Operations Management

Concept of Store Management

Storekeeping is a service function which deals with the physical storage of goods under the custodianship of a person called storekeeper or stock controller. Goods stored may be either, stores or stock. Unworked materials or raw materials are usually referred to as stores and the place where they are kept is known as stores room. Finished products ready for shipment are usually called stocks and are housed in a place called stock-room. Storekeeping, therefore, is that aspect of materials which is concerned with physical storage of goods.

Store functions concern receiving, movement, storage and issue of items- raw materials, bought out parts, tools, spares, consumables etc.… Read the rest

Abey Francis

Purchase Management and Methods of Buying

Purchasing is a function of procuring goods and services from sources external to the organization. In the words of Alford and Beaty,”Purchasing is the procuring of materials, supplies, machine tools and services required for the equipment, maintenance, and operation of a manufacturing plant.” According to yet another authority,” Purchasing is the procuring of materials, tools, stores and services required for the manufacture of a product, maintenance of the machines, and un-interrupted running of the manufacturing plant in a manner that guarantees the marketing of the company’s products in the quantities desired, at the time promised and at the competitive price consistent with quality desired.”… Read the rest

Abey Francis

Negative Aspects of Material Handling Systems

It is bad engineering and worse management practice to look only at benefits and to ignore limitations. Handling systems, at times, have consequences that may be distinctly negative. These too, should be evaluated before the changes are adopted. Some such possible disadvantages are

1) Additional capital investment:

It must be verified that the cost of the handling system is more attractively invested in the system under consideration than in any other part of the business. It should be assured that the gains expected are not based upon a more mechanized system v/s present practice, but rather the proposed new system v/s the best version of present practice.… Read the rest

Abey Francis

Efficiency of Material Handling Systems

The efficiency of material handling could be judged by the following principles:

1. “Equipment built for motion should be kept in motion; idle Equipment should be kept inexpensive”.

2.”Continuous material movement is most economical”

This principle states that materials handling efficiency is Greatest when it approaches a steady flow of materials, in as straight as possible, with minimum interpretations and minimum backtracking and where movements approach continues rather than intermittent flow. It is not; always possible, in practice, to completely achieve the objective of this rule. However, it is the target towards which we Aim our thinking. Conveyors systems, both overhead and floor types, are excellent examples of the application of this idea.… Read the rest

Abey Francis

Principles of Material Handling

Material Handling is the art of implementing movement of materials-economically and safely. In the classic sense, Material Handling is the act of creating Time and Place utility, as distinct from Manufacturing, which creates form utility. The proper application of Material Handling knowledge will result in the smooth integration of all the process in an enterprise into one efficient Production Machine.

The principles presented here represent an accumulation of experience equivalent to untold years of practice. They are adapted from those stated in the literature, with certain changes made for clarification and with several new one added to round out the coverage of the field.… Read the rest

Abey Francis

Objectives of Material Handling

Materials handling may be defined as the art and science of movement, handling and storage of materials during different stages of manufacturing considered as material flow into, through and away from the plant. It is in fact, the technique of getting the right goods safely, to the right place, at the right time and at the right cost.

All tangible and intangible benefits can be reduced to four major objectives. The application of material handling methods and equipment to be of greatest benefits should be governed by the following:

1) Reduced Costs:

Cost-Reduction programs have two broad goals; either to reduce the cost of Material Handling or to reduce total production cost; by improved handling procedures.… Read the rest

Abey Francis