Page 216 - DMGT523_LOGISTICS_AND_SUPPLY_CHAIN_MANAGEMENT

Unit 9: Warehousing

When the materials are despatched for an outbound delivery, a packing slip (format is shown in Notes
Figure 9.9) is prepared, which is added to other documents on despatch. Its purpose is to identify
the items packed at the receiver’s end. In case of any discrepancies, it facilitates the consignee to
check the contents and inform the consignor if there are any discrepancies.

Figure 9.10: Summary of Stores Procedures for Receipts and Issues

Source: Upendra Kachru, (2010), “Exploring the Supply Chain,” Excel Books
Figure 9.10 summarizes the procedures for receipts and issues in Stores. It provides a flow chart
from the time the purchase order is issued to the time that goods are issued. In brief, the basic
requirements of documentation related to receipt and issues in store should be as follows:
Receipt of Stores has to put in place adequate physical safeguards in the goods receipt procedure;
properly document and account for each goods receipt voucher; establish policies and procedures
for handling exceptional matters of goods receipt; and establish written procedures for lodging
claims for supply and delivery problems.

Issue of Stores has to properly document and account for all delivery vouchers; issue store items
on a consistent basis; and properly controls the issue of goods e.g. check the voucher authorizations
against a record of specimen authorized signatures.
The ultimate requirement of stores documentation is to ensure that goods are received, checked,
stored, delivered and returned in a consistent manner.

Self Assessment

State whether the following statements are true or false:

5. Stores functions focus on the physical movement and storage of goods and materials.
6. The procedures for receipt start after the time the material reaches the plant.
7. The receipt of stores is a follow-on activity to a purchase order.

8. The GRN does not specify the circulation, supplier’s name.

LOVELY PROFESSIONAL UNIVERSITY 211