How to Control Materials Expense of Batching Plant

In the process of construction, materials expenses can possess 60% of the total construction cost. With such high proportion, daily material management and usage must be valued; besides, materials expense, which consists of amount and price of materials, should be controlled. In the construction, restrict on amount and price of materials play an important role on reducing cost and improving work efficiency, so efficient control system and supervisory system should be enacted during the process of purchasing material.

To reduce consumption of materials and wear of storage, new skills, techniques, and materials should be adopted and the remaining materials should be recycled. Under the premise of guaranteeing quality, since buying price must be controlled when purchasing materials, the customers should shop around.

The leader will make the final decision after the negotiation between the three departments (auditing department, finance department, material department) and seller, which can not only purchase materials preferentially, but also can avoid kickback received by purchasing staff. Allow for time value of money, to reduce transportation cost and decrease occupation of capital, the most economic way should be adopted to deliver materials.