DMS-###-R Document Mangement System

MM-###-R Material Management System

TA-###-R Tools & Asset Management System
PM-###-R Parts Mangement System
M-PM###-R Preventive Maintenance System
M-PD###-R Predictive Maintenance System
M-CM###-R Corrective Maintenance System
M-GM###-R General Maintenance System
BB-###-R Business to business
BI-###-R Business Internal
Note: R is for revision no. starting from 0

MATERIAL MANAGEMENT SYSTEM: DOCUMENTS & RECORDS

Document Revision Approved
Title Revision Date Revised By:
Number (Latest) By:
Process diagram for
MM-001 0 March 13, 2020 FCA Tadena
Material Request
Process diagram for
MM-002 0 March 13, 2020 FCA Tadena
Material Receiving
MM-003 Material Request Form 0 March 13, 2020 FCA Tadena
Material Request
MM-004 0 March 13, 2020 FCA Tadena
Monitoring
MM-005 Material Inventory 0 March 13, 2020 FCA Tadena
MM-005R Material Inventory Report 0 March 13, 2020 FCA Tadena
Acknowledgement of
MM-006 0 March 13, 2020 FCA Tadena
receipt (materials)
Material Storage
MM-007 0 March 13, 2020 FCA Tadena
Guidelines
SMC-RMI Material Management System (SMC-RMI MMS)
Outline

1. Summary
a. Material Management System
i. Goals & Purpose
ii. Business-to-business
iii. Internal Processes
iv. Material Handling
2. Document & Records Description
a. MM-001 Acknowledgement of receipt (materials)
b. MM-002 Material Request Form
c. MM-003 Material Request Monitoring
d. MM-005 Monthly Material Inventory
e. MM-005 Material Inventory Report
f. MM-006 SOP Material Receiving
g. MM-007 SOP Material Request
3. Material Storage System Guidelines

Summary
Material Management System
The SMC Repairs and Maintenance Inc. Materials Management System (SMC-RMI
MMS) is a set of instructions and documentations on how to properly handle the
materials being provided by the client as stated on the service contract.

The SMC-RMI MMS will consider the following types of processes involved in the
operation.

 Business-to-business
 Internal processes (forms, records,)
 Material handling (recording, documentation, storage)
Goals & Purposes

The goals of the SMC-RMI MMS are to make sure that the materials being
provided by the client is being taken care of.

This is also to make sure that material losses are being prevented due to poor
storage and poor accounting.

The instructions in the SMC-RMI MMS are set to be implemented with the
supervision of the Engineering Head followed by the Maintenance Planner and
the Material custodian.

Business-to-business

The processes and documents involved in the SMC-RMI MMS shall address the
problems and issue that may arise before, during, and after the transactions with
the clients pertaining to the materials used in the service (repairs, maintenance,
projects, etc.)

Being the service provider, SMC-RMI is also tasked to handle the materials
needed for service. These materials are being provided by the client (for SMC-RMI
Tagoloan, B-meg Cagayan de Oro - Tagoloan Feedmill Plant).

Establishing a set of procedures for the business-to-business transactions is vital

for the success of the service. These processes shall guide the stakeholders on
how to properly and formally receive and request for materials, store materials,
and monitor material usage.

With this, SMC-RMI will be able to identify possible problems regarding to the
usage and cost of materials being utilized for the service. At the same time,
formulate and implement plans for improvement with the primary goal of
reducing cost of repair at the same time maintaining the quality of service that is
expected by the client.
Internal processes

The SMC-RMI MMS will provide instructions on how to properly handle the
request and receiving of materials. The SMC-RMI MMS is also designed to make
sure that cost, accuracy, and timeliness are addressed when requesting materials
from the client.

Material handling

The SMC-RMI MMS will provide instructions on how to properly handle the
materials being provided by the client from receiving to utilization. It will also
address the possible problem of material losses during the operation by setting up
a storage system that provides a level of security.

Aside from storage, the SMC-RMI MMS also provides instructions on how to setup
a material storage system that will support the maintenance program by
considering

 easy access to frequently used materials

 easy to understand identification (tagging) system
 easy to execute material inventory
 proper storage of hazardous and combustible materials
Document & Records Description
MM-001: Process Diagram for Material Request
The MM-001 shows the step-by-step procedure on how to properly execute a
material request using the MM-003 (Material Request Form) and the MM-004
(Material Request Monitoring).
The process diagram for material request is designed to make sure that all
material requests are being regulated and checked to make sure that only those
materials that are necessary for the service are being requested.

