'.*>- Materials antl Their Hd 



died as a unit. Standing orders make up the third 

 class. There is a large amount <>t material used 

 in a plant which cannot be charged to any order, 

 whether customer or stock, such as oil, waste, fuel, 

 office supplies, etc. It is a practice, therefore, to 

 have a system of standing orders covering the 

 various items for which such material is used, 

 against which all stores so used are charged. 

 Practically all material coming into the storeroom 

 will be charged out against one or the other of 

 these classes. 



There is one class of material, however, which 

 forms an exception; namely, obsolete material. 

 This is not, or at least ought not to be, large in 

 proportion to the others. If it is large, the causes 

 for it should be carefully studied. The methods 

 of doing so will be taken up in a later section. 



The Requisition Is Both an Order and a 

 Record. It is clear from the foregoing that 

 every foreman should remember that his requisi- 

 tion is not only an order on which he obtains ma- 

 terial, but is also a record by which the firm ulti- 

 mately determines how much its product costs; 

 and that without such knowledge the firm will not 

 be able permanently to exist in a competitive mar- 

 ket. It is, therefore, among the many responsibil- 

 ities of every foreman, not only to use his raw 

 materials with the best economy, but also to sup- 

 ply, at all times, full and accurate information as 

 to where and how this material is being used. 



