DAYALBAGH EDUCATIONAL INSTITUTE,DAYALBAGH
SEMINAR ACW 201On Purchasing Procedure ,Sales
Record , Valuation Of Inventory
Presented By:Saiyam Jain142048
ISO 9001:2008 Purchasing procedures under ISO 9001 ensure that purchased materials meet the requirements of the purchaser and the final customers.
OrganizationDocumentationSupplier QualificationMaterial InspectionNon-conforming ItemsCorrective ActionContinuous Improvement
Purchase Procedure1. Receiving
Purchase Requisition
2. Selection of Sources of Supply
3. Placing the Orders
4. Receiving & Inspection of Materials
1.Receiving Purchase Requisition
Received from - Store-Keeper for
Regular Items - Production
Departments for Special Material
- Maintenance Department for material needed for repairs & maintenance
- any Departmental Head like Marketing Manager, Finance Manager etc.
Specimen of Purchase Requisition
ABC castings Ltd., Jain & Brothers Co .Limited MG Road, AGRANo. 0012Date Required: 15/4/15 Purchase Order No.005
Item No. Code No. Description Qty Remarks
Requisitioned by: Approved by:
2.Selection of Sources of Supply: Steps Involved
a. Inquiry for Tenders & Quotations
b. Receipt of Quotations & Tenders
c. Comparison of Tenders Received
d. Selecting the Best Source
Serial No.
Name of the Supplier
Quantity
Price Terms of Delivery
Other Terms
Remarks
ABC COMPANY LIMITED Comparative Statement of QuotationsTender No……………….Name of Material……..
3.Placing the Ordera. Purchase Order :
5 copies to- -supplier - retained by
purchase department
-department initiating purchase
-Receiving Department
- Finance Department
b. Follow-Up
Specimen of Purchase Order ABG Casting Limited MG Road, Mangalore-3 PURCHASE ORDERNo. Date:Quotation No. Purchase Requisition No.
To Ltd., Bombay
Dear Sir, Please supply the following as per terms and conditions contained In your quotation number as mentioned above.
Sl.No.
Qty Description Price/Unit Total Remarks
Purchase Manager
4.Receiving & Inspection of Material
Unloading the material Unpacking Checking the number of units, weight,
measure, quality as per Purchase Order
Reporting the Shortage and Breakage Preparing Material Inspection Note and
Goods Received Note Sending MIN to Supplier & Stores Dept Sending GRN to Purchase Dept,
Accounts Dept, and the Dept requiring the Material
Material Inspection Note ABG Casting Limited,
M.G. Road,Mangalore-3
Material Inspection NotePurchase Order No. Date:Inspection Note No. Date:
Sl.No
Description Qty
QuantityRemarksInspecte
dAccepte
dRejected
Inspected by:
Goods Received NoteABG Castings Limited,
MG Road, Mangalore-3
Goods Received Note No: Purchase Order No:Date: Date:
Received from M/s Thermax Limited, Bombay under their Invoice No. TH 567230 dt……. The following:
Sl.No
Description
Stock Code No.
Quantity Rate Amount
Condition of Goods:……………………. Posted in Stores Ledger:……………..Posted in Bin Card:……………………… Remarks…………………………………...
Stores Control: Functions of Stores Department
Preparing Purchase Requisitions Receiving Goods into Stores Proper Storage of Goods Avoiding Damage & Deterioration Classification and Coding of Material Issue of Material Maintaining Stock records Maintaining Different levels of Stock Stock Verification at Regular Intervals
Specimen of a Bin Card Bin Card Description Bin No. Stores Folio No. Code No. Location Code. Unit: Maximum Level : Minimum Level: Reordering Level: Reordering Quantity:
DateReceipts Issues Balance
RemarksGR No. QTY MR No.
Qty Quantity
Entered by: Authorised by:
Specimen of Stores Ledger
STORES LEDGER Description… Code No….. Maximum Level…Location Code No…….. Unit…. Minimum Level……..Re-order Quantity….. Re-order Level….
Date
Receipts Issues Balance
GR No Qty Rate Amt MR No
Qty Rate Amt
Qty Rate
Amt
Valuation Of Material Issues
Materials issued from the stores are debited to the jobs or work orders which received them and credited to materials account. These jobs are debited with the value of material issued to them. While placing it to the processing plant its cost must include:
Invoice price less trade discount
The freight ,cartage, octroi etc
Expenses of purchase, storing ,record etc
Name of the Method Feature
FIFO First In First Out
LIFO Last In First Out
HIFO Highest In First Out
AVERAGE COST Amount/Units
INFLATED PRICE Highest Than Actual Price
SPECIFIC PRICE Price Discrimination
BASE STOCK Cost Price Of First Lot
Standard Price Predetermined Price
Market Price Market PriceRealizable or Replacement price