Material Management in Hospitals

MATERIAL MANAGEMENT IN
HOSPITALS
PRESENTED BY:
DARAKHSHAN NAAZ
SUKAINA
M.ARCH. HCA (SEM-III)
INTRODUCTION
• Material management is a scientific technique, concerned with Planning,
Organizing &Control of flow of materials, from their initial purchase to
destination.
• It is important for the efficiency and effectiveness of hospital.
• Ensures the right quality & quantity of supplies at the right time, right
place and at the right cost.
• It’s objectives are to maintain continuous supply, maintain quality of
purchase, cordial relationship with suppliers, avoid wastage and keep
good records.
• Materials include- Drugs and medicines, surgical equipment, linen ,dietary
supplies, petty supplies etc.
FUNCTIONS OF MATERIAL MANAGEMENT
• Planning & estimation of purchasing
• Purchase the material from rate contract firm, Government undertakings,
local purchase and tendering firm.
• Accepting ordered material
• Inspection of materials
• Maintenance of proper records
• Stock verification
• Inventory control
• Storage of material
• Supply of materials continuously to different departments.
These functions may be performed by the storekeeper itself or there may be

a separate purchase dept. in the hospital. Efficiency, popularity and goodwill
of hospital is secured by the good material management system.
ELEMENTS OF MATERIAL MANAGEMENT
ORGANISATION OF MATERIAL MANAGEMENT
ORGANISATION OF PURCHASING
• Purchasing is main function of store-keeper. He takes various decisions regarding
the purchase such as how to buy, when to buy and how much to buy.
• It is an important department in the organization. Services of hospital are
counted on the basis of a good supply of material to the patient.
• For this, Government rules are followed strictly by the manager or a store keeper
to maintain regular flow of material substitutes material price, trends, terms and
conditions are always considered by them.
FUNCTION PERFORMED BY PURCHASE DEPT.
1) Receive the indents from the wards.

2) Contact with suppliers.
3) Analysis and select quotation.
4) Placing order.
5) Follow-up purchase order.
6) Maintaining records of files.
LOCATION OF PURCHASE AND STORAGE DEPT.
• This department is located in the central place of hospital.
• All wards are in easy contact with the department.
• It is easy for coming and going, off and on, in and out.
• Lift is available near this dept.
DECENTRALISED PURCHASING
• In the hospital there are various departments like Diet, Linen, Petty supply, Surgical
Instrument and equipment, Public works dept. etc. Each department has its own
purchasing right. They are taking permission at the time of purchasing from their
heads.
DECENTRALISED STORAGE SYSTEM

• In the hospital there is one medical store which contain a Drug, medicines
and oxygen cylinder. For other material like instrument, equipment, disposal
item are stored, separately. There are no main stores and no sub-stores.
OBJECTIVE OF STORAGE DEPT.
1) Minimizing the cost services
2) Providing efficient services
3) Protection from Accident
4) Avoiding under and over Stocking
5) Space use
6) Store records
7) Stock control
FUNCTION PERFORMED BY STORAGE DEPT.
1) Receipt of Material.
2) Opening the packing of the material.
5) Checking of Material.
4) Recording the material.
5) Control over material.
6) Issue of material to wards.
PROCEDURE OF ACQUISITION: DRUGS &
MEDICINES
1) Rate contract firm.
• Government forms a committee to verify all indents for supply of drugs &
medicines to hospitals and prepare final indents.
• These indents are sent to “ Central Store Purchase Organisation " for the
fixing to rate contract with various companies. This is done by tender
system.
• After that names of the companies and rates are circulated to all the
hospitals in the state.
2) Departmental/Quotation.
• This system is followed when rate contract firm is not in position to supply
the material or delay in supplying material.
• store-incharge takes permission from " Drugs Committee " for demanding
the quotation from local drugs dealer.
3) Tender System
• When the cost or price of material is more than Rs.50,000/- medical store-
incharge calls tenders by giving advertisement in the news paper.
• The tender is publishwd in state level news paper and Name of Drugs and
Medicines, Total quantity, Name of Company, terms and conditions of
supplying material etc are mentioned.
4) Local purchasing
• Local purchasing is made at the time of emergency with certain
restrictions.
• This is done if there is no material in the stock, the material is not received
from the rate contract firm and tendering firms, there is no sufficient time
for calling quotation, the material is not available but it is defective.
5) Government undertaking
STORAGE AND INVENTORY SYSTEM
• The storage is playing an important role to make the hospital successful. The
store room helps the hospital to purchase material in a large quantity at low
price.
• It also helps to maintain the continuous flow of supply of material to the ward.
• It also helps to classify and codify the material with the help of storage, quality
of service is maintained.
There are various types of stores like Linen store, Dietary store, Petty supply
Store, General store, Medical store.
Medical store is divided in two parts
1) Medical Stores.
2) Non-Medical Stores.
1) Medical stores include drugs, medicines, oxygen cylinder, etc. consumable
store.
2) Non-Medical stores include surgical instruments and equipments etc.
MEDICAL STORE
• Professor of Pharmacology is the chief of Medical Stores.
• He is assisted by Associate Professor of Pharmacology. There is one Pharmacist " Class
- II " who is working and is responsible for day to day activities.
FUNCTION PERFORMED BY MEDICAL STORE

• Medical Stores provide only drugs and medicines to ward and dispensary.
• No drugs are given to O.P.D. Patients. For new disease and emergency time medicine
is purchased from local market. Sometimes material is purchased from local market
immediately if it is not available in medical store.
LOCATION
• The store is located on ground floor in the hospital. There is no heat generated area
near the store.
• No sufficient measure is provided for dust free.
• The store is central place in Indoor Patient ward. The movement of various sections is
very easy.
• The material is not put in various sections, so it becomes difficult for checking.
INVENTORY CONTROL
• No proper method is accepted for inventory control system.
• The stock is put always at optimum level.
• No separate items are ordered separately, all items are ordered combinely.
• Inventory control is carried away by the store keeper.
METHOD OF INVENTORY CONTROL

1. Minimum level
2. Maximum level
3. Reorder level
4. Danger level
SUPERVISION
•Medical store and dispensary has

maintained good standard and service.
Medical Officer keeps good liaison with
•officer of the Drug Control
Administration, effects the level of
•work in a good condition.
•Medical Officer takes frequent
inspection
•of medical stores and dispensary.
•In the same way Inspector of the Drugs,
controls Administration.

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Material Management in Hospitals

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What are the functions of material management in hospitals?

What are the elements of material management?

MATERIAL MANAGEMENT IN

These functions may be performed by the storekeeper itself or there may be

FUNCTION PERFORMED BY PURCHASE DEPT.

1) Receive the indents from the wards.

DECENTRALISED STORAGE SYSTEM

FUNCTION PERFORMED BY STORAGE DEPT.

FUNCTION PERFORMED BY MEDICAL STORE

METHOD OF INVENTORY CONTROL

•Medical store and dispensary has

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