Purchasing Management

Procurement Management:

Purchasing management consists a group of application that controls purchasing of raw materials, spare parts and Accessories needed to build products and that controls the inventory. It also helps creating Purchase orders.

Process Flow:

• Requisition Approval
• Create Purchase Order and
• Receipt of Goods and inspection.

1. Requisition Approval

• After Requisition from planning Department, depending on approval by the organization, the requisition is routed to an approver.
•  In the paper process it is visually evaluated, signed and forwarded to the purchasing department.

 2. Purchase Order

• A purchase order is generated after approval.
• In this process, Procurement department Negotiate with supplier on basis of purchase requisition and provide them order.

3. Receipt of Goods and inspection:

• After getting Goods, procurement Department Receipt the goods and inspect the goods.
• After inspection any default arise in the goods they return that’s goods to the supplier, if not, they send the goods to the inventory department.

ESSENTIAL REPORT:

Planning Management: It includes following functions

Process Flow:

• Procurement planning
• Production planning

    Process Description:

1. Procurement planning:  

• Create Purchase Requisition on Basis of Purchase order, advance forecasting and Production.

• Requisition is created to procure goods from a supplier.
• We procured raw material such as (Yarn, Chemical and Dyes), Spare parts and Accessories.
• Raw materials are procured on basis of Purchase order and advance forecasting Report.
• Spare Parts and Accessories are procured on basis of production.

1. Production Planning:

• .On the basis of Order sheet, they planned production.

ESSENTIAL REPORT:

Inventory Management

1. Receipt of Goods

Process flow:

• Goods receipt with reference to a purchase order or style no.
• Goods receipt with reference to a delivery.
• Other goods receipts (without reference) for example loan raw materials/goods.

Process description:

• Inspection of the goods received by the responsible section against the specification and quantity shown in the purchase orders for generating MRIR report.
• Reporting any goods in excess, short delivery or defective goods to the procurement unit.
• Updating the inventory movement records according to the certified receipts.

2. Issue/Delivery of Goods

Process flow:

• Raw material/goods issue for production.
• Delivery of goods to customers/buyers.

Process description:

• Raising requests for issue of inventory items using the standard request form (SIR) by user.
• Justification of requests for issue by Supervisor.
• Issuing stocks according to the request forms.
• Delivery of finished goods against the sales order, partial delivery also allowed for single order.

3. Work in Process (WIP)

Process flow:

• Warping
• Beaming
• Dyeing & Sizing
• Weaving
• Finishing
• Inspection

Necessary report or forms needed for inventory