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Storesmanagement 090821134702 Phpapp02
Storesmanagement 090821134702 Phpapp02
Storesmanagement 090821134702 Phpapp02
STORES MANAGEMENT
INTRODUCTION
STORES MANAGEMENT
STORES MANAGEMENT
NECESSITY OF STORES
STORES MANAGEMENT
NECESSITY OF STORES
STORES MANAGEMENT
NECESSITY OF STORES
STORES MANAGEMENT
FUNCTIONS OF STORES
STORES MANAGEMENT
FUNCTIONS OF STORES
8.
STORES ORGANIZATION
ORGANIZATION IS A VEHICLE TO ACHIEVE THE
PREDETERMINED OBJECTIVES. IT IS A FRAMEWORK OF
TASKS, RESPONSIBILITIES, AUTHORITIES, AND ASSCIATED
PERSONNEL.
THE TYPE OF ORGANIZATION MUST BE GEARED TO
ACHIEVE THE DESIRED OBJECTIVES EFFICIENTLY AND
ECONOMICALLY.
ORGANIZATION IS BASED ON COMMONALITY OF CERTAIN
TASKS AND SPECIALIZATION OF WORK.
IT IS AN INDISPENSIBLE MEANS TO GOOD MANAGEMENT.
A FAULTY ORGANIZATION STRUCTURE CAN SERIOULY
HAMPER ITS PERFORMANCE.
STORES ORGANIZATION
1.
2.
3.
4.
5.
STEPS IN ORGANIZATION;
1.
IDENTIFY THE ENTIRE GAMUT OF TASKS TO BE PERFORMED
2.
GROUP AND RE GROUP THE TASKS ACCORDING TO CERTAIN
WELL DEFINED COMMON CHARACTERISTICS.
3.
DEFINE AND DELEGATE RESPONSIBILITY AND COMMENSURATE
AUTHORITY.
4.
ESTABLISH REPORTING AND STRUCTURAL RELATIONSHIPS
BETWEEN ALL POSITIONS.
STORES ORGANIZATION MUST COMPRISE OF THE FOLLOWING:
OUTLINE AND COMMUNICATE TO ALL CONCERNED, THE PRIMARY AND OTHER
OBJECTIVES OF THE STORE FUNCTIONS.
DEFINE CLEAR - CUT RESPONSIBILITIES.
BESTOW APPROPRIATE AUTHORITY AND PRACTICE DELEGATION OF POWER
TO ENABLE FULFILLING THE GIVEN RESPONSIBILITIES.
ESTABLISH PROPER COMMUNICATION CHANNELS
ALLOCATE TASKS TO QUALIFIED PERSONNEL.
IN SHORT, STORES ORGANIZATION CAN BE DEFINED AS THE SYSTEMATIC
COORDINATION AND COMBINATION OF EFFORTS IN A FASHION THAT RESULTS
IN AN OPTIMUM EFFICIENCY AND MINIMUM EXPENDITURE.
STORES ORGANIZATION
TRADITIONALLY STORES FUNCTION HAS BEEN
VISUALISED AS A PART OF PRODUCTION
DEPARTMENT AND WAS NEVER GIVEN THE
ATTENTION AND IMPORTANCE IT RIGHTFULLY
DESERVED.
THE CONVENTIONAL PRACTICE IS TO LOCATE
THE STORES NEAR USER DEPARTMENTS SO
AS TO MINIMIZE MATERIAL HANDLING COST
AND ENSURE TIMELY SUPPLIES SO AS TO
ALLOW SMOOTH PRODUCTION.
THE MATERIALS DEPARTMENT IS SELDOM
CONSULTED IN ASPECTS SUCH AS STORES
LOCATION AND LAYOUT.
STORES MANAGEMENT
CENTRALISED & DECENTRALISED STORES
STORES MANAGEMENT
CENTRALISED & DECENTRALISED STORES
STORES MANAGEMENT
CENTRALISED & DECENTRALISED STORES
DISADVANTAGES OF CENTRALIZED STORE :
1.
2.
3.
4.
5.
6.
1.
2.
3.
4.
5.
6.
7.
4.
5.
6.
7.
8.
RECEIVING SECTION CAN BE OF VARIOUS TYPE. THE PROMINENT TYPE ARE DISCUSSED
BELOW:
1.
