Assignment On Management Information Systemm

ASSIGNMENT Course Title

- Management Information System

SCOPE OF WORK: Hydel-Power project comprising of four main works viz. Main Dam, Weir, Electric Power Station and Tunnel. MATERIALS MANAGEMENT ORGANISATION Materials Management is defined by Fearon (1973) as ‘’The single manpower organisation concept embracing and planning, organizing, motivating and controlling of all those activities and personnel principally concerned with the flow of materials into and within an organisation.’’ Dean S Ammer (1969) defined Materials management as ‘’ the line of responsibility which begins with the selection of supplier’s and ends when the material is delivered to its point of use.’’ Above definitions differ in their emphasis on functional aspect of materials management, but they clearly denoted to activities associated with material from acquisition to use. Functions of the materials management are not confined to purchasing and stores only. Its scope has enlarged and now includes all activates and decision making areas concerned with acquisition and delivery of the material to the point of use. Materials management covers a wide scope. It includes procuring materials, their transportation, inventory control, storage, issuing material to various sites for use in construction, maintaining records and data for effective control and to provide useful guide for future. Though it is distinct from other activities, it is closely related to planning, design and estimating construction accounting etc. Aims of good materials management: a. Probable needs of the materials requirement can forecast within reasonable limits of accuracy. b. Adequate quantity of the materials of the specified quality (specification) is received on the worksite at the appropriate time. In fact the motto of good materials management is to make available right quality of material in the right quantity at the right price at the right time. c. With the help of construction work schedule ( like bar charts, networks etc ) procurement schedules are prepared for materials taking into consideration the time required for placing orders, inspection, testing, deliveries etc.This helps in maintaining stocks of materials to the minimum level but at the same time it avoids any hold up of construction work for want of materials. d. By maintaining proper record and analyzing them it is possible to generate useful data, which will serve as a guide in future. e. By studying market conditions and with the constant touch with development in the field of materials, it is possible to (a) forecast fluctuations – availability or Page 1

otherwise, price change etc and take appropriate timely action (b) identify new substitute materials (c) improve upon the procurement procedures. INVENTORY CONTROL MEASURES EOQ: The quantity of order corresponding to the frequency is known as Economic Order Quantity (EOQ). The economic order quantity on the basis of balancing the cost of opposing nature can be worked out graphically or analytically. In the graph the total cost is rather flat in the region of the lowest cost. This indicates that the EOQ in this region will not vary much and as such one need not be very fastidious of the (a) working out the ordering costs and inventory carrying cost or (b) pinpointing the exact EOQ.A little variation or rounding up of either the costs or the EOQ will not have adverse effect on the total cost. An approximation of 10-15 % may not affect the cost by more than 1 %. SITE STORAGE AND REPORTING Proper storage of material is important for the construction, and as such, an important function of materials management. Storages the principal aspect of materials management and should be organized to provide maximum efficiency. On any construction work basically storage facility will be of two types: i.

Open space storage where materials like sand, aggregates, stone etc. are stored. These materials are more or less stable and do not deteriorate appreciably due to storage and / or exposure to atmosphere. They are comparatively less costly.

ii.

Closed storage where costly materials like cement, equipment parts etc. are stored. These have to be kept under lock and key.

iii.

Sometimes an intermediate type of an arrangement is also done where material is stored in the open but the storage is enclosed by a protective fencing. This is suitable for materials like steel bars, timber scantlings, asphalt drums etc. Appropriate storage arrangements are also necessary for materials / parts fabricated on site like reinforcement bars cut and bent as per drawings, doors and windows frames or shutters fabricated on the site, cement concrete blocks or jallies cast on site. INTEGRATED REPORTING SYSTEM Steven Alter in his book ‘’Information Systems’’ defined Integration as ‘’mutual responsiveness and collaboration between distinct activities or process. The extent of integration between two processes or activities is related to the speed with which one responds to events in the other. This speed depends on both the immediacy of communication and the degree to which the processes respond to the information communicated. Information systems can play roles in both aspects of integration, first by supporting the communication and second by making it easier for each business process to use the information to respond effectively.’

Flow chart: Flow charts are diagrams expressing the sequence and logic of procedures using standardized symbols to represent different types of input / output, processing and data Page 2

storage.Flowchdarts were once the primary diagramming tool used for documenting systems. They are still used in many ways but have been replaced by Data Flow Diagrams (DFDs) as tools for discussing information system logic with users and for documenting the flow of data between business process.

S tart

Material receive d=mate rial on

Yes Store payment approval in database

No

Notify Vendor

Printed Notification

Return Material to Vendor

Record Stop

discrepancy

For MIS ,see the following pages.

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