Materials managemnt Flashcards
(17 cards)
what is materials management
It is all about the planning that goes into the storage and delivery of materials to ensure the right amount of inputs is available when required in the operations system
what is inventory
goods and materials held as stock by a business
what happens if you have too much or too little inventory?
costs money due to no production, hard to meet customer demand and delays. could get stolen, damaged or expired, not needed
what are the four types of materials management
forecasting, master production schedule (mps), materials requirement planning (mrp), just in time
what is forecasting
it is using past data and trends to predict what will be demanded and how much material will be needed
forecasting and efficiency
ensure enough materials to reduce wastage
forecasting and effectiveness
meets demand- customer needs met
what is the master production schedule
a plan on what is going to be produced, how much quantity.how and when
master production schedule and efficiency
can reduce lead times and over production
master production schedule and effectivness
planning reduces costs and improves profit
what is materials requirement planning
An itemised list of all materials involved in production to meet the specified orders.
materials requirement planning with efficiency
everything to meet production so no wastage
materials requirement planning with effectiveness
reduces delays and costs
what is just in time
the right amount of materials and ingredients exactly when you need them
just in time with efficiency
reducing costs and minimising waste
just in time with effectiveness
less money spent on storage and no idle stock
what are some disadvantages of using some of the materials management techniques
Some could increase delivery costs, not prepare for unexpected events, provide less flexibility when things go wrong, make human errors, and take a lot of time.
