Materialism Trap
The Materials Manager
De-Threats
By H S Baral
Most
are familiar that the wheels of industry coast along on the four Ms : men,
money, machines and material. It is exceedingly rare a company manufactures,
under its own roof, every by-itself-complete item/part going into a product,
thus obliging it to shop externally certain raw forms/components, etc.In
this activity lies origin of the Materials Management (MM) Department,
whose primary role is to ensure no machine or labour/site progress is rendered
idle/held up because feed source (bought out material) has exhausted.
MM is deemed by some
to be a straightforward function of mere purchase,which is probably over-simplifying
matters.Bear in mind procurement (Preceded by preparedness on several coordinated
fronts) represents one important milestone at a particular stage in a series,which
culminates only when concerned file is stamped ‘closed’.Other work-load
that preoccupies MM would be to identify a clutch of reliable/approved
suppliers, enter into 'rate contract' with them and,equally paramount,explore/develop
new sources,resort to strategic buying,etc.
In the Industry arena
both materials manager and supplier have definite roles, with inter-dependency
forming a vital link.Adopting an attitude that their bills would be settled
promptly, making an effort to cultivate the association, readiness to extend
cooperation, introducing innovative steps like cross-visits of staff as
a continuous working arrangement, etc., is actually a worthwhile investment
from which company would reap benefits many-fold.Treat the other as a partner
who is also contributing to the cause of business, and every input there
from will noticeably improve.
Call it a hazard at
the desk, but certain vocations eat in a murky reputation and MM is one
such Department that has to fend off the corruption tag. So cutthroat is
competition, the subtler practice of passing on commission is being overtaken
by brazen ‘under-the-table’ advances/lavish gifts in kind. Against such
alluring temptation, deliverance lies in rousing the strong moral fibre
to first rein in wayward inclinations and simultaneously convey in an unmistakable
tone that brooks no repetition of such influencing-intended tactices. All
pervasive in its established network, to eradicate graft is never going
to be easy, but so long there exists resolve and a nucleus at sensitive
posts to wage a crusade, the movement is bound to gain momentum emboldened
by success stories of those who have dared to resist/expose this rot.
Since material costs
constitute a major percentage of total cost,this fact starkly defines Purchase
as being the most incisive cost paring tool.A slew of economy measures(in
overall operations) notwithstanding. MNCs in the global fray are finding
basic cost of equipment remain at like levels,but competitive edge is increasingly
being honed by ingenuity of the materials manager, who is constantly devising
ways to control/lower cost of procurement.Over-arching traditional work-compartmentalisation
and commendably adapting to fast changing market conditions/business modes,
MM, for quite a while now, has sufficiently demonstrated its prowess so
as to be embraced into the core management set-up steering a corporation.