What is Material Handling and How Does It Improve Factory Productivity?

What is Material Handling?

Material handling is the movement, storage, protection, and control of materials throughout manufacturing, from receiving raw materials to dispatching finished products.

It includes every movement of components between machines, workstations, storage areas, and inspection points.

In simple terms

A component may be handled several times before it becomes a finished product.

If workers repeatedly carry it across the factory, production takes longer and the risk of damage increases.

Good material handling ensures that the right material reaches the right place at the right time, in the right quantity.

Simple Example

An electronics factory moves components from stores to an assembly line.

Currently, an operator spends 12 minutes per shift collecting materials, making 6 trips of 2 minutes each.

After introducing point-of-use storage and a planned replenishment route, the total travel time falls to 4 minutes per shift.

Time saved:

12 − 4 = 8 minutes per shift

Across 10 operators, that represents 80 operator-minutes saved per shift, provided the improvement applies to each operator.

Common Material Handling Methods

Manual Handling – Carrying or moving items by hand.

Trolleys and Carts – Transporting components between workstations.

Conveyors – Moving products along a defined route.

Forklifts and Hoists – Handling heavy or bulky loads.

Automated Guided Vehicles (AGVs) – Moving materials automatically along planned routes.

How to Improve Material Handling

1️⃣ Map the movement of materials through the factory.

2️⃣ Measure travel distance, handling time, and number of trips.

3️⃣ Place frequently used materials near their point of use.

4️⃣ Use suitable containers and standardized quantities.

5️⃣ Reduce unnecessary transfers and repeated handling.

6️⃣ Select equipment appropriate for the load and workplace.

7️⃣ Monitor material damage, delays, and handling costs.

Important Insight

Reducing movement is valuable, but safety must come first.

Lifting limits, load stability, aisle clearance, equipment capacity, and pedestrian safety must be considered when redesigning material flow.

Benefits

• Less unnecessary movement
• Reduced material damage
• Better production flow
• Lower handling costs
• Improved workplace safety
• Less time spent waiting for components

Practical Insight

Material movement does not automatically add value to a product.

Before investing in faster handling equipment, ask whether the movement itself can be eliminated or reduced through a better factory layout.