depot operation manual - bsbcl mannual.pdf15 maintenance of depot storage loss register at depots 19...

Depot Operation Manual

Table of contents

Sl No Contents Page no

1 Introduction 1

2 Terminology used 2

3 Maintenance of Registers 3

4 Receipts of OFS/TIO/TOO 4

5 Inward Activities:- A. Receipt of goods from suppliers 5-7

6 B. Goods coming in from other depots as stock transfer (TIO) 8-9

7 Inward Register Maintenance 10

8 DD Receipt Register 11

9 DD Deposit Procedure 12

10 Out ward Activities: A. Cash sale i.e. sale of goods to retailer. 13-14

11 B. Goods going out of depot to another depot-Inter depot transfer 15

12 Maintenance of Out Ward Register 16

13 Depot Storage Loss 17

14 Verification of Storage Loss/ Transit loss 18

15 Maintenance of Depot storage Loss Register at Depots 19

16 Stock Register 20

17 Checking of Stock Register 21

18 Maintenance of Retailer’s Register 22

19 Stock Verification 23

20 Accounting Impress Cash 24

21 Scrap Disposal 25

22 Security 26

23 Rectification of Entries 27

24 Job Assignment at Depot. 28

25 List of Annexure (1-19)

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Introduction

‘Bihar State Beverages Corporation Limited is’ the sole wholesale agent

for sale of all kinds of liquors in the state of Bihar. The trading activities of the

corporation is carried through its depots located in various districts of Bihar.

The main activities at the depots can be categorized as

a. goods coming in

b. goods going out

c. present stock

The activity a and b must be authorized by competent authority. We shall deal with

these activities and the issues involved in it, separately.

Apart from the above three basic activities, some more activities are to be

maintained in any depot and these are administrative activities, i.e. maintenance of

attendance, leave register, etc; and financial activities, i.e. meeting the local

emergency needs, security, maintaining and recording of movement of vehicles

coming in to supply stock and going out from depot with sold/ transferred stocks.

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Terminology used

Sl No Term Details of term Activities To raised by 1 OFS Order for supply Supply of stock to depot

from Mfr/Supplier

H.O. under signature

of G.M. Operation

2 TIO Transfer in order Supply of stock transferred

from another depot.


of G.M. Operation

3 TOO Transfer out order Supply to another depot

from this depot


of G.M. Operation

4 MIS Material inward Slip When stock comes in from

Mfr/Supplier to depot

Depot level

5 TIS Transferred in slip Material coming in from

other depot as stock transfer

Depot level

6 TOS Transferred out slip Material going out from

other depot as stock transfer

Depot level

7 BL Bulk Litre

8 LPL London Proof Litre

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Maintenance of registers

Following registers are to be maintained in the depot for smooth operation

Sl.

No.

Details of register No of

register

Format

as

annex

Remarks Maintenance

Frequency

Transaction

Upload

Frequency 1 2 3 4 5 6 7

1 OFS Receipt Register 1 1 Computerized Daily Daily

2 TIO Receipt Register 1 2 Computerized Daily Daily

3 TOO Receipt Register 1 3 Computerized Daily Daily

4 Inward Register for

MIS And TIS

1 6 Computerized Daily Daily

5 Inward Ledger for

MIS* And TIS*


6 DD receipt register 1 8 Computerized Daily Daily

7 Bank Deposit register 1 9 Manually Daily Daily

8 Outward Register for

Invoice & TOS


9 Outward Ledger for

Invoice* & TOS* 1 11 Computerized Daily Daily

10 Transit Loss Register 1 12 Computerized Daily Daily

11 Depot Storage Loss

Register


12 Stock Register * 1 14 Computerized Daily Daily

13 Retailer Ledger 1 15 Computerized Daily Daily

14 Scrap Disposal

Register

1 16 Manually As and when

required

Daily

15 Gate pass for goods

out

1 17 Manually Daily Daily

16 Gate Log Register for

goods coming in

1 18 Manually Daily Daily

17 Godown log book 1 19 Manually Daily Daily

* Manufacturer/ supplier wise

Note: - All Registers are to be maintained BOTH in ELECTRONIC &

PRINT-OUT VERSIONS.

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Receipt of OFS/TIO/TOO

Objective

To record all the OFS, TIO and TOO received and complied with

To be followed every time the advice is received from H.O. (Practically

Daily)

Procedure

1. You will receive Order for supply (OFS) / Transfer In Order (TIO) from H.

Q. through email or direct on line through web

2. Attach the data send through email to receive OFS / Transfer In Order

(TIO) and Transfer Out Order (TOO) in depot computer or direct on line

through web.