It also indicates when to record and monitor a request in order to determine

whether the client has able to provide the requested material on time and with
accuracy as it will have a direct impact to the quality of service that SMC-RMI is
offering to its clients.
Using the record, SMC-RMI will be able to plan and implement actions together
with the client in addressing nonconformity to the request and consolidate
actions for better outcome of the service.
MM-002: Process diagram for Material Receiving
The MM-002 or the process diagram for material receiving shows the step-by-
step process of receiving, recording, and storing the materials being provided by
the client.
MM-003: Material Request Form
The MM-003 is the material request form for the SMC-RMI MMS. It is a physical
copy that records the request of material and serves as the official request letter
to the client.

The MM-003 shall be accomplished by the material custodian. The record

includes the signature of the following personnel,

 SMC-RMI Material custodian

 SMC-RMI Engineering Head
 Client Representative (SMFI Engineering Auditor)

The record includes the following information,

 Material description
 Material specification
 Quantity
 Date Required (Date that the material is intended to be used)
 Work Order No. (SAP PM Work order)
 Remarks

The MM-003 shall be accomplished with 2 copies, 1 for the client and 1 for SMC-
RMI.

The record shall be kept by the material custodian on a safe location for audit
purposes.

MM-003 will ensure that the client knows the degree of urgency of the material
being requested by placing a "Date required" column. Aside from this, the record
can also be integrated to the CMMS (SAP PM) by indicating the work order in
which the material is intended to be used.
MM-004: Material Request Monitoring
The MM-004 or the material request monitoring is an excel file designed to record
and monitor all the requested material by SMC-RMI and the MM-003 submitted
to the client.

The MM-004 shall be filled-up by the SMC-RMI Material Custodian and shall be
designed to have a level of sercurity. The engineering head, maintenance planner
and material custodian are the only one who has access to the file.

The MM-004 includes the following details.

 Monitoring for requested materials by each maintenance personnel.

o Date
o Material
o Specs
o Required Date
o Criticality
o Personnel
 MM-006 Record
o Request No.
o Date
o Material description
o Specs
o Quantity
o Specs conformity based on MM-003

Quantity conformity based on MM-003 is also monitored with the MM-004 to

make sure that the client is providing the exact materials needed for the service.
Material quantity and specification has a direct impact on the quality of the
service.
MM-005: Material Inventory
The MM-005 or the material inventory is an excel file designed to record all
transactions related to materials request and receiving.

The file contains the current material inventory and its designated cost. It also
contains a level of security so that only the material custodian, the engineering
head, and the maintenance planner have the access to modify the content.

Details on the MM-005 include the following.

 Material description
 Material specification
 Brand
 Quantity
 Unit
 Equivalent price

A reporting format for the MM-005 is also available with a document code of
MM-005R. This is the reporting format that can be given to the client or any
parties requesting the current inventory.

By practise, the MM-005R should be given to the client as part of the monthly
reporting.
MM-006: Acknowledgement of receipt (materials)
The Acknowledgement of Receipt (MM-006) is a record designed to formally
acknowledge the materials received by SMC-RMI from the client.

The record include the signature of the following personnel,

 Client Representative (SMFI Engineering Auditor)

 SMC-RMI Material Custodian
 SMC-RMI Engineering Head

The record also indicate important information such as,

 Material description
 Specification
 Quantity
 Amount (PhP)
 Conformity to the request
 Control No. (for monitoring)

The MM-006 shall be accomplished with 2 copies, 1 for the client and 1 for SMC-
RMI.

The record shall be kept by the material custodian on a safe location for audit
purposes.

The record shall be also be used to identify the frequency of conformity to the
request of materials by SMC-RMI to its client.
MM-006: Material Storage Guidelines
The MM-006 or the material storage guidelines are sets of general instruction on
how to properly handle the storage of materials provided by the client.

Material storage guidelines

1. Hazardous materials/substance shall be in accordance with ISO

14001:2015, Environmental Management System
2. Combustible materials storage shall be in accordance with NFPA.
3. Storage area shall be secured to prevent unauthorized personnel from
using materials without the approval of the material custodian.
4. Storage of material shall be designed so as to make frequently used
materials are easy to access.
5. Storage of material shall be designed to make sure that
6. Storage are shall include a section for "Prepared Materials for Next
Maintenance Day". This is where materials needed for the next
maintenance day is stored prior to the day of usage.