturer or industry codes10Questions?11