CENTRALIZED RECEIPTS: THIS IS A PART OF A CENTRAIZED STORE SET UP
WHERE ALL MATERIALS ARE RECEIVED, PHYSICALLY CHECKED, INSPECTED AND
EITHER STORED FOR DISTRIBUTION TO USERS OR ARE DIRECTLY DISPATCHED TO
VARIOUS SUB STORES ALONG WITH THE GOODS INWARD NOTE.
2.
SEMI CENTRALIZED RECEIPTS : IN THIS ARRANGEMENT THE RECORD KEEPING
PART IS CENTRALIZED AND SPECIAL, HIGH VALUE MATERIALS ARE RECEIVED
CENTRALLY. MOST OF THE OTHER INCOMING MATERIAL IS DIRECTED TO
RESPECTIVE STORES AND IS CHECKED AND VERIFIED AND GOT INSPECTED BY
THE RESPECTIVE STORES RECEIVING SECTION STAFF. THIS ARRANGEMENT
PRECLUDES THE POSSIBILITY OF BOTTLENECKS DUE TO A HEAVY WORK LOAD
ON THE RECEIVING SECTION. IT ALSO SAVES ON TRANSPORTATION COSTS FROM
CENTRAL STORES TO SUB STORES AND THEN TO THE USER DEPARTMENTS.
THE CENTRAL STORES CARRIES OUT TASK OF PREPARING AND RECORDING GIN.
3.
DECENTRLIZED RECEIPTS : THIS ARRANGEMENT ATTACHES A RECEIVING SECTION
TO EVERY STORES. THIS IS USUALLY USED WHEN THE VOLUMES OF INCOMING
MATERIALS IS USUALLY HIGH AND USERS DEPARTMENTS ARE SPREAD OVER A
WIDE GEOGRAPHICAL AREA. GINs ARE PREPARED SEPARATELY AT EACH
RECEIVING SECTION
INSPECTION :
PHYSICAL VARIFICATION IS FOLLOWED BY DETAIL INSPECTION.
WHILE PHYSICAL, QUANTITATIVE CHECKING IS A SEMI SKILLED TASK,
INSPECTION IS A SKILLED OPERATION AND CALLS FOR THE
ARRANGEMENT OF SPECIALIZED TRAINING OF PERSONNEL, PROPER
TESTING FACILITIES AND METHODS.
GOODS MUST BE INSPECTED FOR QUALITY TO ENSURE THAT THEY
ADHERE TO SPECIFICATIONS AS DESCRIBED IN THE PURCHASE
ORDER.
THE FIRST TASK IS TO ENSURE THAT THE MATERIAL DELIVERED ARE
THE SAME AS THOSE ORDERED, OF THE RIGHT QUALITY DIMENSIONS,
CHEMICAL CHARACTERISTICS, ETC, AND ARE IN PROPER CONDITION.
THE INSPECTION IS PARTICULARLY NECESSARY IN THE CASE OF RAW
MATERIALS AND COMPONENTS THAT GO INTO THE FINAL PRODUCT.
ONE OR MORE INSPECTORS OF THE INSPECTION DEPARTMENT THAT
MAY BE A PART OF THE MATERIALS DEPARTMENT GENERALLY CARRY
IT OUT.
HOWEVER IT IS DESIRABLE TO HAVE INCOMING INSPECTION DONE BY
INDEPENDENT INSPECTORS SO AS TO GIVE AN UNBIASED VIEW ON
THE QUALITY OF MATERIAL PURCHASED.
AT TIMES THE USER DEPARTMENT MAY CARRY OUT INSPECTION.
DISCREPANCIES:
a)
d)
f)
@ Rs. 10 = 3000
@ Rs. 15 = 3000
= 6000
THE VALUE OF THE CLOSING STOCK OF 400 UNITS ( I.E. SECOND LOT 600 UNITS
LESS 200 UNITS ISSUED WILL BE COSTED @ Rs. 15 I.E. THE VALUE OF CLOSING
STOCK WOULD BE Rs. 6000.
STOCK VARIFICATION
STOCK VARIFICATION
PROCESS OF VERIFICATION
STOCK VERIFICATION CAN BE DEFINED AS THE PROCESS OF
PHYSICAL COUNTING, WEIGHING OR MEASURING THE STOCK
OF MATERIALS THAT IS HELD AND MAKING A RECORD OF
THESE FIGURES.
