Schedule and monitor material deliveries to maximize production and cash flow.

Q: What are some suggestions on managing the material delivery process to avoid having to pay for materials that haven’t even been installed yet?

A: Create schedules for your material deliveries that match production and make the suppliers meet your needs.

1. Managing the supplier properly will help in many ways
   1. It can help with cash flow, project logistics, storage, damage, theft, etc.
   2. Start the discussion during the pricing stage and incorporate into the PO
      1. Remember, the cheapest supplier may not always be the best
   3. Communicate your schedule early and often
2. Schedule your deliveries to maximize production and cash flow
   1. Practice the Just In Time method of material delivery
   2. Have suppliers deliver only what you need to keep production up each week
      1. The frequency may depend on your project but try to get smaller quantities more frequently
   3. If you can bill for stored materials plan accordingly
3. Plan your production and match your materials
   1. Determine and plan your material consumption rates
   2. Schedule deliveries to match your consumption
   3. Monitor your production and increase/decrease your quantities accordingly