3. Three registers known as OFS/TIO/TOO Receipt Registers, will be

maintained in a format given in Annexures- 1, 2 and 3 respectively.

4. Every day, a print out of the above mentioned Registers will be taken out

from the computer and after verification & cross verification by Inward

Assistant and Depot Manager, copy of it will be duly preserved in an index

file, henceforth to be known as OFS/TIO/TOO Receipt Registers.

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Inward Activities

A. Receipt of goods from suppliers

1. Objective

Here the main objective is to document receipt of goods from suppliers. It

is to be followed for each sales invoice received from the supplier.

Procedure

2. Verify the documents submitted by the supplier. The supply shall be

accompanied by

(i) Sales invoice of the supplier clearly quoting the OFS No. (Tally the

copy of the OFS sent to you by H. Q.)

(ii) Original copy of the OFS quoted in the sales invoice;

(iii) A copy of the Transport Permit issued by the Excise department;

(iv) A copy of the lorry receipt (L.R. or R.T.)

(v) Details of duty paid for dispatch of goods

(vi) No of cases as per the invoice.

(vii) Certificate of short-supply.

3. In the absence of any of the documents or in case of any discrepancy, do not

unload the supply and contact H.Q. and obtain permission from H.Q. through

phone backed up by e-mail/ Fax/ Courier.

4. Confirm that the OFS is signed by the General Manager or authorized person.

5. Verify that the manufacturer has raised one sales invoice for each OFS.

6. Confirm that the rates indicated for the items dispatched are the same as in the

OFS. No other charge like permit fee, handling etc shall be allowed.

7. The supply should have been received in the depot before the expiry of the

validity or extension of validity.

8. If the consignment reaches the depot after the expiry of validity date of

OFS/TOO, the Depot Manager will contact G.M. (H.O.) and after receiving

oral approval, the consignment will be taken in. A written approval from H.O.

for same shall be sought by the Depot Manager.

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9. If any other condition in the OFS is not satisfied, obtain written permission

from the Head Office to waive the requirement.

10. Prepare a draft Material Inward Slip (MIS) to include all the items shown as

dispatched in the sales invoice.

11. Print draft MIS and proceed for unloading.

12. The draft MIS, recording the time and date of preparation, acts as an unloading

slip and forms an important document for verification at a later stage. Hence do

not resort to unloading without the draft MIS.

13. Confirm that the manufacturer has furnished details of batch no. & excise label

numbers of the bottles on the cartoon box (as sticker or a rubber stamp) in the

following format.

14. The format of MIS is annexed as annex…4

15. If the supplier consistently defaults in furnishing these details inform the Head

Office, seek instructions.

16. Unload items, Note down the actual items received, their quantity, breakage,

shortage, hairline cracks, the number of consignment (their excise label

numbers) and Batch No in the Draft MIS.

17. The Draft MIS is to be signed by the person unloading the consignment

(inward assistant) and the depot manager.

18. Obtain the signature of the transporter (the lorry driver) in the draft MIS as a

token of acceptance of the number of damage/leakage/shortage etc.

19. Report any abnormal increase in transit damages to the Head Office.

20. Segregate broken bottles and separate the neck of these bottles and store the

necks and leaked bottles appropriately for verification by company’s

representative and internal auditor. For this purpose, the depot shall have

separate drums/containers prominently marked (like Transit Damages 180 ml

etc.), where the necks of bottles are separated and stored.

Supplies to the BSBCL

Name and address of the distillery

Excise adhesive label numbers

From

To

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21. The glass scrap and the neck shall be disposed off as detailed in the chapter on

Accounting for transit/storage losses.

22. Reopen the draft MIS. Enter the actual items received, their quantity and the

excise label numbers/Batch No. of broken and missing bottles.

23. Dispatch the first copy of the MIS duly signed by the Depot Manager to the

supplier through the transporting agency. EVC (Excise Verification Certificate)

duly signed by Excise Official/Depot Manager be sent to the H.O. where from

it will be handed over to the supplier concerned.

24. File all documents (generated documents second copy of the MIS and excise

verification certificate and documents received-copy of OFS. sales invoice,

transport permit lorry and duty paid details) in a proper order (Date wise).

