Inventory control

Question 1

what 3 categories can mainteance costs be grouped in

Answer 1

cost assoicated with maintneance labor, costs of required material and spare parts, costs of production downtime when breadowns occur.

Question 2

what are the two problems to consider when controlling maintenance materials

Answer 2

having too much material and not having enough materials

Question 3

materials stored in maintenance stores can be grouped into the following categories

Answer 3

1. spare parts 2. Normal maintenance stock 3. janitor/housekeeping supplies(includes lubricant, bulbs) 4. tools and measuring instruments 5. Non-maintenance items ( sheet metal, pipe fittings, lumber)

Question 4

what are conditions that tend to increase maintenance invnotry

Answer 4

how maintenance is scheduled and planned, the cost of production downtime, the quantity of purchasing and if a large amount of parts have different models

Question 5

can ‘Buying in bulk” be effective

Answer 5

yes, but only the savin to the plant is more than the added costs associated with carrying the inventory over the increased period of time

Question 6

conditions tending to reduce maintenance stores inventory

Answer 6

a backlog of purchases of new machines, tools or equipment,

Question 7

What jutifies sotck inventories to increase

Answer 7

Proccess equipment used continously, equipemnt that are used on the line

Question 8

what production scenarios reduce maintenance inventories

Answer 8

When there are production facilities that might not need spare parts for a while

Question 9

what are the advantages of a centralized maintenance storerooms

Answer 9

cost accounting relaibality, personnel requirements and duplication avoided