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Ayush Bba 6th MM
Ayush Bba 6th MM
MATERIAL MANAGEMENT
Introduction
Effective material management is essential for businesses to optimize their operations, reduce
costs, improve productivity, and meet customer demands efficiently. It involves strategic
decision-making processes to streamline the flow of materials throughout the supply chain,
from suppliers to end-users. Key elements of material management include: Predicting future
demand for materials based on historical data, market trends, and customer behavior to
ensure adequate inventory levels
Sourcing materials from suppliers through negotiations, contracts, and vendor management
to obtain the best quality materialist competitive prices. Monitoring and controlling the levels
of raw materials, work-in-progress, and finished goods to minimize holding costs, and
prevent obsolescence.
Efficiently storing and organizing materials in warehouses or distribution centers to facilitate
quick retrieval and minimize handling costs. Managing the transportation and distribution o
from suppliers to production facilities and ultimately to customers, optimizing routes and
modes of transportation to reduce lead times and costs.
Ensuring that materials meet specified quality standards through inspections, testing, and
quality assurance processes to prevent defects and rework By effectively managing materials
across these key areas, organizations can enhance their competitiveness.
OBJECTIVES OF MATERIAL MANAGEMENT
1) Ensure availability of materials when needed
2) Ensuring the right materials are available at the right time to avoid production delays.
3) Minimize material costs and waste
4) Reducing material costs and waste contributes to cost savings and sustainability.
5) Maintain quality and consistency in materials.
6) Consistent quality ensures smooth production and customer satisfaction.
7) Optimize procurement, storage, and distribution processes.
8) Material management aims to strike a balance between ensuring adequate inventory levels
to meet demand and minimizing excess stock that ties up capital and incurs holding costs .
9) Material management seeks to streamline processes and eliminate bottlenecks in the flow
of materials throughout the supply chain.
10) Building strong relationships with suppliers is vital for securing reliable sources of materials,
obtaining favourable pricing and terms, and fostering collaboration and innovation.
Strategic Sourcing
Importance of strategic sourcing in material management
• Involves analyzing purchasing patterns and market conditions to make informed
sourcing decisions.
• Discuss cost reduction and efficiency improvements.
• Strategic sourcing leads to cost savings and better use of resources
• Lean and Agile Practices
• Overview of lean principles and waste reduction
• Lean practices aim to eliminate waste and streamline processes for greater efficiency.
• Discuss agile material management for flexible operations.
• Agile approaches enable businesses to respond quickly to changing market conditions
and customer demands.
Technologies and Tools
ERP SYSTEMS
Enterprise Resource Planning (ERP) systems are comprehensive software solutions designed
to integrate and streamline core business processes and functions across an organization.
These systems provide a centralized platform for managing various aspects of business
operations, including finance, human resources, supply chain management, manufacturing,
sales, and customer relationship management. Here are some key technologies and tools
associated with ERP System.
ERP software suites are the primary technology used for implementing ERP systems. These
suites consist of integrated modules that cover different functional areas of the organization,
such as accounting, procurement, inventory management, production planning, and
distribution. Examples of popular ERP software vendors include SAP ERP, Oracle ERP
Cloud, Microsoft Dynamics 365, and In for ERP.
Integration middleware technologies facilitate seamless communication and data exchange
between disparate systems and applications within the organization's IT landscape.
Middleware solutions such as enterprise service buses (ESBs), application programming
interfaces (APIs), and integration platforms as a service (iPaaS) enable ERP systems to
integrate with external systems, third-party applications, and cloud services.
POINTS TO CONSIDER
1) Describe the role of ERP systems in material management.
2) Enterprise resource planning systems integrate all aspects of
3) material management and provide centralized data.
4) Benefits of centralized data and process automation
5) Improves decision-making, coordination, and efficiency across departments.
6) Inventory Tracking Software
7) Explain how inventory tracking software works.
8) Software tracks inventory levels in real-time, helping managers make informed decisions.
9) Real-time monitoring and data collection capabilities
10) Provides up-to-date information on inventory status and movement.