25. At the end of the day, take a print out of Inward Register from the computer;

verify all its entries from draft & final MIS and the same sheet shall be

maintained as Inward register duly signed by the Inward

Assistant/Accountant/Depot Manager.

26. Depot managers are not empowered to receive when upward variation/

deviation occurs.

27. All documents are to be signed by the person performing the activity i.e.

inward assistant, accountant and the depot manager.

28. Any variation/deviation is to be reported to GM (Operation). Acceptance of

material can be done with variation/deviation only after receiving authorization

from the Head Office.

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Goods coming in the depot as inter depot transfer from other depot

1. Objective

To document receipt of goods from other depots through a Transfer In

Order (TIO) issued by the Head Office.

Procedure

1. Verify if the Head Office has placed a TIO for the receipt of material form

the depot concerned. If no TIO has been placed, obtain necessary

clarifications from the Head Offices.

2. The goods sent by the transferring depot shall be accompanied by

(i) A copy of the Transfer out Slip (TOS) generated by the dispatching

depot;

(ii) The Transport permit issued by the Excise department; and

(iii) A copy of the lorry receipt.

3. In the absence of any of the documents, obtain the advice of the Head

Office in the usual manner.

4. If any other condition in the TIO is not satisfied, obtain permission from

the Head Office to waive the requirement. Quote permission details in the

narration column.

5. Prepare a draft Transfer In Slip (Annexure 5) to include all the items

shown as dispatched in the TOS.

6. Print draft and proceed for unloading (by Inward Assistant)

7. The draft acts as an unloading slip and forms an important document for

verification at a later stage. Hence do not resort to unloading without the

draft.

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8. Unload items. Note down the actual items received, their quantity, the

number of broken bottles and their excise label numbers, Batch number and

the number of missing bottles in the consignment (and if available, their

batch no. & excise label numbers) in the draft.

9. Separate the neck of bottles and store appropriately for verification. For this

purpose, the depot shall have separate drums/ containers prominently

marked (like Transit Damages 180 ml etc.), where the neck of bottles are

separated and stored.

10. Obtain the signature of the transporter (the lorry driver) in the draft as token

of acceptance of the number of broken/ missing bottles.

11. Report any abnormal increase in transit damages to the Head Office.

12. The draft is to be signed by the person unloading the consignment (Inward

Assistant) and the Depot Manager.

13. Reopen the draft TIS. Make corrections to capture details of the actual

items received, their quantity, batch number and the excise label numbers

of broken and missing bottles.

14. Convert the draft TIS into final TIS (annexed as TIS), print two copies and

sign them.

15. Print Excise Verification Certificate. with the signature of Excise officials/

Depot Managers.

16. Dispatch the first copy of the TIS to the supplier through transporter.

17. File all documents (generated document- draft TIS (with correction), Final

copy of the TIS and excise verification certificate and documents received

copy of TOS, transport permit and lorry receipt) in a proper order.

Authorization

1. Depot manager are empowered to receive if no variation / deviation occurs.

2. All documents are to be signed by the person performing the activity i.e.

Inward Assistant, Accountant and the Depot Manager.

3. Any variation/ deviation to be reported to GM (Operation-I). Acceptance of

material can be done with variation/ deviation only after receiving

authorization from the Head Office.

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Inward Register Maintenance

1. A computerized Inward Register and Inward Ledger shall be maintained as

per the format given in annex-6 and annex. -7

2. The ‘Inward Register’ will show the MIS/TIS wise detail. While the

‘Inward Ledger’ will show manufacturer wise MIS/TIS details.

3. An Assistant designated by Depot Manager as Inward Assistant will

be responsible for undertaking all inward activities viz. MIS & TIS.

Primary checking of all postings in MIS/TIS will be his

responsibility.

4. All shortages & breakages, hairline cracks found while taking

delivery shall be entered in Transit Loss Register and their sealed

necks should be preserved in a separate earmarked container.

At the end of inward activity for the day, the Inward Assistant

should check all the entries in the Inward register with the entries of

individual draft and final MIS/TIS. Further, the consolidated figures

of the Inward Register will be cross verified with the figures of the

‘Inward Ledger’.

5. After the verification by the Inward Assistant, cross checking of

the same shall be the responsibility of Accountant and Depot

Manager.

6. After being assured about the postings in the Inward Register, same

shall be signed by Inward Assistant, Accountant & Depot Manager.

And the copy shall be preserved in an index file to be known as

Inward Register for MIS & TIS.

Note: - Damaged and missing bottles should not be entered in Inward Register &

Inward Ledger.

