Codification in Materials Management
Short Description
Types of codifications and standardization used for materials classification and identification....
Description
Standardization, codification, and variety reduction item is identified by several names, one person being identified by several names. names. some parts differ from each other marginally marginally and end up being identified as number of independent parts. Functionally the difference is insignificant This multiple names culture results into same item being held in inventory at several places under several identities. we end up developing several suppliers for the same item. process of identifying the parts with multiple names and with marginal marginal physical differences and settling for one part, in place of those with marginal marginal differences differences and multiple names is called standardization. Classification of materials: management management of variety becomes complex Classification is the first step in simplifying the process of planning and implementation of a materials plan. •
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grouping materials as per some homogeneity is classification. Objectives of classification: to devise procedures of planning and control for materials in a class instead of one item. [preference, individual/group to device purchase procedures, inspection methods, storing and issuing procedures, common to all materials in a class. To device accounting and evaluation procedures common to all materials in a class. Classification based on nature of materials: raw materials, machinery and equipment, consumable items, chemicals, inflammable items, fuel stock, furniture, scrap materials, packaging material, & general items Classification based on the usability of materials serviceable, unserviceable and obsolete items finished and semi finished items, dead stock items, Unused items •
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Codification identifying each item based on classification like pin codes of postal dept 12 34 567 8 9 10 11 12 13 •
Point Major Dimensional Storage of use group characteristics location [T15] [R/M [rounds145] [yard 7] Sub 01] Variations User group [1cm depts [Steel 03] [turning 21] 17]
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Objectives of codification: accurate and logical identification prevention of duplication standardization and reduction in variety efficient purchasing efficient recording and accounting easy location, indexing and inspection easy computerization •
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essential features of codification system brevity, logical, flexibility, uniqueness, easy understandability, proper choice of numbers, layout of codes, capacity of system Codification system Brisch system: 01.23.45 a seven digit system, every pair seperated by a decimal identifies an item by its classification Kodak system: a ten digit system with [-] items are grouped into hundred groups based on supply or procurement considerations. And further subdivided into sub groups Color Codes: red, yellow and blue in electrical cables red and green on electrical switches green, blue and red for pipes •
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Standardization and Variety Reduction: Standardization is setting a standard for an item or a process and continuously adhering to this. the items produced or activities performed belong to a specific type or level or standard. Standardization has made inter changeability of parts possible enabling process of mass production. Mass production reduces the cost of production and also improvement of quality. Standard can be IS, DIN, American standard for a product. And ISO, QS or TS for system. Standardization results into variety reduction. •
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Process of standardization and variety reduction. prepare a list of all items required to make the product classify the items according to their performance and dimensional characteristics. Follow principles of classification group these items with similar functional characteristics and sub group them according to major dimensional values. Now study the sub group as above and see how many parts performing similar functions have very close dimensional features. •
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If performance characteristics are not altered same part should be used as a standard in place of several parts with similar dimensional features Look for an existing standard that either coincides with the standard chosen by us very is very close to it. Now try and replace our part with the existing standard taking care not to upset performance characteristics. Principles of standardization are applicable to forms, procedures, reports etc. in offices Benefits of standardization standardization helps reduce inventory items. Better means of communication in the industry Base for inventory analysis Specifications become clear and quality control strong Insistance on standards promotes mutual trust •
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