The company normally does the purchasing of basic raw materials for manufacturing of the product on the recommendation of buyer. Although these suppliers are recommended by the buyer but if possible the company evaluates them before making a purchase from these suppliers. The suppliers to the company are evaluated for any supply of material/service to company by the Managing Director who approves the supplier. A list of approved suppliers is always maintained with the company in the merchandising dept. Their performance is always monitored and reevaluated after every one year. When and if required a supplier’s name is included in the list of approved suppliers if the supplier’s products fulfill company’s requirement. The company normally does some purchasing on cash.
Local Purchase on Cash
On receiving the requisition from any dept., the purchase officer verifies the requisition in store for the availability of the particular material and if the required material is not available in the store, work order/ purchase order form is issued. The work order/ purchase order gives detail of the product to be purchased including its compliance with companies requirement regarding QMS, approval of product. GM prepares the work order/ purchase order and the Managing Director or any Director approves it.
On finalization of order sheet the company opens BB L/C for different suppliers. Merchandizing dept. gives detail of L/C to the commercial dept. Who opens the L/C. The L/C gives full detail of purchasing including product, quantity, shipment date, packaging and mode of payment. The L/C gives details including its company’s requirement regarding QMS, approval of product.
Verification of Purchased Product
The products which are bought from overseas export garments fabric and accessories from the manufacturing of garments is inspected and tested by the manufacturer themselves. They sometime provides an inspection certificate of the product. The product on arrival all the factory premises is only checked for quantity initially. But at the start of the production the fabrics are checked for any fault using fabric checking machine. If any problem is found, it is reported to the supplier. Records of fabric checking of any order are maintained by quality control department. On receiving of the purchased product, the material is sent to the store. The store officer with General Manager draw sample from the material and make a swatch card which is approved by the customer or his representative certifies it as OK on Swatch Card. Sometimes the products are verified at the supplier’s premises also. Prior arrangement is made for such Verification Company and supplier. Record of Quality certificate is maintained in Purchasing/ merchandising department.