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DD Receipt Register

1. Objective

Here the main objective is to receive, acknowledge and account for

Demand Drafts received from the retailers. It is to be followed for the

Demand Drafts received from a retailer on a particular day.

2. Procedure

3. Verify the demand draft presented by the buyer.

(i)The draft shall not be more than three months old;

(ii)It shall be dated and signed by an official of the issuing bank;

(iii)It shall be issued by a scheduled bankThe amount mentioned in words

and figures shall be identical and

4. The instrument shall not be mutilated and the Demand drafts be payable at

the respective places of collection (i.e. where the depot is located; no

outstation Demand Drafts shall be accepted).

5. DD should be against a particular shop, i.e., if any retailer has a license for

more than one shop then he should specify a shop name and number against

which the DD is to be credited.

6. Draw a receipt for the D.D received.

7. Print the receipt and give the first copy to the buyer and file the other copy

for record.

8. At the end of the day the accountant will take out a computerized copy of

DD Receipt Register maintained in format as per format in Annexure 8.

9. All the entries in the register viz. DD. No. /DD Date/ Bank Name/ Shop

Name/ Amount will be verified from the individual draft received by the

accountant. Any discrepancy found in the register entries should be

immediately reported to the Head Quarter for rectification by the depot

manager.

10. A cross verification of the same will be done by the Depot Manager.

11. The verified page after signature of Accountant & Depot Manager will be

preserved in an index file to be known as ‘DD Receipt Register’.

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DD Deposit Procedure

1. After the verification of ‘DD Receipt Register’ the Depot accountant will

make bank wise bunch of DD for depositing them in respective banks .

2. A copy of the list and the instrument shall be handed over to the

collecting bank and an acknowledgment obtained. And the details of DD

deposit will be entered in Bank Deposit Register maintained in the

format given in annexed -9.

3. Ensure that the instrument received on a day is deposited in the bank

before 10.30 am on the next day. This is to ensure that the instrument

collected on a day get into clearing the next day it self. Any delay in

depositing the DD will be sternly dealt with.

4. Contact the bank if there is any delay in crediting the amount in account

and find the reason. This is to be done every day by the depot

accountant.

Repeated delays should be intimated to Head Office with the reason

stated by the bank

5. The list of Banks authorized to collect Demand Drafts from various

depots will be published periodically

6. Depots manager are authorized to sign the receipt of instruments.

Of 28.

Out ward Activities

Two kinds of outward activities are performed at the depot –

(a) Sale of goods to retailers

(b) Inter depot transfer (stock transfer)

A. Cash sale i.e. sale of goods to retailer.

Objective

The main objective is to record sales of goods to retailers effected in the

depot.

Procedure

1. Check the authenticity of the retailer/retailer's agent from his pass book.

The retailer should also bring the transport permit from excise department

If depot in charge is not satisfied, he Shall not accept any draft towards

payment of consignment.

2. Create a draft invoice as per the retailer’s demand. Draft Invoice is just like

sales invoice but without gate pass with a correction column of quantity. It

will also have the credit balance of the DD deposited and Credit note

balance. This contains details of items requested by the buyer and indicates

the amount that has to be received.

3. The draft invoice, unless finalized, does not affect the stock and sales

transactions. The buyer does not get any right of stock and it (the stock) is

not reserved in favour of the buyer with the preparation of the draft invoice.

4. Creating a draft invoice does not require any credit balance in the account

of the buyer. However, for facilitating the estimate the credit balance (dd

and any credit note amount) is mentioned in the Draft Invoice.

5. Verify the draft invoice prepared as per the requirement of the retailer and

give a print out of it to the Outward Assistant.

6. Take out stock as per the draft invoice in FIFO principle but do not

deliver/load the stock. Correct quantity/brand if necessary and obtain

confirmation of the retailer.

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7. Once the draft invoice stock is segregated and quantity verified, amount

manually calculated (value should not be more than credit balance of

retailer as should in draft invoice), batch no. of the stock inserted and all

changes are effected, Obtain the signature of retailer as a proof of his

acceptance. The Draft Invoice will go to computer for generating final

invoice and will be stored in a file. Hence do not resort to loading

without the final invoice.

8. While loading, ensure that the stocks received earlier are dispatched first

(FIFO Principle).

9. In case of any doubt, allow the buyer to verify the carton boxes at the time

of loading (popularly called open delivery). This would avoid claims for

damages later.

