How to calculate the material consumption

To find the consumption, divide the cost of the material costs cost of manufactured products. This indicator allows you to determine the costs of raw materials and other material resources per unit of finished products. The reduction of the material indicates an increase in production efficiency since the same amount of material resources it is possible to obtain a greater volume of finished products, and thus to reduce costs and create additional profit.

Note that there are absolute, structural and specific consumption of materials. Absolute material consumption shows the consumption rate for a product, the net weight of the product and extent of use of materials:
KISP = ΣMчист/ΣNр where
Mcast – net weight of each product;
NP – the rate of materials on each product.
The total rate of consumption of materials for each product is defined as a set of norms of expenses of each kind of materials. For example, in the manufacture of bread, the total flow rate will be as follows: ΣNр = Nрм + Nрд + Nрв + Nрс where
Nрм – flow rate of the flour, yeast, water, salt.

Structural material shows the specific weight of individual groups of materials in the total material products. For its calculation, use the formula:
i = R/Σμi where
R – the number of types of materials;
µi is the share of each material in the total material.

Specific consumption of materials is a structural material, given to the natural unit of measure of the product of a certain type (meters, square meters, cubic meters, liters, etc.). Remember that the system of indicators of material consumption is closely related to system flow rate of the materials, as the main source of analysis of the material together with actual data about the use of material resources during the period under review are the material consumption norms. Calculation and analysis of the material allows to make a conclusion about the rational use of raw materials and their economy.