CHAPTER-2
ABOUT THE COMPANY 24X7 MEDICAL AGENCY
24X7 MEDICAL AGENCY BILASPUR, TELIPARA
A 24x7 medical agency is a healthcare service provider that operates continuously, 24 hours a
day and 7 days a week, offering medical assistance and support to patients at any time of day
or night. These agencies play a critical role in delivering healthcare services and support in
emergency and non-emergency situations.
They often provide a variety of services such as emergency medical care, telemedicine
consultations, home healthcare, medical transportation, and healthcare staffing. Here’s an
outline and suggested content for a PowerPoint presentation on a 24x7 medical
agency highlighting its operations, services, and benefits.
A 24x7 medical agency is a healthcare service provider that operates around the clock,
offering medical assistance, consultation, and support to individuals in need, regardless of the
time of day or night.
These agencies play a crucial role in providing continuous access to healthcare services
outside of regular business hours, ensuring that people can receive medical attention
Purpose: Due to increased patient volume and the need for improved patient safety, a 24-
hour pharmacy service was established for our institution’s ED. The purpose of the study is to
quantify and demonstrate the impact of a 24-hour pharmacy service in an urban ED.
Methods:
This was a retrospective descriptive study conducted at a regional level 1 trauma center. The
study period occurred between December 2012 and July 2013. The following variables were
quantified and analyzed: number of medication orders reviewed, number of intravenous
medications compounded, and number of clinical interventions that were recommended by
the ED pharmacy team (EDPT) and accepted by ED clinicians.
Results:
A total of 3,779 medication orders were reviewed by the EDPT. Of these orders, 3,482 (92%)
were prospectively reviewed. A total of 3,068 (81.2%) and 711 (18.8%) orders were
reviewed for the adult and pediatric ED, respectively. During the study period, the EDPT
procured 549 intravenous admixtures and conducted 642 clinical interventions. Most of the
interventions involved providing drug information for physicians and nurses (45.9%),
adjusting drug dosages (21.1%), and recommending antimicrobial therapy (15.1%).
Conclusion:
Literature Review
Lenders.
(1992), defines materials management organizational concept as having a single manager
responsible for organizing, encouraging and managing all those activities that primarily
concern the flow of a material into an organization. The above concepts are emphasized
differently, but they all concern the management of materials and all begin with the supplier.
Purchasing, receiving goods, quality control, handling of materials and internal transport are
also included in the definition.
Fadipe
(1996), defines material management as a confederacy conventional material activity found
by a common idea, an integrated approach to preparation, procurement, transfer, flow and
delivery of production materials from the raw materials level to the finished product stage.
He further clarified that, this approach looks at the whole flow of materials and components
from supplies to the manufacturing establishment which it stores, and production lines, and
even after manufacturing, at the flow of parts and goods through hub and distribution centre
and to customer
Achison
. (1999), considers material management as, a concept involving an organizational framework
that unifies into one functional obligation the systematic organizing and control of all
materials from the identification of the need through distribution to customers.
KasimNarimah. (2007),
reported that the materials management is particularly affected by shortages of materials,
delivery delays, volatility in costs, damage and wastage, and lack of storage space. Thus, they
reported on the early stages of research which is developing a new ICT-based approach to
managing materials on projects. This was followed by exploring the ICT tools and techniques
currently being employ on projects. In terms of time, budget (cost), efficiency, and
productivity, poor handling of construction materials affects the overall performance of
projects. The wastage of materials should also be minimised during projects in order to avoid
loss of profit for companies. In order to increase the efficacy of the production process, there
is a need to incorporate new approaches to materials management in projects.
Chary. (2008),
noticed that inventory management allows the company to enhance the inventory by
economic order quantity (EOQ) and by monitoring the system level by two bin methods and
red line methods. Management of inventory saves the organization from unwanted losses by
other departments. For three purposes, material inventory is maintained; precaution,
speculation and transactions.
Lenin P., Krishnaraj L., Prasad D.Narendra, Kumar V.R Prasath. (2014),
argued that the lack of proper management of materials on sites created a gap. Research has
shown that in projects, construction materials account for 60-70% of the overall cost.