10. Under no circumstance, accept claims for damages after the goods are

loaded on to the vehicle or after they leave the depot.

11. The sales invoice is to be signed by the Outward Assistant and the Depot

Manager.

12. Sign two copies of Sales invoice and four copies of the TP. Issue the first

copy of the sales invoice and two copies of the TP to the buyer.

13. File all documents - Draft Invoice with the changes made and the final copy

of the Sales Invoice and TP in a proper order.

14. The official in charge of delivery of stock based on invoice is empowered

to make necessary changes in the invoice in consultation with buyer and

sign the same.

15. All documents are to be signed by the Depot Manager.

Of 28.

Goods going out of depot to another depot - Inter depot transfer

Objective

The main objective is to document dispatch of goods to other depots based

on a Transfer Out Order (TOO) issued by the Head Office.

Procedure

1. No inter depot transfer should be undertaken without a TOO.

2. Contact the Head Office if stock has to be transferred to some other depot and

ensure that a TOO is raised.

3. Verify if the Transfer Out Order (TOO) has been received from the HO.

4. If so, generate a draft Transfer Out Slip (TOS).

5. The Head Quarter is to ensure that the service charges of Re.1 per carton box

subject to minimum of Rs. 50/per TOO are levied, if the transfer is at the

instance of the supplier.

6. Print draft TOS (the loading slip). Hand it over for loading of material to

outward assistant.

7. The draft TOS acts as a loading slip and forms an important document for

verification at later stage. Hence do not resort to loading without the draft

TOS.

8. While loading, ensure that the stocks received earlier are dispatched first (FIFO

Principle).

9. In case of any doubt, verify the carton boxes at the time of loading.

10. Any changes at the time of loading (say non- availability of the required quantity of a particular items, etc.) is noted in the drafts TOS. Also insert batch no. in the

draft TOS

11. The draft TOS is to be signed by the Outward Assistant loading the items and

the Depot Manager.

12. Re-open the draft TOS and enter the changes recorded during loading and make

entries for generating the Transport Permit.

13. Convert the draft TOS into final TOS.

14. Print the final TOS in duplicate and four copies of the TP. Sign the copies.

15. Dispatch the first copy of the TOS and two copies of the TP.

16. File all documents- the TOO, the draft TOS with the changes made and the final copy of the TOS and the TP in a Proper order.

17. The official in charge of loading i.e. Outward Assistant is empowered to make necessary changes in the drafts TOS and sign the same.

18. All document to be signed by the Depot Manager.

Of 28.

Maintenance of Outward Register for Invoice & TOS

1. A computerized ‘Outward register for Invoice & TOS’ and ‘Outward

Ledger for Invoice & TOS’ shall be maintained as per the format given in

annex-10 and annex- 11

2. The ‘Outward Register’ will show the Invoice/TOS wise detail. While the

‘Outward ledger’ will show manufacturer-wise Invoice/TOS details.

3. An Assistant designated by Depot Manager as Outward Assistant will

be responsible for undertaking all outward activities viz. Sale & TOS.

Primary checking of all postings in Sale/TOS will be his

responsibility.

4. The outward register is to be maintained invoice wise, giving such

details as:- Invoice No., Permit No., Permit BL/LPL ,Invoice

BL/LPL, brand and pack size.

5. The register is to be maintained for cash sale and for inter depot

transfers.

6. After the close of outward activity for the day, checking of postings

in the respective columns of Outward Register will be done

individual draft and final invoice/TOS-wise, by the outward assistant.

Further, the consolidated figures of the Outward Register will be

cross verified with the figures of the ‘Outward Ledger’

7. Postings will further be cross checked by the Accountant and Depot

Manager.

8. And after authentication by Accountant & Depot Manager, it shall be

preserved in an index file to be known as Outward Register &

Outward Ledger.

Of 28.

Depot Storage Loss

1. Accounting for storage losses

Here the main objective is to verify and account for damages in the depot.

Procedure

(i) It shall be the duty of Outward Assistant to maintain account of Depot

Storage Losses.

(ii) At the time of performing outward activities, (sale/TOS) all losses viz.

Breakages, Shortages & Hairline Cracks, half filled bottles found,

should be immediately noted on the draft invoice/ TOS.

(iii) Then the damaged bottles are isolated. Necks of the bottles are

separated and stored appropriately for verification by the internal

auditor/company’s representatives. For this purpose, the depot shall

have separate drums/containers prominently marked (like Depot

Damages 180 ml etc.), where the necks of bottles are separated and

stored.

