MATERIAL CONTROL

It is said that "any fool can sell"—it is buying at the right price that is more critical to the achievement of a satisfactory return on capital employed.  Buying price is important of course, but buying the right materials, is equally important if production targets are to be achieved and investment in inventories to be minimized.

What to order:

This is governed by product specifications, but an efficient buyer will always have his ear to the ground to discover new and substitute materials and components of advantageous quality and price. Other economies can be realized by reducing the variety of materials purchased by standardization, e.g. reducing the variety of colors of paint stocked, or by introducing value analysis into the decision process.

Posted Date: 12/5/2012 7:53:24 AM | Location : United States

Ask an Expert

Related Discussions:- Material control, Assignment Help, Ask Question on Material control, Get Answer, Expert's Help, Material control Discussions

Write discussion on Material control
Your posts are moderated

Write your message here..

Related Questions

Dominance, DOMINANCE Dominance strategy is useful for reducing the size... DOMINANCE Dominance strategy is useful for reducing the size of the payoff table. Rules of Dominance: 1) If all the elements in a column are greater than or equal to the

Representation of simplex method, Representation of Simplex method We s... Representation of Simplex method We shall use the example previously stated for the graphical solution. The standard form of the model is given by: Maximize :  Z = 3X E + 2

Prepare a fixed budget and a flexible budget, Question: A company has b... Question: A company has budgeted to produce and sell 10,000 units of a product, the selling price and the variable cost per unit of which is Rs 20 and Rs 12 respectively. Fixe

What is period cost, What is period cost Period costs are those costs w... What is period cost Period costs are those costs which are reported as expanses of the period in question. These are cost which are not assigned to the product but are charged

What is direct material cost variance, What is Direct material cost varianc... What is Direct material cost variance It can be defined as the difference between the standard costs of direct material specified and the actual cost of direct material used.

Theory of metagames, THEORY OF METAGAMES This theory appears to describ... THEORY OF METAGAMES This theory appears to describe how most people play non-zero sum games involving any number of persons. Prisoner's dilemma is an example of this; the ai

Break-even dollars amount, Selling product for 31.00 and Variable expenses ... Selling product for 31.00 and Variable expenses are 26.00. In order to cover the fixed expenses 31,500 hats must be sold what is the Total fixed cost in dollars?

Case study, Do you think the food industry in general has equivocated on fo... Do you think the food industry in general has equivocated on food labeling? Are all foods labeled natural in the same way? Has modern society subverted the concept of nature?

Explain the break even point pricing, Break even point or B.E.P. pricing me... Break even point or B.E.P. pricing method : Break even point is the volume of sales at which the total sale revenue of the product is equal to its total cost. In other words, it

Direct Allocation Method, help help