NORMALLY PERSONNEL FROM THE ACCOUNTS DEPARTMENT
ARE GIVEN THIS RESPONSIBILITY.
SOMETIMES THE AUDITORS ( OR BANKERS TO WHOM THE
STOCK IS HYPOTHETICATED) ALSO UNDERTAKE THE
VERIFICATION OF STOCKS ON A SAMPLE BASIS ; IN ORDER TO
CHECK THE REALITY OF THE PERFORMANCE STATEMENTS.
A WELL DEFINED VERIFICATION PROCESS, CAN ALSO PINPOINT
ANY DRAWBACKS OR SHORTCOMINGS IN THE METHODS OF
STORAGE, MOVEMENT OF MATERIALS, HANDLING OF
MATERIALS, OBSOLESCENCE, ETC.
A REGULAR VERIFICATION PROCESS ENSURES THAT THE
SYSTEM AND PROCEDURES LAID IN THE MANUAL ARE
ADHERED TO.
PROCESS OF VERIFICATION
PHYSICAL VERIFICATION OF STOCKS STARTED OFF AS A PERIODIC
EXERCISE, USUALLY COINCIDING WITH THE ANNUAL ACCOUNT
CLOSING, UNDER THE DIRECTION OF ACCOUNTS DEPARTMENT.
THIS PROCEDURE ACTING AS A POSTMORTEM EXERCISE, CAN STOP
THE NORMAL FUNCTION OF THE PLANT TOWARDS THE YEAR END, IF
THE NUMBER OF ITEMS ARE LARGE.
SINCE THERE IS AN URGENCY FOR QUICK COMPLETION, THIS MAY
LEAD TO AN INEFFECTIVE VERIFICATION PROCESS.
TO OVERCOME THIS DIFFICULTY, MATERIALS ARE CHECKED
THROUGHOUT THE YEAR AND VERIFICATIONS ARE SO STAGGERED,
THAT ALL MATERIALS ARE COVERED IN A YEAR.
IT WILL BE ADVANTAGEOUS TO COVER THE HIGH CONSUMPTION
VALUE A ITEMS MORE THAN THE OTHER ITEMS IN THIS PERPETUAL
CONTINUOUS SYSTEM.
THE VERIFICATION PROCESS, WHETHER PERIODIC OR PERPETUAL
SHOULD BE THOROUGH, OR WELL ORGANISED WEIGHING AND THE
UNIT OF MEASUREMENTS MUST BE CONSISTENT AND THE MEASURING
INSTRUMENTS MUST BE PROPERLY CALIBRATED, SO THAT MEASURING
ERRORS ARE MINIMAL.
CARE SHOULD BE TAKEN TO AVOID DOUBLE COUNTING, OVERLOOKING
ITEMS KEPT AT OLD PLACES, WITH ANCILLARIES AND IN TRANSIT,
ETC.
PROCESS OF VERIFICATION
THE PROCESS OF PHYSICAL VERIFICATION CAN BE COMPLETE ONLY IF
NECESSARY FOLLOW UP ACTION IS PLANNED.
AFTER TABULATION OF PHYSICAL STOCK, ATTEMPTS SHOULD BE MADE
TO RECONCILE WITH BOOK BALANCE, INDICATING OPERATING STOCK
PLUS RECEIPT MINUS ISSUES.
IT IS VERY COMMON THAT THE TWO SETS OF FIGURES FOR EACH
ITEM MAY NOT TALLY AND HENCE THE PROBLEM ARISES IN STORES
MANAGEMENT.
A DETAILED INVESTIGATION IS CALLED FOR, IF THERE ARE MAJOR
DIFFERENCES PARTICULARLY IN HIGH VALUE ITEMS, TO AVOID
RECURRENCE OF THE SAME IN FUTURE.
USUALLY, ORGANISATIONS FIX UP LIMITS FOR DISCREPANCIES AND
DISCREPANCY VOUCHERS ARE SIGNED BY THE APPROPRIATE
AUTHORITIES.
HOWEVER, STOCK VERIFICATION SHOULD NOT BE PERCEIVED AS A
WITCH HUNTING PROCESS AND STORE PERSONNEL MUST BE
INVOLVED IN THE EXERCISE.
THE ORGANISATIONS WILL GAIN, IF THE STORES PERSONNEL ARE
MOTIVATED BY A PROPER DEVELOPMENT OF THE ATMOSPHERE,
CULTURE AND VALUE SYSTEMS.