(iv) Retailer's signature must be taken on the draft invoice. Likewise lorry

driver’s signature must be taken on draft TOS.

(v) Further Depot Manager should also verify the losses so that it can be

entered in the computer.

(vi) Storage loss entries include brand name, pack size, batch no., BL,

LPL etc of the damaged bottles .The invoice number can also be

given in the reason column of the Shortage/Damage entry screen.

(v) After the closing of sale, a computerized invoice/TOS-wise

consolidated Depot Storage Loss Report will be generated. All entries

therein shall be verified by Outward Assistant/Accountant & Depot

Manager. The report then shall be kept in an index file ,henceforth to

be known as Depot storage loss register.

Note: - All depot storage loss should be entered in the computer on the

same day; in no case delayed entry or rectification shall be allowed.

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2.Verification & Disposal of Storage Losses/ Transit Losses

1. A monthly verification of depot loss is to be undertaken by Depot Manager in presence

of Internal Auditor/Company's representatives.(Transit Loss is already verified at the

time of preparation of MIS and reflected in Transit Loss Register)

2. Verification of storages loss in presence of Company's representative should be done by

7th of every month. If the company's representatives do not turn up by 7th, then

verification can be done with internal auditor.

3. A copy of the depot storage loss register for the reporting period should be taken out and

all verification is to be done of the figures mentioned therein.

4. All breakages are to be verified & justified by counting of broken sealed bottle necks.

All shortages are to be verified by signature of retailer and checking of the preserved

cartoon cover of the case. All hair line cracks are to be verified by counting of such

preserved bottles.

5. After the verification of storage losses by the company's representatives and internal

auditor, and when no objection are raised by the respective company's representative,

the broken necks should be destroyed in their presence and report of the same shall be

sent to the Head Quarter.

6. After destruction of necks, the remnant scrap should be disposed of and the sum

received from the same shall be separately accounted for. The excise officials of the

districts, which the depot deals, should be informed about the depot loss verification

schedule, so that they can be associated with the whole process of verification and

destruction of broken necks of the depot losses.

7. A verification report, signed by Depot Manager and Company's representative/Internal

Auditor shall be sent to Head Quarter for approval.

8. After obtaining the approval of Head Quarter, the Storage losses are written off and the

figure is deducted from the stock.

9. Transit Loss: - Transit loss will be verified as per the details mentioned in computerized

Transit Loss Register to be maintained in format given in Annexure …12… All transit

loss proofs viz. broken sealed necks, hair line crack bottles, & half filled bottles should

be kept separately from Depot Storage loss. For verification, a copy of transit loss

register for a given period will be taken out. After the verification by the representative

of the concerned company, it should be destroyed in their presence. A report of transit

loss verification and its destruction should be sent to the Head Quarter under joint

signature of Depot Manager & Company's representative every month.

Of 28.

3. Maintenance of depot Storage loss registers at depots

1. A computerized ‘Depot Storage Loss Register’ shall be maintained in

each depots in the format given in annexure…13……

2. It will be the duty of Outward Assistant to verify the entries of the

Depot Storage Loss Register.

3. Everyday after the end of sale, a computer generated report of the

depot storage loss for the day will be taken out .Then all the entries

viz. brand name, pack size, batch no., BL, LPL .etc will be verified

from the individual Draft Sale Invoice/Draft TOS.

4. Then the report will be cross verified by Accountant/Depot Manager,

signed and kept in an index file, henceforth to be known as Depot

Storage Loss Register.

Of 28.

Stock Register

1. Computer generated ‘stock register’ shall be maintained in each depot

as per format given in Annexure-14

2. Depot Accountant will have primary responsibility of checking the

Stock Register every day.

3. The receipt will come from the ‘Inward Register’ and ‘Inward Ledger’

which will have posting from MIS/TIS.

4. The sale figure will come from the ‘Outward Register’ and ‘Outward

Ledger’, which will contain information from sale invoice and TOS.

5. The figures in the stock register will form the basis for the stock

physical verification to be done every month.

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Checking of Stock Register

1. After the end of the sale, the Depot Accountant or Assistant Accountant

will start checking the Depot Stock Register.

2. ‘Opening’ of every day is tallied from ‘closing balance’ column of the

stock register of previous working day.

3. MIS+TIS entries - are cross-verified from entries of ‘Inward Register’

and ‘Inward Ledger’.

4. Sale + TOS entries are cross-verified from entries in ‘Outward

Register’ and ‘Outward Ledger’.

