Questions · Q4
Q.What is Materials Control? State its objectives.
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Start your 14-day free trial to unlock the full solution →Materials Control is the systematic control and regulation exercised over the purchasing, storing, and using of materials, so that there is a regular, uninterrupted supply of material available for production, without the business either running out of stock or tying up excessive capital in idle, overstocked material.
Objectives of Materials Control:
- To ensure that material of the right quality is available in the right quantity, at the right time, and at the right place, whenever production needs it.
- To avoid UNDERSTOCKING, which causes production stoppages and lost output, as well as OVERSTOCKING, which locks up working capital unnecessarily and raises storage and carrying costs.
- To minimise wastage, pilferage, and deterioration of material while it is held in store.
- To provide management with accurate, timely information on stock levels and the cost of material consumed, supporting planning and control decisions.
- To make economical bulk purchasing possible wherever it genuinely reduces cost, without accumulating stock beyond what is actually needed. …
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