Construction Material Management Part – I (Introduction): •
Introduction: Materials are the inputs to the construction activity on which certain operations are performed using other resources to create a facility. It helps making the best and most efficient use of the materials.
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Importance: Material management is very important for the smooth and timely completion of the project.
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Definition: Material management is the single, manpower organization concept embracing, planning, organizing, motivating and controlling of all these activities and personnel principally concerned with flow of materials.
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Procurement: It deals with accruing materials for construction from suitable sources.
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Transportation: Materials used on construction site undergo considerable movement, hence transportation is very important.
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Inventory Control: It deals with laying the policies regarding how much quantity of a material should be held in stock, taking into account the progress of the work.
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Storage: When certain materials have to be held in stock before they are used, it is necessary to store them properly to guard against deterioration, pilferage etc.
Part– II (Classification of Materials): Classification for Control:
SL. NO. CLSSIFICATION
CRITERIA
1
A-B-C (Always Better Control)
Annual value of consumption of item (not unit rate of items)
2
H-M-L (High, Medium, Low)
Unit price of material
3
V-E-D (Vital, Essential, Desirable)
Critical nature of items production
4
S-D-E (Scarce, Difficult to obtain, Purchasing Easy to obtain) availability
5
G-O-L-F (Government, Ordinary, local, Foreign) Source of material
6
F-S-N (Fast moving, moving, Non moving)
7
S-OS (Seasonal, Off seasonal)
Seasonality
8
X-Y-Z
Inventory value of items
problem
with
regard
to
Slow Issues from stores
Part – III (Procurement of Materials – Source of Material): •
Source Selection: To obtain best results, the purchasing activity must be based on a systematic procedure which covers all aspects related to purchasing.
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Source Supply: An appropriate supplier has to be selected, which is the main responsibility of the purchase department.
Part – IV (Procurement of Materials– Purchasing): •
Introduction: Purchasing the materials along the correct lines are the most important factor contributing to effective and efficient materials management.
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Price of material: Price would normally refer to the amount paid for the material and is expressed as Rs. per unit measure.
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Centralised and Decentralised purchasing: Centralised purchasing indicates that the entire purchase is done at one place. Decentralised purchasing indicates that materials are purchased at different places on the basis of their needs.
Part – V (Inventory Control): •
Introduction: Inventory means ‘stock in goods’. It is also known as stock control and constitutes important functions.
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Necessities: (a) Lead Time: It is the period of time elapsed between the point of time when the need for material is contemplated and the point of time the material is actually available on the site of construction for use. (b)Inventory Costs: When a material is to be procured certain formalities have to be completed. Normally the cost involved in this will depend upon the quality of materials used.
Part – VI (Storage and Transportation of Materials): •
Introduction: Storage is the principal aspect of materials management and should be organised to provide maximum efficiency. Very often construction organisations have to transport materials from its main store/regional store, to work sites and hence materials management department has to be particular about transportation of materials.
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Storage: Types of Storage(a) Open Space Storage: Where materials like sand, aggregates, stone etc. can be stored. (b) Closed Storage: Here Costly materials like cement, equipment parts are stored.
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Transportation: Types of Transport(a) Service: Transport is a service which provides safety and time and place utility for materials. (b)Quality: Transport must ensure regularity, safe and adequate supply of its goods. (c) Price: Transport is a service which provides safety and time and place utility for materials.
Part – VII (Logistic): Logistics may be followed in material management at site level, although yet to be established in site level. Whereas presently, 3-PL logistics have been incorporated by many companies.