5. ‘Damage approval pending’ column reflects all breakages/leakages/

entered in the computer on the reference date and is verified from depot

‘Storage Loss Register’.

6. Once storage loss is approved by Head office, the loss that is being

displayed in damage approval pending column will automatically get

shifted to ‘damage approved’ column.

7. The ‘closing balance’ column of stock register reflects the difference

between the ( opening + inward )and (outward + approved depot

storage loss).

8. All physical verification of the depots should be done on the basis of

this report

9. After checking of entries is completed by the Assistant Accountant/

Accountant, same shall be cross verified by Depot Manager. After

cross verification, it is signed by the Accountant and Depot Manager

and kept in an index file to be known as ‘Stock Register’.

Of 28.

Retailer Ledger

Objective

The main objective of the Retailer Ledger is to record the transactions

of retailers.

1. The depot is to maintain a computerized Retailer Ledger in the

format given in Annexure – 15

2. The ledger shows the date wise transactions of the retailer.

3. The purpose of this register is to ensure the verification of retailer’s

transactions for the day, which includes the DD deposited by the

retailer and the purchase made against them.

4. The purchase made by the retailer against the particular shop is

shown in the ledger.

5. DD that is received at the depot is against a shop, whose licensee is

the retailer. Since a Retailer might have license of more then one

shop, it is necessary that he mentions the shop name & number in

the requisition slip so that DD that he submits is posted against the

particular shop.

6. At the end of sale every day, a computerized copy of date wise

retailer ledger will be taken out.

7. It shall be the duty of Asst-Accountant to verify the entries of the

ledger from DD receipt register and Outward Register/Outward

Ledger.

8. Then the verified ledger is cross-verified by the Accountant & Depot

Manager.

9. The verifying and cross verifying personnel should ensure that DD is

posted against the correct shop. The verified report will be preserved

in an index file henceforth to be known as retailer ledger.

Of 28.

Stock Verification Objective

To verify physical stock with respect to stock as per books.

Procedure

1. A monthly Physical Verification of stocks is to be carried out in the first

week of every month by the depot manager in the presence of the

internal auditor, company’s representatives, excise officials and other

depot staffs.

2. The depot manager should inform about the date of physical verification

to all the persons above mentioned in advance and there shall be no shift

in date and time of the verification program due to the absence of any

verifying authorities.

3. Depot Stock register and date wise opening and closing report of the day

will form the basis for physical verification.

4. The members of the stock verification team shall stay till the physical

verification is completed. The time of commencement and completion

shall be recorded.

5. After the verification is complete, the depot loss figures shall be checked

and recorded the actual status about physical stocks is reached.

6. Details of items wherein the physically stock does not agree with the

stock as per records shall be recorded.

7. In the event a substantial difference between the ledger balance and the

physical count is observed, the verification will be repeated to ensure

that the counting is in order. Items that still exhibit a difference imply

missing stock. Any missing stock if unexplained and unverified shall be

taken as a lapse on the part of all depot staffs and shall be accordingly

recoverable from them. Further more the corporation may initiate

appropriate disciplinary and/or criminal action against the guilty

officials.

8. Next day after the verification report is complete, the final verification

report duly signed by the depot manager, internal auditor, company’s

representatives, excise officials and other depot staffs should be sent to

H.O.

9. The Depot Manager/Accountant should undertake physical verification

of different brands randomly at regular intervals during the whole

months and if any missing stock is detected he should find out the erring

staffs and report the same to the Head office for further action.

Of 28.

Accounting Impress Cash

Objective

To account for impress cash received and spent in depot.

To be followed when impress cash is received and when expenditure is

incurred.

Procedure

1. Account for impress cash received from Head Office.

2. Take adequate care to keep cash secured.

3 Count the balance impress cash in the depot periodically and tally with the

balance as per the accounts (cash on hand should tally with the balance as

per books less vouchers on hand to be accounted for).

4. After expenditure is incurred, ensure that it is fully support by vouchers and

receipts as applicable.

5. The expenditure incurred shall be accounted under the appropriate head of

account as per the chart of account.

6. Expenditure on employees like allowance, medical reimbursement, etc.

shall not be met out of impress cash.

7. No advance, other than for traveling shall be met out of impress cash.

8. All supporting vouchers, bill and receipt shall be serially numbered and

paid & cancelled stamp be affixed in it.

