Introduction of Material Handling

Material Handling (MH) refers to the efficient short-distance movement of goods or materials within the confines of a building, such as a factory or warehouse, or between a building and transportation. It encompasses a wide range of activities involved in managing this flow.

Definitions:

• Formal Definition (Haynes): MH involves the basic operations related to moving bulk, packaged, or individual products (in semi-solid/solid states) using manual, gravity, or powered methods within a production or service facility.
• Functional View: It's the function that deals with preparing, placing, and positioning materials to make their movement or storage easier and more efficient.
• Art and Science: MH combines scientific principles (engineering, physics, data analysis) with the art of practical application and judgment to find the best handling solutions.

Core Concepts:

The meaning of MH includes four fundamental aspects:

1. Movement: The physical transport of materials (lifting, shifting, conveying) between locations.
2. Storage: Holding materials temporarily or long-term in designated spaces (warehouses, buffers).
3. Protection: Safeguarding materials from damage, spoilage, or loss during handling and storage.
4. Control: Managing the flow, tracking the location, and ensuring the timely availability of materials (linked to inventory and production control).

Key Implication: Cost vs. Value

A critical concept is that MH activities generally add cost to the product (through labor, equipment, energy, space) but typically do not add direct value that the end customer pays for (unlike assembly or processing).

• Consequence: The primary goal becomes to minimize unnecessary handling through better layout and process design. Where handling is necessary, it must be performed as efficiently, safely, and cost-effectively as possible.
• Necessity: Despite being non-value-adding, MH is an integral and essential part of operations, enabling the value-adding processes.

Why is Material Handling so Crucial?

Consider these key points that highlight the significance of Material Handling, especially in the context of modern Indian industries:

• Significant Cost Component: Studies consistently show that Material Handling can account for a substantial portion of total production costs, often ranging from 20% to 50% or even higher in some industries. In India, where cost-competitiveness is paramount, optimizing MH is a direct route to reducing overall manufacturing expenses.
• Time Consumption: A staggering amount of manufacturing time is often spent on material movement and waiting. Research suggests that materials are in active processing for a mere 20% of the time, while the remaining 80% is spent being handled, transported, or waiting for the next operation. Reducing this non-productive time is a major efficiency lever.
• Impact on Productivity: Inefficient MH creates bottlenecks, disrupts production flow, leads to machine and labor idling, and reduces overall throughput. Conversely, a well-designed MH system streamlines operations, increases the utilization of production resources, and boosts productivity.
• Safety Implications: Manual handling of heavy or awkward loads is a major source of workplace injuries in India and globally. Implementing appropriate MH equipment and procedures is essential for creating a safer working environment and reducing risks for employees.
• Quality Preservation: Improper handling can lead to damage, breakage, or spoilage of materials and products, resulting in scrap, rework, and customer dissatisfaction. Careful MH minimizes these losses and protects product quality.
• Space Optimization: Effective MH and storage systems allow for better utilization of valuable floor space and vertical space within warehouses and production facilities, which is particularly important in densely populated and land-constrained Indian cities.
• Competitive Advantage: Companies with efficient and low-cost Material Handling systems gain a significant competitive edge. They can respond to customer orders faster, deliver products more reliably, and operate at lower costs, enabling them to offer competitive prices and gain market share.

Scientific Material Handling:

This simply refers to applying analytical methods, data, and engineering principles to design and improve MH systems, rather than relying solely on intuition or tradition.

• Indian Example: In a Maruti Suzuki car plant, MH involves moving heavy steel coils, delicate engine components, and bulky car bodies between stamping, welding, painting, and assembly stations. While moving these items adds cost, doing it efficiently and safely using robots, conveyors, and specialized carriers is crucial for the plant's high-volume output and overall cost structure. The meaning of MH here is directly tied to enabling the assembly process without delays or damage.

Understanding MH means recognizing its scope (movement, storage, protection, control), its economic impact (adds cost, not value), and its essential role in facilitating production and logistics.