Importance of Materials Management

The  primary  and secondary  objectives  listed  above  should  themselves give us clear idea about  the  importance of materials management. The significance of an efficient materials management  system  needs  no emphasis.  It will facilitate the accomplishment of the followings objectives.

1.  Lower  prices for materials  and equipment.

2.  Faster inventory turnover.

3.  Continuity of  supply.

4.  Reduced lead time.

5.  Reduced transportation  costs.

6.  Less duplication  of efforts.

7.  Elimination of  buck passing.

8.  Reduced materials  obsolescence.

9. Improved supplier relationship and better records and information.

10. Personnel  development.