Introduction to Material-Management

Jun 28th, 2015
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Abilene Christian University
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The material management in the health care system is concerned with providing the drugs, supplies and equipment needed by health personnel to deliver health services.. About 40 percent of the funds in the health care system are used up for providing materials. It is of great importance that materials of right quality are supplied to the consumers.

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Materials ManagementMaintenance and Repair1Maintenance Materials ManagementGenerally in the US, the stores investments as percent of estimatedreplacement value is 1.2% to 1.9%.Cost of maintenance materials varies from 2/3 to 1.5 times the directstore management labor cost.Typical findings in Stores/Purchasing functions Excessive stock-outs 7% - 10 % not uncommon Low turnover Excessive late deliveries Lead times not kept up-to-date Absence of effective materials standards Inadequate off-shift coverage and security21Elements of a MaterialsManagement SystemA team to drive continuous improvement in materials management .The team should include representatives from maintenance, stores,procurement, design, business services, construction andintegrated suppliers.Standard descriptions of equipment, parts and supply items.Effective management of maintenance material working capital.Operational rebuilding programs for items such as motors,transformers, controllers, printed circuit boards, and seals3Elements of a MaterialsManagement SystemMeasurement of material management results. These metrics shouldbe a measurement of functional performance and should compliment thebusiness metrics. Examples are: Total stores investment (as a % of plant replacement value) Service level ( % of items supplied when requested) Percentage of stock-outs and backorders Utilization of materi

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