- What are material resources?
- Types of material resources
- Examples of material resources
- Other resources of a company
We explain what the material resources of a company are, how they are classified, examples and other types of business resources.
What are material resources?
It is known in management of companies as material resources to the set of physical and tangible goods that are part of the heritage of the business, and of which it has in one way or another throughout the productive process.
These types of resources are essential for any form of organization, and they are the ones that add the most value to the company. If necessary, some of them can be sold to convert them into liquid money (that is, into financial resources).
The material resources of an organization contribute directly to the productive circuit. In some cases they are the raw material of the same, or machines and tools in charge of its transformation. In other cases, they fulfill other functions: cars for transport, containers for raw materials or for product elaborate, etc.
The EnergyEssential in all industrial activity, it is part of the material resources, although it is not really something that is possessed, but rather it is consumed.
Types of material resources
The material resources of any organization are classified as:
Transformation goods. Those material resources whose destiny is to be transformed throughout the productive circuit, that is, that change their shape, physical state or composition, to give rise to new materials. In turn, they can be classified into:
- Material resources Non-renewable. Those that are consumed during the industrial process and that must be replaced, but whose existence may well run out. For example, him Petroleum, charcoal.
- Material resources renewable. Those that are also consumed during the industrial process, but whose replacement is easier in the medium term, especially if the necessary measures are taken to guarantee it. For example: leather, wood, organic material, electric power.
Fixed assets. Those material resources that are used directly or indirectly in the production circuit, but that are not consumed when used, but are responsible for imposing the transformation of the raw material. Such is the case of machines, tools, transport vehicles.
Examples of material resources
The simplest examples of material resources of a company are:
- Raw material, which through the industrial process will be transformed into manufactured or semi-finished products to be supplied to third parties.
- Machinery and / or tools, used by the workers, are those that allow the production process to be carried out physically. However, they do not belong to the worker, but to the company.
- Furniture and office objects, such as tables, chairs, desks, shelves, sideboards, billboards, and a long list of supplies for everyday use.
- Vehicles. Different types of vehicles and automobiles that belong to the company and allow the movement of inputs, personnel or the goods produced themselves (distribution).
- Energy and fuel, essential to power the machines or vehicles and to be able to carry out the work. They are usually supplied by third parties and constantly consumed.
Other resources of a company
In addition to material resources, every organization has different types of resources, such as:
- Human Resources. It refers to the set of workers who participate in productive or administrative activity, and whose work keeps the company running.
- Technological resources. It refers to know-how, that is, to the specialized knowledge that is put into practice in production, as well as the set of equipment that is required to do so.
- Financial resources. It refers to the money available and the resources that allow the company to obtain it, in order to finance its own productive activity and remunerate its workers.