Scribd
Upload
28 views5 pages

S.No. Topic: 1 Business Process 2 Purchase Department 3 Purchase Team 4 Type of Purchase

The document outlines the purchase process for a company. It includes details on the purchase department, types of purchases, material types, vendor types, payment terms, inventory levels, taxes, and the overall procurement process from requirements planning to vendor payment. Key steps include branches submitting monthly requirements, compiling requirements and checking stock, generating a production plan, preparing purchase requisitions for shortages, obtaining quotations, approving vendors and purchase orders, receiving and inspecting materials, and accounting and paying for items.

Uploaded by

Veera Mani
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd
28 views5 pages

S.No. Topic: 1 Business Process 2 Purchase Department 3 Purchase Team 4 Type of Purchase

The document outlines the purchase process for a company. It includes details on the purchase department, types of purchases, material types, vendor types, payment terms, inventory levels, taxes, and the overall procurement process from requirements planning to vendor payment. Key steps include branches submitting monthly requirements, compiling requirements and checking stock, generating a production plan, preparing purchase requisitions for shortages, obtaining quotations, approving vendors and purchase orders, receiving and inspecting materials, and accounting and paying for items.

Uploaded by

Veera Mani
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd
You are on page 1/ 5

PURCHASE

S.No. Topic

1 Business Process

2 Purchase Department

3 Purchase Team

4 Type of Purchase

5 Material Type

6 Vendor type

7 Vendor Payment Terms

8 Freight

9 MRP

10 Printout formates maintained

11 Supplier registeration

12 Supplier evaluation

13 Reorder level notification

14 PO Approval : Based on value - multiple

15 Maximum level / Minimum Level inventory

16 Taxes

S.No Procurement Process


1 Branches release their requirement every month end to Head Office. When release the requirements, branches con
current stock.
2 Head office production incharge receive the branches requirement.
3 Process and Planning (PPC) department compile all the requirements and check the current stock availability in the F
4 After checking the current stock availability, They should minus the available stock in the requirements
5 Finally production head generate the production plan
6 Finalized production plan should circulated to stores and production team
7 Stores team check the rawmaterial and consumable against the production plan.
8 If any stock shortage or non availability found by stores, they should prepare the purchase requisitions
9 Purchase requisition for the production plan should circulated to MD/In-Charge
10 Once MD/In-Charge give the approval, purchase team should initiate the purchase process
11 Purchase team request the quotation from the approved vendors for the requirements. If any new vendor, purchas
12 Vendors send their quotations. By comparing the quotations purchase team finalize the vendor with best price and t
13 If any negotiation required, again quotation comparison process initiated
14 Once get the MD approval, purchase team release the Purchase order to the fixed vendor
15 Direct purchase also maintained
16 In some cases purchase order amendment should carried out for quantity/Price/Delivery date
17 Purchase team sending remainder to the vendor with respect to the purchase order for on time delivery
18 Some time purchase order cancellation could be there
19 As per purchase order or direct purchase, materials send by the vendor and the same getting inside the production p
20 Materials are received inside the inward area and carried out the inspection as per purchase norms. Gate Inward pro
21 Once the inspection is completed then the material is accounted by stores team and placed the material in respectiv
22 In case of any quality issue or quantity shortage, information should shared to vendor and if necessary debit note pro
23 Some time Purchase return process should carried out with respect to the material inspection with proper approval
24 Service related purchases required by production or other departments. By getting the approval from MD, further pr
25 After finishing the service, service invoice collected from service vendor and the same forwarded to the finance team
PURCHASE
AS IS Process

PURCHASE

Purchase In-Charge -MD

Material / Service
Through PO / Direct purchase is there

Raw material
Master batches
Packing cover
Baby Carton boxes
Consumables
Fastners
Spare parts
Stationeries

Domestic Vendors, Import vendors

immediate,advance payment, credit days 30,60,90

Topay / Paid

No existing in system. To be maintained in Bydesign

Purchase Order, Goods Receipt,Debit Notes,Credit Notes

Approved supplier as per company norm

Evaluating the supplier by their supplying material quality,quantiy, delivery schedule

Required in Bydesign

Required in Bydesign

Required in Bydesign

18% etc.,

very month end to Head Office. When release the requirements, branches considering the past three months sales and movement of the
ve the branches requirement.
nt compile all the requirements and check the current stock availability in the FG stores
bility, They should minus the available stock in the requirements
production plan
lated to stores and production team
d consumable against the production plan.
y found by stores, they should prepare the purchase requisitions
on plan should circulated to MD/In-Charge
, purchase team should initiate the purchase process
from the approved vendors for the requirements. If any new vendor, purchase team should evaluate the vendor
mparing the quotations purchase team finalize the vendor with best price and the same should go the MD approval
tation comparison process initiated
team release the Purchase order to the fixed vendor

ment should carried out for quantity/Price/Delivery date


he vendor with respect to the purchase order for on time delivery
n could be there
ase, materials send by the vendor and the same getting inside the production plant
rd area and carried out the inspection as per purchase norms. Gate Inward process should carried out while receiving material.
n the material is accounted by stores team and placed the material in respective location. Also the supplier Invoice copy shoud handover t
shortage, information should shared to vendor and if necessary debit note process shoud be initiated by accounts with proper approval f
ould carried out with respect to the material inspection with proper approval from MD
production or other departments. By getting the approval from MD, further proceeding should carried for service purchase
oice collected from service vendor and the same forwarded to the finance team with MD approval for payment process.

You might also like

pFad - Phonifier reborn

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


Alternative Proxies:

Alternative Proxy

pFad Proxy

pFad v3 Proxy

pFad v4 Proxy