The basic concept of materials management or MM is that the system can helps to reduce cost and delays on site where the work is performed due to the poor performance done by the management teams on how to handle different materials at the right quantity, source and time. Materials management also can be defined as a process where it shows how the building was designed and materials are estimated. From the initial phase of planning until the completion phase that is waste management, the materials management will need to be efficient in order to avoid any delay and extra cost. ‘Materials’ can be in the forms of raw materials, components, consumables, capital goods, spares, furniture and etc. In the management teams has to have a Project Manager to lead and responsible for the teams. Then come in a Planning Engineer and Material Engineer to prepare a material schedule, list out materials that need to be order, monitoring and control of materials consumption used at projects and etc. Choosing of right sources especially nature materials like aggregates and stones will be the job of Quality Control Engineer. He also needs to be in charge of sampling and testing materials that are received on site accordance to the given specification. Lastly, will be the Store Manager duty to follow up with the vendors, receiving and issuing the right materials and etc. The example case study of MM can be seen on the following scenario. AlmatabSdn.Bhd. is carrying out a housing project which is semi-detached houses and double storey terrace in Johor. The construction site layout has been prepared as shown in Figure 1 which illustrates the layout equipment, building materials and access roads for the erection of the building. As a new site manager, you are requested to study the site management to be applied for the project and give some comments and advices on the layout.
2.0 LITERATURE REVIEW
2.1 What is Materials Management?
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There are different definitions that are provided by different researcher/author for materials management throughout the years. Ballot (1971) defines materials management as the process of planning, acquiring, storing, moving, and controlling materials to effectively use facilities, personnel, resources and capital. Tersine and Campbell (1977) stated that materials management as a process that provide the right materials at the right place at the right time in order to maintain a desired level of production at minimum cost. Beekman-Love (1978) indicates that a materials management structure should be organized in such a way that it allows for integral planning and coordination of the flow of materials, in order to use the resources in an optimal way and to minimize costs.
Chandler (1978) explain that materials management systems should be implemented to plan, order, and check deliveries, warehousing, controlling the use of materials, and paying for materials. Ammer (1980) defines materials management as the process in which a company acquires the materials that it needs to achieve their objectives. Bailey and Farmer (1982) define materials management as a concept concerned with the management of materials until the materials have been used and converted into final product. Gossom (1983) indicates that a materials management system should have standard procedures for planning, expediting, transportation, receipt and storage to ensure an efficient system for materials control.Cavinato (1984) stated that materials management involves in the control of the flow of goods in a firm. It is the combination of purchasing with production, distribution, marketing and finance. Arnold (1991) defines that materials management is a function responsible for planning and controlling of materials flow.
2.2 Scope of Materials Management
1. Material Planning and Controlling
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This function is based on the sales forecast and the production plans of a company. The activities of the function are:
2. Purchasing
The purchasing is one of the major functions for materials management. This function contains the following activities:
3. Stores and Inventory Control
This function helps in physical control of materials. It has the following list of activities:
Minimization of material losses due to obsolescence and handling. This activity controls the timely disposal and efficient handling of materials.
2.3 Phases of Materials Management Process
The contractor identifies the materials needed as well as any special requirements or special materials to be used in the project. Quantities needed are estimated and a bid package is put together and submitted.
This phase involve inselection of thereputable suppliers and manufactures. The selection of suppliers is critical and the performance of a supplier can decide between a successful project and a project full of delays. Therefore, the contractor needs to verify that the supplier is capable of delivering the right material.
The generation of a material requisition schedule. Once a material requisition schedule is in place, individual requisitions are generated from the construction site by either the foreman or the project manager. When a release form is generated, suppliers are contacted for procuring the material needed. The type of material needed, quantities, time when the material is needed and delivery location are specified to the supplier.
This phase involves in receiving, storing and distributing the material on site. The receiving process involves inspection of the material when it is received to verify that the type of material delivered is the one ordered, qualities received against quantities ordered and quality of the delivered material.
After the installation of the materials in place, the EC has to manage any surplus material. The surplus is handled differently depending on the type of material and also whether or not the contractor has a warehouse. If the company has a warehouse, the surplus material is stored in the warehouse for use in the future projects.
2.4 Classification of Materials
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2.5 Participants in Materials Management
1. Pre – construction Phase
Provide containers for convenient materials storage and retrieval if appropriate. Instruct the site personnel in separation and quality requirements.
2.6 Advantages of Materials Management
Materials management department make sure that better quality material is supplied on time to the requesting departments. This can result in better performance of the company.
