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

Factors influencing working capital requirements, The working capital needs... The working capital needs of a firm are influenced by many factors. The important ones are as follows: Nature of business: The working capital necessity of a firm is closely l

Difference between marginal costing and absorption costing, Question: A... Question: A friend of yours is revising for his examination in management accounting and needs some help from you. He asks you the following questions. Write brief notes on eac

Compute the value of share of a company, Compute the value of share of a co... Compute the value of share of a company? A company paid dividend amounting to Rs. 0.75 each share during the last year. The company is supposed to pay Rs. 2.00 per share throug

Bridge loans, Bridge loans are obtainable from the banks and financial inst... Bridge loans are obtainable from the banks and financial institutions while the source and timing of the funds to be raised is identified along with certainty. While there is a tim

Calculate transfer price - management control system, Calculate Transfer Pr... Calculate Transfer Price - Management Control System? Question: Compute the Transfer Price for Product X and Y and the Standard Cost of Product Z as the intra company pricing r

Accounting method, Accounting Method is the method by which income and expe... Accounting Method is the method by which income and expenses are accounted for taxation purposes. The Internal Revenue Service needs taxpayers to select an accounting method that p

Working capital, State Factors determining Working Capital requirement. State Factors determining Working Capital requirement.

Predetermined Overhead Rate, Logan Products computes its predetermined over... Logan Products computes its predetermined overhead rate annually on the basis of direct labor hours. At the beginning of the year, it estimated that 39,000 direct labor-hours would

Advantages-disadvantages-imposed budgets, Advantages of Imposed budgets ... Advantages of Imposed budgets Advantages: They increase the probability that the organization strategic plans are incorporated into the planned activities. They

Integer programming, Integer Programming It is a technique for solving ... Integer Programming It is a technique for solving a linear programming model with an added constraint that the decision variables must only be non-negative integers. In the