9. Maintain all expenditures in the format cash book made available by H.O.

Authorizations

1. Depot manager are authorized to incur expenditure up to Rs. 1000 at once

instance (excluding telephone, electricity and water supply bills, for which

the actual amount of the bill can be paid without approval).

2. Any expenditure in excess of this limit shall be with the prior approval of

the Head office. The General Manager (operation)/ General Manager

(Finance) or in his absence Manager (Operations) concerned shall be

addressed for this purpose.

3. In case of an emergency, the depot manager may incur expenditure in

excess of the above limit, but shall report to Head Office telephonically and

seek post facto sanction. Such instance shall be exceptional.

Of 28.

Scrap Disposal

Objective

1. To remove the broken glass and caps.

When the quantity appears more than 10 K.G the auction can be held

Procedure

3. When the scrap appears to be more than 10 K.G. the scrap is to be

earmarked for disposal

4. Local committee would be formed (1) depot manager (2) depot accountant

format enclosed as anexture-16

5. In presence of the committee auction will be made and the scrap will be

disposed off

6. Amount to be deposited as impress cash

Authorization

7. Local committee is empowered to dispose off the scrape by local auction.

Of 28.

Security

Three registers are to be maintained

1. For retailers

2. For suppliers

3. Godown opening and closing log book

Objective

1. To keep track of entry and exit of retailers

2. To keep track of suppliers truck movement

3. This will help depot operation while daily reconciliation of stock.

4. To keep record of opening and closing of godown and also necessary for

insurance purpose

Scope

5. Daily entry of all persons other than depot employee is to be recorded

6. Daily recording of opening and closing of depot

Procedure

7. Three registers have been suggested as annexed 17, 18 and 19

8. Signature of person must be taken whosoever enters godown for business

purpose.

9. Sealed godown to handed over to security guard

10. Security guard will hand over the sealed door on the next day for opening.

11. Depot Manager will explain to security guard for maintaining these registers

12.

Authorization.

13. Security guard attending the entry and exit point will have control over these

register.

14. Surprise check at least once in a month by depot manager is must and will

record his remark on the register

Of 28

Rectification of Entries

1.00 Objective

To rectify errors in accounting noticed in depot and approved and allowed

by H.Q.

3.00 Procedure

1. Rectification would fall under any one of the following two kinds.

(I) Those requiring a correction in financial accounts only without a

correction to stock account – like correcting excess credit of DD

received, Short collection of TCS etc; and

(ii) Those requiring a correction in financial accounts and stock

accounts like correction of wrong quantities recorded while

receiving goods, wrong dispatch of goods sold etc.

2. The principle of rectification to be followed in the above two categories of

error shall be:-

I. Every error requiring rectification in the database/software shall be

immediately brought to the notice of Depot Manager by the depot

staffs and computer operator.

II. The Depot Manager should check the matter and if he finds

rectification necessary, he should send a formal letter for the same

to the Head Office.

III. It is essential that the letter should be accompanied with the proof

which shall justify the above request for rectification.

IV. For quick action letter can be e-mailed to the Head Office, bearing

all details such as letter no., date, etc. No request for rectification

can be acted upon unless the e-mail has letter no. and date.

V. All requests for rectification in MIS concerning transit loss should

be sent to the Head Office with proof on the same day. Delayed

request will not be entertained.

VI. At the Head Office, Manager I.T. will undertake all rectifications

which in his opinion is necessary but with the prior approval of G.M

(Operation) /Manager (Operation).

VII. Any changes in database so made shall be maintained in the

software.

Of 28

Job Assignment at Depot

1. It will be the duty of Depot Manager to assign depot operation jobs

amongst the various personnel deployed at the depot. The depot personnel

will perform these duties apart from the main duties for which they have

been posted in depots.

2. The Depot Manager should insure that depot personnel do their assigned

jobs with full integrity and sincerity.

3. If due to any lapse on the part of depot personnel, in performing their

assigned duties, any loss is incurred by the corporation, the concerned

personnel will be solely held responsible and appropriable disciplinary and/

or criminal action shall be initiated against him/her.

4. Depot Manager should keep continuous vigil on the performance of depot

personnel; any lapse found therein should be immediately brought the

knowledge of Head Office, so that corrective action can be initiated.

5. If the depot manager fails to detect the lapses and non performance, then he

too will be held responsible for the consequences of those lapses and non

performances.

END OF DEPOT MANUAL

ALL ANNEXTURES FROM 1 TO 19 AND ALL REPORT

FORMATS ARE ENCLOSED

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