2.7 Challenge of Handling Material (supplier relationship)
It is almost impossible to maintain a good relationship with the suppliers during construction as there will always be a barrier between the buyer and suppliers. A good relationship with suppliers is important for the materials management process as it will make sure that schedule is on time. This is how the management teams can do to improve the relationship with the suppliers.
Courtesy and promptness should be shown to the supplier’s representatives whenever they visit the buyer’s office. Even if they visit without prior notices, they should be treated nicely and perhaps could probably request to call again at other time.
When sending out enquiries, full details of the required materials, delivery time, and etc., should be given to avoid unnecessary correspondence and clarification.
Adequate time should be given to the suppliers to affect deliveries and rush orders should be kept to the minimum. Reports in delay in delivery and unsatisfactory quality should be politely convey on no account rude letters should be sent or discourteous words spoken from the buyer’s side.
Occasional visit to the supplier’s plant often contribute to better understanding between the buyer and supplier. Good relationship often brings benefits for both parties.
2.8 Problems of Materials Management on Site
2.9 Importance of Materials Management
Materials constitute the biggest single element of cost. Generally more half the cost of any production system is due to materials alone. Therefore reduced materials cost is vital for improved productivity. Non-availability of materials are resource input leads to production shut down, project delays etc. hence timely availability of material is vital for production efficiency. Below is the list of the importance of materials management.
3.0 COMPARISON OF INFORMATION (CASE STUDY)
Temporary Road
3.1 Evaluation of Existing Site Layout
The materials name is not specified.The materials are being cramp in one place. This will lead to a delay in the schedule as the materials are not placed properly and label according to their classification.
1. Wrongly located the materials.
Materials cannot be placed too far from work area or stocked over a drainage line. Their delivery was wrongly phased and not needed until much later.
2. Wrongly located the plants and equipment.
Storage for aggregates such as lime stones, stones and fine sands are not sufficient on site. Plants such as fixed cranes are unable to reach all parts of the works if wrongly placed on the jobsite.
3. Insufficient space in the site.
Materials may be stacked on roadways that can cause hazards during construction period. Working areas become too cramped with the poor planning of site layout.
4. Wrongly located the site office.
5. Poor communication
Communication is one of the key for a successful materials management on site as it can help to give correct information about materials. Relationships between suppliers also need to be fixed as it can give benefit to the management teams.
6. Poor security
Security in construction site is important as to protect the materials and plant on the site from theft and malicious damage. It also can ensure that the public are stop from trespassing to the site and thus endangering their safety.
7. Temporary weather protection
Site OfficeProtections are including the workers, materials, building work and equipment during construction work. Materials that are delivered to site must be placed in a correct position for weather protection. Example: brickwork needs protection from rain.
S.H
S.H
Figure 2: Improved Site Layout
3.3 Suggested improved Site Layout
There are two security huts in the layout. Security is need to be enforce on the site as it will help to prevent any intruder that come to steal materials and outsider that enter site without permission.
Site entrance and exit is located easily as it near the security hut.They are placed in place where it will be easier for the vehicles to move in or out without giving any disturbance to others.
The site office has been located near the site entrance. The reason was simple as the location is far from any hazardous that can harm the health of the contractor’s staff or visitors.Car park also is placed near office for connivance purpose.
Concrete batching plant has been moved near the site exit as it will be easier for the aggregates and cement storage to place beside it. While the location of waste materials must be considering the safety of the workers and can be avoided by placing at the back of the layout.
4.0 RECOMMENDATION
4.1 Elements of Materials Management on site
5.0 CONCLUSION
Based on the case study, wecan conclude that it is important to apply a proper material management system to the construction site as it can properly organize the materials, equipment and plan on site.TheProject Manager has to take lead by enforcing his/her power to monitor materials schedule on all projects. The management teams have to keep trying to use various materials management technique on construction projects as it progress. Relationships with the supplier also need to be fixed as it can affect the overall process of materials management. The site must have a good security in day and night to ensure that the materials are protected from theft or pilfering. The surplus materials also need to be taken in consideration as all projects can expect a certain amount of surplus and it has to be well conceived and executed. Any wastes materials that are produced during the construction also need to be disposing properly avoid any hazard that can causes health problem to the environment. This is because a good planning of materials management can help to avoid any delays of works on site and reduce any extra cost for a project.
Although the materials management scope stated everything that is needed to be achieved for a project but in reality problems still occur till today as lack of project information given to the management during the construction period. Most of the management teams of projects tried hard to satisfy with the needs of construction and yet still achieved poor results in return. Even if the materials management process is practiced for every construction project, it still has many flaws that have to be improved.Importance rule that must be kept in mind is that: your results are directly shown due to how much effort that you pour for it.Therefore, every participants or team members of project need to play their role accordingly as it takes more than a single person responsibility to make it possibly successful in the future.
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