Material mismanagement decreases the revenue of the contractor, contributing to enormous
losses, and leaving the project in great difficulty, so careful management of this single largest
component will increase a project's competitiveness and cost efficiency and help ensure its
timely completion. The findings obtained from the evaluation factors shows that design
problems, market conditions, store problems, contractor difficulties and external problems are
the top five key causes of cost overruns. The results obtained are given: the identification of
variables influencing time and cost overruns indicates that the cost overrun of projects is
responsible for design problems, customer problems, contractor problems, site problems,
labor and equipment problems, store problems, external problems, and market condition
problems.
CHAPTER-4
RESEARCH METHODLOGY
This hypothesis posits that the introduction of an automated inventory management system
tailored to the unique demands of a 24x7 medical agency will yield several beneficial
outcomes. Firstly, by continuously monitoring stock levels and consumption patterns, the
system can anticipate and prevent stockouts of critical medical supplies, ensuring that
healthcare providers have access to the necessary resources at all times. This proactive
approach can significantly enhance patient care by eliminating delays or interruptions in
treatment due to supply shortages.
Secondly, the automated system will enable more accurate tracking of inventory turnover
rates and expiration dates, allowing for timely rotation and utilization of medical supplies to
minimize wastage. By precisely managing inventory levels and reducing the likelihood of
surplus or obsolete stock, the agency can optimize its resource allocation and mitigate
unnecessary expenditure on replenishing expired or unused supplies.
Furthermore, the implementation of such a system can streamline logistical processes and
enhance operational efficiency within the medical agency. By automating routine tasks such
as inventory monitoring, ordering, and reconciliation, staff members can allocate their time
and expertise more effectively towards patient care activities. Additionally, real-time data
analytics provided by the system can offer valuable insights into consumption patterns,
demand forecasting, and cost optimization strategies, empowering decision-makers to make
informed choices that drive efficiency and savings.
Overall, this hypothesis suggests that the adoption of an automated inventory management
system tailored to the unique needs of a 24x7 medical agency has the potential to
revolutionize material management practices, leading to enhanced patient care outcomes,
reduced costs, and improved operational effectiveness."
SCOPE OF MATERIAL MANAGEMENT IN 24/7 MEDICAL
AGENCY
The scope of material management in a 24x7 medical agency is broad and multifaceted,
encompassing various aspects of inventory control, procurement, distribution, and
utilization of medical supplies and equipment. Here are some key areas within the scope
of material management in such an agency:
2. Procurement and Purchasing: Efficient procurement practices are vital for sourcing
high-quality medical supplies at competitive prices. Material managers need to establish
relationships with reliable suppliers, negotiate contracts, and implement procurement
strategies that balance cost considerations with quality and reliability.
3. Supply Chain Optimization: Managing the flow of medical supplies from suppliers to
end-users involves optimizing the supply chain for efficiency and responsiveness. This
includes logistics management, transportation, warehousing, and distribution strategies
to ensure timely delivery of critical supplies to various healthcare facilities within the
agency.
4. Quality Control and Compliance: Material managers are responsible for ensuring that
all medical supplies meet regulatory standards and quality requirements. This involves
rigorous quality control measures, supplier audits, and adherence to regulatory
guidelines to safeguard patient safety and regulatory compliance.
3. Supply Chain Vulnerabilities: The reliance on a global supply chain for medical
supplies exposes 24x7 medical agencies to various supply chain vulnerabilities, such as
disruptions due to natural disasters, geopolitical events, or pandemics. Material
managers must proactively identify and mitigate supply chain risks to ensure continuity
of care.
4. Storage and Space Constraint: Limited storage space within healthcare facilities can
pose challenges for inventory management, especially for bulky or perishable items.
Material managers must optimize storage capacity, prioritize inventory rotation, and
implement efficient warehouse management practices to maximize space utilization.
Data collection methods vary depending on the nature of the data, the research objectives,
and the resources available. Here are some common data collection methods used across
different fields:
6. Focus Groups: Focus groups involve bringing together a small group of participants to
discuss specific topics or issues in-depth. The group interaction facilitates the exploration of
diverse perspectives and insights.
10. Web Scraping: Web scraping involves extracting data from websites or online sources
using automated tools or scripts. Web scraping can be used to collect data for research,
market analysis, or business intelligence purposes.
Each data collection method has its advantages and limitations, and researchers often employ
a combination of methods to triangulate findings and enhance the validity and reliability of
their results.
