Materials Dhfnjsh.pptx

MATERIALS The last M in the 4M’s of operations

Let’s have a Warm Up!

GUESS ME IF YOU CAN

WAR EMTAIARSL RAW MATERIALS

ISNHIF CUTROPD FINISH PRODUCT

PUNIT INPUT

Materials

IEPUSLPR SUPPLIER

Materials

RUOSCE SOURCE

MATERIALS

It pertains in anything used as inputs to production or manufacturing. It can be a finished product or an unprocessed raw material.

Raw materials are first harvested, extracted and processed to produce semi-finished materials. The general premise for materials is where to source with these easily with a cheaper price and of good quality. The entrepreneur must have a minimum of two or more major suppliers.

MATERIALS

To determine the requirements for materials, the entrepreneur must decide on which path to choose: - manufacture own products or offer own services - outsource manufacturing or service activities to a third party

- purchase finished products or services from a manufacturer

MATERIALS

List all the materials needed for manufacturing or service business and decide where to source them efficiently

Implement efficient logistics managementwarehousing, transportation, and inventory management.

MATERIALS

Warehousing

is the act of storing goods that will be sold or distributed later. While a small, home-based business might be warehousing products in a spare room, basement, or garage, larger business typically own -

Materials

Blake will buy a big freezer sufficient to initially store at least 50 kilos of longganisa. If the business expands, another freezer will be bought to cover the orders from the 3 business– supermarket, mini-restaurant, and delivery service. A small freezer will also be bought for the supermarket stall.

Materials

Transportation

-

is a means of moving goods and people from one location to other. In marketing, it involves the movement of goods from the place of production to the place of consumption. Goods can be moved from the factories to the wholesalers and to the retailers where the consumers come to buy them.

MATERIALS

A delivery van will be purchased by the business to transport the ingredients from the Sangitan Public Market to the manufacturing site and to transport the finished products from the manufacturing site to the Cabanatuan City Public Market stall. This will initially be driven by Mr. Ron Lopez. If the business expands, he will hire a driver.

Inventory Management -supervises the flow of goods from manufacturers to warehouses and

from these facilities to point of scale.

It is ideal to sell all homemade batutay the day they were produced. But because longganisa can be stored in the freezer for a long time, it s also ideal to produce in bulk and store the longganisa in the freezer. This will save Blake in manufacturing costs because they will produce them in bulk.

LET’S HAVE A RECAP!