Construction Materials Management on Project Site by EOQ Analysis

The efficient procurement of material represents a key role in the successful completion of the work. Poor planning and control of material, lack of material when needed, poor identification of material, re-handling and inadequate storage cause losses in labour productivity and overall delays that can indirectly increase total project cost. Effective management of materials can reduce these costs. In construction industry the problem of exceeding the overall estimated budget often arises and it seems quite challenging to be precise all the time. Its need to overcome such problems for that the proper use of inventory control or material planning is needed which is achieved by inventory management. In any construction project the working capital consist of 60 to70% material cost of the total cost of the project. The EOQ analysis can sort out the materials management problem in construction area and reduce the construction cost by the timely order of the construction materials. The main tools for the collection of data include questionnaires, and site visit to identify the annual requirement of the construction materials while various literature studies were also helpful in review of material management in construction projects.