CHAPTER-6
DATA ANALYSIS AND INTERPRETATION ABOUT THE 24X7 MEDICAL
AGENCY, MATERIAL MANAGEMENT
Do you get opportunities available to you for expressing your ideas to upper
management?
Proper information to the employees for performing their task or
performing task employees are given proper instructions?
Do you get required information when you need it?
Are you well informed about 24x7 medical agency performance?
At 24x7 medical agency on regular basis group meetings take place and all
the meetings are informative and worth time spent.
HYPOTHESIS TESTING
5) How should you handle a situation where a product you ordered arrives
damaged?
6) Which of the following is not a common consideration when assisting a
customer in purchasing medical supplies?
7) How should you handle a customer who exceeds their budget but require
essential medical supplies?
8) What should you do if you’re uncertain about the suitability of a product
for your medical condition?
13)What should you do if you have concerns about privacy and security of
your personal information when purchasing medical supplies online?
FINDINGS
The study shows that they did not have many problems understanding the task and
duties which have been given to them in the medical agency. Although sometimes
they face issues while understanding the new medical-healthcare products due to
inconvenient background education.
As it also shows that the management under the agency is well structured and
systematic,
The study shows that the employees agreed to work as a team in medical agency and
provide good transparency on information with each other.
The study shows that the group meetings and discussions were significantly helpful to
learn new things and opportunities.
Every organization has some barriers which they overcome. While conducting the
research it is seen that the barriers which this organization faces are cost control,
technology integration, big supply chains, improper communication.
But these barriers can be removed if the head as well as bottom department try to co-
ordinate their best to fulfill the requirements and essential wants.
In a 24/7 medical agency, efficient material management is crucial for ensuring the
smooth functioning of operations and the delivery of high-quality patient care around
the clock. Here are some key findings related to material management in such an
environment:
Leverage Technology:
Inventory Management Systems: Implement modern inventory management software
for real-time tracking, forecasting, and order management.
Data Analytics: Use data analytics tools to gain insights into usage patterns and optimize
ordering and stocking.
Engage Staff:
Feedback Mechanisms: Create channels for staff to provide input on material management
processes.
Involvement in Decision-Making:
Include staff in discussions and decisions about material management practices.
CONCLUSION
Cost Control:
By streamlining procurement, inventory management, and logistics, medical agencies can
reduce waste and control costs while maintaining adequate stock levels.
Improved Efficiency:
Leveraging technology, optimizing processes, and fostering coordination across departments
leads to more efficient operations and better resource utilization.
Employee Satisfaction:
Empowering employees with proper training, clear communication, and involvement in
decision-making contributes to higher job satisfaction and better performance
Proactive risk management and continuous improvement enable medical agencies to adapt to
challenges and disruptions in the supply chain.
To achieve these outcomes, medical agencies must adopt a strategic approach to material
management, focusing on regular assessment and refinement of their processes. By staying
informed about industry to the trends and emerging technologies, agencies can further
enhance their material management practices and remain competitive. Overall, effective
material management is foundational successful functioning of a medical agency, ultimately
contributing to better patient care and organizational success.
QUESTIONNAIRE
A. Brand popularity
B. Customer budget and requirement
C. Personal performance of retailer
D. None of them
7) How should you handle a customer who exceeds their budget but require
essential medical supplies
A. Encourage the customer the purchase more expensive items
B. Provide discounts on unrelated products
C. Explore alternative items and try to find the cost effective
D. Ignore the budge concern
10) How can you ensure the accuracy of your order when purchasing
medical supplies online?
A. Close your eyes and click randomly
B. Double check your order before finalizing the purchase
C. Trust the retailer to choose the product for you
D. Trust the retailer will send the correct items
12)How should you handle a customer who needs assistance but seems
hesitant to ask questions?
A. It ignores the customers reluctance
B. Respect the customer privacy and wait for them to inititate conversation
C. Proactively offer assistance in a friendly way
D. Assume the customer dosen’t need help
13)What should you do if you have concerns about privacy and security of
your personal information when purchasing medical supplies online?
A. Share your information without hesitation
B. Ignore the concerns and procced with purchase
C. Verify that the retailers have secured payment system
D. Refuse to provide any personal information