Materials Planning at RCFIT determines the requirement of all kinds of materials to meet the productionneeds economicallyFactors that influence materials planning at RCF are: Macro Factors: • Price Trends • Import Policy Of The Government • Credit Policy Micro factors: • Corporate Objectives • Working Capital • Seasonality • Delegation Of Powers • Communication Systems
Materials Budgeting at RCF The Process of Preparing Material Budgets at RCF Inventory of Requirements material in of material hand Process of preparing materials budget in terms Amount of of quantity and money Inventory Forecast of value of materials to be material to be Target price procured for a given purchased period of time. Purchase Actual Budget Purchases Material Control: Function of maintaining Variance constantly availability of all kinds of materials Report for required for the manufacture of products. Control
Purchase Management at RCF Purchasing is the act of buying an item at a price.Buying raw materials of the right qualities, in the right quality at the right time,at the right price, and from the right source. Determination Recognition of Description of Selection of of Price and Need Requirement Source Availability Order Checking The Placing the Follow Up and Acknowledgem Invoice and Order Expediting ent Approval Purchasing Cycle of RCF
Receipts at RCF FOR MATERIALS Receipts to be Made Against Valid Purchase Orders Purchase Order Copies to be Provided to Divisions Checks to be Made By Stores on Receipt Material and Documents to be Visually Inspected Before Unloading
Stores at RCF • Periodic stock verification is taken Three time’s Stock Verification in a year. • Classification is done on basis of Chemicals & Classification Fertilizers material. Codification • 9 Digit Alphanumeric code. Materials Handling • Material oriented systems. • Conveyers, Elevators and Hoists, Industrial Types of Materials Trucks, Auxiliary Equipments, Miscellaneous Handling Equipment Handling Equipments.
Inventory Management at RCFInventory management involves administration, policies and procedures toreduce in inventory cost. Factors Influencing • Type of Product • Volume of Production Inventory Control Techniques • Always better control (ABC) classification inventory control system • Fixed Order Quantity System