Objectives of MATERIALS MANAGEMENT:
The objectives of materials management are to buy materials and services of the right quality, in the right quantity, at the right price, from the right source, and at the right time. To purchase wisely involves constant search for better values that yield the best combination of price, quality and service. The company’s profits will grow by focusing on the objectives mentioned below:
Ø Purchase materials at low rates.
Ø Keep the department expenses low.
Ø Development of good suppliers.
Ø Development of good relations with suppliers.
Ø Development of personnel.
Ø Development of good records.
Ø Favorable reciprocal relations.
Ø Participating in development of new materials and products.
Ø Economic make or buy.
Ø Standardization.
Ø Product improvement.
Ø Interdepartmental relations.
Ø Forecasts.
Ø Expansion of business by acquisitions.
Ø Regulating inventory.
Ø Cutting operating costs.
Ø Balancing of objectives.
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