AV-PR-SOP-002 Purchasing

1 Purpose:
This procedure is written to establish and maintain a documented procedure for the purchase of Raw Materials, Packaging Materials, Services, Engineering Components, Manufacturing Equipment and Accessories

2 Scope:
This procedure is applicable to the purchase of Raw Materials, Packaging Materials, Services, Engineering Components, Manufacturing Equipment and Accessories.

3 Responsibility:
HOD Commercial
Purchase Officer

4.Definition:
Raw Material
A material, which is used during the process of manufacture of finished product which may or may not be an active ingredient of the finished product.

Packaging Material
A material used for packing of the finished product which may or may not be in direct contact with the finished product, such as foils, monocartons, shipping cartons etc.

R & D Materials
Materials or chemicals purchased and used for the purpose of experiments, product or process development.

R&D Equipment
Any equipment or accessory or an instrument purchased and used for the purpose of experiments, product or process development.

Services
Calibration services, Pest Control services, Diesel Generator, Air Compressor & Chiller service, Consultants (Technical, Training), Fire services, transportation etc.

Engineering Components
All components or accessories used on equipment used for manufacturing processes only.

Manufacturing Equipment and Accessories
All equipment used in direct manufacture of the finished product.

Raw Material & Packing Material Purchase
A Rolling Production Plan is received from the marketing department for three prospective months at end of every month, which forms the basis for quantification of Raw material and Packaging material requirements

Based on the “Production Plan”, the Head Commercial or designate finds out the supplier or vendor for a given raw or packaging material as per the procedure AV/PR/SOP/003. Commercial terms and conditions are sent to the supplier separately and are updated whenever
changed

Services
The selection and authorization for following services is by the technical person of the concerned department:
• Pest Control Services
• Diesel Generator Maintenance
• Air compressor & Chiller Maintenance Services
• Fire Fighting and other Safety Services
• Truckers or Transporters
• Calibration Services
• Consultants on technical or regulatory matters
• Training
The Commercial Head’s responsibility is limited to commercial issues and documentation only for all of the above.

Engineering Components
The Maintenance Head is responsible for the Technical Specifications and Engineering drawings .The Indent is raised by Maintenance Head or designate and it is authorized by Unit Head. The Commercial Head’s responsibility is limited to commercial issues and documentation only.
Manufacturing Equipment and Accessories
Maintenance Head is responsible for the Technical Specification and Engineering drawings .The Indent is raised by Production Manager or designate and it is authorized by the Unit Head. The Commercial Head’s responsibility is limited to commercial issues and documentation only

R&D Materials and/or Equipment
There could be circumstances based upon development needs; to purchase materials and/ or equipment not listed in “Approved Vendor List” for the purposes of experiments towards continual improvement or product or process development. The Indent (PR) shall be raised by the requester and approved by the Unit Head. The Commercial Head is authorised to purchase materials not listed in the “Approved Vendor List” once the PR received clearly indicates that the material is for R&D use or “Trial Purposes” only