material management

Question 1

At the hospital level, these two functions are handled by a centralized material management department

Answer 1

Purchasing and Stockroom

Question 2

oversees the ordering of
supplies and the processing of invoices
from vendors

Answer 2

Purchasing

Question 3

maintains security and
inventory levels and issues supplies
throughout the facility

Answer 3

Stockroom

Question 4

Clinical laboratories as a business require___ for
successful operation

Answer 4

raw materials

Question 5

Goals of Material Management

Answer 5

ü Supplies arrive in a timely manner
ü Spoilage is reduced to a minimum
ü Backorders and delays are avoided.
ü Storage space is used to the best advantage.
ü The most economically advantageous price is obtained.
ü Financial resources are not tied up in inventory

Question 6

Sequence of Purchasing

Answer 6

product specification
orders
receive
record
inventory

Question 7

In order to determine the best products for laboratory use, ____
must be spent on product research leading to the development of
product specifications

Answer 7

time

Question 9

Product specifications prepared
after such a study help ensure
adequate ____

Answer 9

quality of purchased reagents and supplies.

Question 10

In addition, the
following considerations are important prior the purchase of the major equipment

Answer 10

1. Written specifications must include a detailed description of the required equipment; specifications must never be made by verbal agreement.
2. On-site visits to see equipment operating in other laboratories is encouraged.
3. An environment necessary to accommodate the equipment must be
   prepared in advance.
4. A more complicated decision is whether to buy major equipment
5. Complete instruction manuals should be obtained with the instruments and preventive maintenance manuals should be available
6. The newly acquired instruments in the laboratory must be reported to the DOH, Ministry of Health

Question 11

products that meet specific time and price
criteria are classified as ___

Answer 11

supplies

Question 12

Items that fall outside these criteria
are classified as ___.

Answer 12

capital items

Question 13

Moreover, supplies may be classified as

Answer 13

Items that are consumed w/in a year
or have a shelf life of less than 1
year

Items below a certain price level, as
established by the comptroller even
though their shelf life exceeds 1 year.

Question 14

CONSIDERATIONS IN PURCHASING SUPPLIES:

Answer 14

Only authorized staff members who are familiar with the quality of service
and reliability of supplies should place orders.

Delivery schedules are a major factor in determining whether a purchasing
system is in or out of control

High-use items should be delivered
frequently

An excellent method of doing this and
can save the laboratory time and
money is through a purchase order.

Question 15

Only authorized staff members who are familiar with the quality of service
and reliability of supplies should place orders.

shrue or false

Answer 15

shrue

Question 16

___ are a major factor in determining whether a purchasing system is in or out of control.

Answer 16

Delivery schedules

Question 17

___ items should be delivered
frequently

Answer 17

High-use

Question 18

is a document authorizing the purchase of a product or service from a
vendor

Answer 18

PURCHASE ORDER

Question 19

purchase order could be classified as __

Answer 19

release orders or standing order

Question 20

___ and manuals in which the
company agrees to deliver goods at a
predetermined price notified by the laboratory.

Answer 20

Release Order

Question 21

is as annual contract in which
the companies agrees to deliver goods at a
predetermined price and on an established
schedule

Answer 21

Standing Order

Question 22

Goods should be __- and ___ as soon as possible to
ensure that everything is delivered
or that some acknowledgment of
back ordered items is made.

Answer 22

unpacked and
inspected

Question 23

___ or ___ goods
should be identified early in order
to assure replacement credit.

Answer 23

Damaged or defective

Question 24

Three pieces of information must be agreed before the company’s bill will be
paid by most accounts payable systems

Answer 24

The purchase request must agree with
the invoice

The invoice must agree with the packing
slip

They must all agree with the final bill
from the compan

Question 25

is a continual process of checking
stock levels, rotating stock to
ensure freshness or ordering
supplies in sufficient quantities
to meet current needs and
minimizing the cost of carrying
inventory.

Answer 25

inventory management

Question 26

Inventory check is performed at
least ___.

Answer 26

once a year

Question 27

3 Methods To Track Inventory Levels

Answer 27

perpetual
periodic
random

Question 28

keep account of the inventory
each time a product is used.

Answer 28

Perpetual system
Periodic system
Random checks

Question 29

keep account of the inventory
each time a product is used.

Answer 29

perpetual system

Question 30

is more common at the bench
department level. Once a week or
at another specified time the stock
level is counted, and appropriate
supplies are ordered

Answer 30

Periodic system

Question 31

are used to document the value of
supplies at a specific time.

Answer 31

Random checks

Question 32

Inventory Systems are Set at ___

Answer 32

Low and
High Points

Question 33

The ___ is that point at which
on-hand supplies are sufficient to
carry the laboratory through until
goods on order are received.

Answer 33

low level

Question 34

The ___ is that level which will
meet the laboratory requirement for
a longer period of time, such as
several months to a year

Answer 34

upper limit/high point

Question 35

The Primary Factors Determining the
said limits are

Answer 35

1. Anticipated delivery time
   for each item.
2. Available storage space
3. The shelf life of the item
4. The anticipated rate of usage

Question 36

Stock Replenishment Techniques:

Two techniques are available for
determining how and when to
replenish stock

Answer 36

1. Minimum-maximum
2. Just-in-time replenishment
   strategies

Question 37

One method
for determining when and
how much to reorder is to
establish a set point at
which inventory is to be
recorded and a reorder to
level to be maintained.

Answer 37

Minimum-Maximum

Question 38

a major technique
developed by manufacturers to take
advantage of inventory
management
opportunities
is a Japanese model called
___

Answer 38

just in time ordering.

Question 39

___ are the second
largest cost incurred by the
laboratory,

Answer 39

supplies

Question 40

A specialty management science
called ___ has
developed several techniques and
formulas for managing inventory:

Answer 40

operations research

Question 41

is the number of units that a
company should add to
inventory with each order to
minimize the total costs of
inventory—such as holding costs,
order costs, and shortage cost

Answer 41

Economic Order Quantity (EOQ)

Question 42

answers the question of how
much to order at one time

Answer 42

Economic Order Quantity (EOQ)

Question 43

also referred to as the reorder
point which provides the base
or safety level for reordering
inventory

Answer 43

Economic Order Period
System (EOP)

Question 44

prescribed period of time,
orders are fixed and constant.

Answer 44

Economic Order Period
System (EOP)

Question 45

which helps establish the best
time to order to take
advantage of the EQP and EOP

Answer 45

Retention of Title (ROT)

Question 46

the clause allows the seller to
retain
ownership of all
remaining goods until they are
paid for

Answer 46

Retention of Title (ROT)

Question 47

this information can be obtained by dividing
the amount of supplies ordered in a year by
365 days

Answer 47

Average daily usage

Question 48

determining level of inventory needed is based
on the workload of the laboratory

Answer 48

Annual usage

Question 49

The cost of running a centralized purchasing
department is directly tied to the number of
purchase orders placed, and the associated
work involved with keeping track invoices as
products are shipped and received.

Answer 49

Cost of ordering

Question 50

this involves decisions based on bulk orders, space utilization, and whether it is better to
have the product on hand or in the supplier’s warehouse

Answer 50

Annual holding cost q

Question 51

___ is a straightforward
calculation once the decision has been
made as to be the best price available.
Factors such as quantity discounts and
container size affect this decision. Dividing
the purchase price by the container size
provides this value

Answer 51

cost per unit

Question 52

the amount of ___, or advantage
notice, needed between placing an order
and its arrival is an especially important
consideration

Answer 52

leadtime