Transfer of Materials: Definition
The direct transfer of surplus materials from one job or work order to another is, as a rule, undesirable. It should be discouraged as far as possible.
It is, however, justified when an urgent job must be completed. In these cases, it may be necessary to appropriate surplus materials to avoid the delays inherent in the normal routine of returning materials to stores and then re-issuing them.
Material Transfer Note: Explanation
All transfers of materials must be accompanied by a material transfer note.
This note is signed by the foremen of the sending and receiving departments and forwarded to the costing office, where the necessary adjustments are made in the respective job accounts.
Specimen/Format of Material Transfer Note
A specimen of a material transfer note is given below.