High ratings on this scale indicate that the group recognizes the importance of regulating the flow of materials in an organization. Lowering the amount of money tied up in inventory is the theme for this set of knowledge competencies. Additionally, the critical understanding of the following operational measurements is evident in the scale:
throughput: the rate at which money is generated by the organization through sales;
inventory: all the money that the organization has invested in purchasing items it intends to sell;
operating expenses: all the money that the organization spends to turn inventory into throughput.
The significance of computer technology to enable the materials management effort is a common link within the scale.