The material flow is ... Material flow and its characteristics

Material and information flow is formed in the process of transportation, storage and other operations with finished products, semi-finished products, raw materials. It is formed throughout the life cycle of products - from the primary source of materials to the final consumer. Let us further consider what material and information flows are.

General information

The material flow is objects that are in a state of motion. They include, in particular, finished and unfinished products. These operations are applied operations relating to their movement in space: unloading, loading, transportation, packaging, consolidation, sorting, downsizing and so on. Information flows are messages in documentary (electronic and paper), speech and other forms that accompany service or material movements.

Basic concepts

The flow of material resources is raw materials, auxiliary and basic materials, fuel, components, spare parts, packaging, packaging, waste. Finished products are products that have completely passed the technological cycle and control at the enterprise, completed, delivered to the warehouse or shipped to the customer (intermediary). Incomplete production is an object that needs to be finalized in accordance with the technology used.

Key features

The main parameters that characterize the material flow are:

• Quality, range and product range;
• Dimensional parameters (linear dimensions, area, volume);
• Weight characteristics (gross / net, total weight);
• physicochemical characteristics;
• Packing characteristics;
• Terms of the contract of supply, purchase and sale, transfer;
• Cost characteristics.

Other characteristics may be taken into account when performing operations.

Types of material flows

There are different criteria for classification. The material flow in the logistics systems can be internal or external. In the first case, it does not go beyond the scope of the operations performed, in the second case it is outside of them. Depending on the nomenclature, single- and multi-product objects are singled out. On the assortment, the streams are divided into single and multi-assorted. In addition, there are output and input objects. Division by assortment is necessary, since it has a significant influence on the work with products. In particular, the logistics management of material flows in the food wholesale market, where meat, vegetables, fish, fruits are sold, differs significantly from the operations carried out at the potato storage facility, where one name of the product is present. Depending on the movement in time, there are:

1. Continuous moving. In particular, they include material flows in the production of a closed cycle, gas and oil products, the movement of which is provided through pipeline transport.
2. Discrete displacements.

Other categories

Specialists also highlight:

1. Heavy material flow. This movement of objects, through which the full use of the carrying capacity of transport is ensured. The products do not require large storage areas for storage. Heavy material flow is a cargo, the weight of one place is more than 1 ton for moving on water and 0.5 tons for transportation by rail. As an example, the transported metals are.
2. Light weight flow. It is represented by a load that does not allow the vehicle to be fully loaded. The ton of such a flow takes more than 2 cubic meters. A light weight is, for example, tobacco products.
3. Bulk products. They are transported without packaging (packaging). Flowability is their main property. Transportation of such flows is carried out in open or bunker wagons, in containers, on platforms. An example is grain.
4. Bulk cargoes. They include sand, ore, salt, coal and so on. As a rule, these cargoes are of mineral origin. They are transported without packaging. These objects, like the previous category, have flowability. Some goods can be caked, caked, frozen.
5. Commodity-piece objects. They have a variety of physicochemical characteristics, volume, specific gravity. Such goods can be transported in bags, boxes, containers, without tare. They can be dimensional and lengthy.
6. Bulk goods. As a rule, they are transported in tanks. Operations with such objects are carried out using special means.

Information flows

Messages accompanying the movement of goods can occur under external influence on the relevant environment. The main parameters that determine information flows include:

1. Direction of movement or destination.
2. Source of origin.
3. Transmission speed. It is determined by the number of messages per unit of time.
4. Overall volume.

Classification

Information flows can be:

• Leading with a coincident direction.
• Synchronous counter.
• Forward with a different direction.
• The lagging behind.
• Synchronous with different directions.
• Ahead of the oncoming.
• Lagging with a different direction, etc.

Integration

It can be carried out in a horizontal or vertical direction. Integration occurs on the basis of flow control. The horizontal direction provides the necessary data for all objects and operations: from the receipt of materials, raw materials and components to finished products. As a result, all impacts and the consequences arising from them are linked to the overall strategy and objectives of the production and implementation system. Vertical integration allows you to cover all levels of the technological cycle with direct and reverse links. Due to this, it is possible to obtain on-line data on raw material deliveries, manufacturing processes, assembly, control tests, and delivery of products to end users.

Management

The complex of logistic operations is determined in accordance with the life cycle of products. In turn, it includes:

1. Stage of development. This stage is characterized by a long duration and is associated with investing in developmental, research and development activities.
2. The stage of product introduction. This is also a long stage. It is characterized by significant costs and almost no income.
3. Stage of growth. It is determined by the increase in demand for products. At this stage, there are certain difficulties for managers. In particular, they are related to forecasting demand, identifying key points and places in which consumers of material flow will concentrate. Inaccuracy of this or that information can provoke big expenses.
4. The stage of "maturity". At this stage, the rate of production growth, the level of income reaches the maximum. By the end of the stage, there may be a decline in the sales volume. It is due to the activity of competitors and the launch of novelty products. At this stage, the tasks of logistics management include the distribution of products through the sales network and control of sales.
5. Stage of decline. This stage is characterized by a decrease in sales and a decrease in income. This situation is determined by the saturation of the market, the emergence of novelty products, competitors, the development of scientific and technical base. Logistic management at this stage is focused on reducing the number of outlets, reducing costs and stocks in warehouses.

Cycle

It consists of the following operations:

1. Order and formation of stocks.
2. Processing of consumer orders, procurement.
3. Delivery, output.
4. Collection of applications and preparation of documentation.
5. Analysis of operations, the formation of reports.

Additionally

The functioning of the logistics system will only be effective when databases are used in it. Any management process includes the implementation of functions for the collection, processing, transfer, analysis of information and decision-making. Information is called a set of data on environmental conditions that contribute to reducing the existing degree of uncertainty, lack of knowledge. This information is reproduced orally, in writing or in other ways. Logistics is aimed at ensuring that all stages of output, transportation, and sale are considered as a continuous and unified process of transformation and movement of the product and information, data related to it. Actual information allows enterprises:

1. Define operational, tactical and strategic objectives and objectives.
2. To control the current state of affairs in the enterprise, in its divisions, the state of the processes that are carried out in the organization.
3. Take timely and motivated administrative and administrative decisions.
4. Coordinate the work of the units for the implementation of the tasks and goals.

Conclusion

Information and material flows act as integral elements of the commodity turnover. The origin and transmission of data are characterized by the object and source of this information. The last is a component that can create or produce a message that is part of the logistics system. Data objects are the links of the management structure: transport, employees, divisions, premises, commodity stocks and so on. A competent analysis of the available information allows you to orient the material flow, send it to the right user. In the manager's work, various external and internal factors must be taken into account. To ensure the effectiveness of material information flows, advanced scientific and technical means and achievements are being used at present. They allow not only to have the most up-to-date data on the market conditions, supply and demand, competitors' activity, but also to make forecasts for medium- and long-term prospects.