It also involves the coordination of key functions in the firm such as marketing, finance, engineering, information systems, operations, and logistics. Overview of Supply-Chain Management Inventory is a stock of materials used to satisfy customer demand or support the production of goods or services.
Raw materials are inventories needed for the production of goods or services.
Inputs into the transformation process. Work in Process consists of items such as components or assemblies needed for a final product in manufacturing. Finished goods are the items sold to the firm s customers. Function of Materials Management Materials Management is concerned with decisions about purchasing materials and services, inventories, production levels, staffing patterns, schedules, and distribution. Internally, purchasing, production control, and distribution act independently, each acting to maximize its resources without consideration to firm as a whole.