Materials  Management  as an Operating Function : In  small  scale industries generally  the  function  of materials  management  is considered subordinate to the production  function.  The materials manager acts  as a subordinate to works manager. Materials management is considered as a service function to  operation and is regulated with  other operations  under the control  of  works  manager. The splitting of the materials  management  department  will largely  depends on the  quantum of the work  of each section and  the need  of the organization.