Main Article - Sep, 2005
INVENTORY MANAGEMENT AMONG CSIR LABORATORIES
Ch. Srinivasa Rao, Under Secretary, CSIR, New Delhi
Introduction
Hitherto CSIR Labs./Instts. have been following broadly GoI guidelines on Inventory Management. The demands of R&D Institutions are expected to be quite different from normal. CSIR have felt a need to have separate guidelines on Inventory Management which could be called as its own.
Ch. Srinivasa Rao, Under Secretary, CSIR, New Delhi
Introduction
Hitherto CSIR Labs./Instts. have been following broadly GoI guidelines on Inventory Management. The demands of R&D Institutions are expected to be quite different from normal. CSIR have felt a need to have separate guidelines on Inventory Management which could be called as its own.
A Committee was constituted to formulate guidelines within the framework of GoI guidelines and in consonance with the practices of DGS&D and other Govt. agencies. It resulted in the study of present practices vis-à-vis the requirements of R&D and other Labs. under CSIR. The recommendations of the Committee took the shape of a foolproof, practicable and uniform procedure of Inventory Management which was duly circulated by CSIR.
The present effort is to present the procedure in a lucid and sequential manner.
Receipt of material
Receipt of stores involves receipt of all types of material against purchase orders or stores received against local purchases, gifts, grant-in-aid, etc. Whenever the order is executed by the supplier, such information has to be sent to the Purchase Section and the Indenting Officer by the Stores Section. Similarly information with regard to transit of material such as clearance from Air/Sea Port/Road has to be intimated to the user department. Material of heavy nature can be got unloaded at the place of installation directly by the Stores.
Receipt of stores involves receipt of all types of material against purchase orders or stores received against local purchases, gifts, grant-in-aid, etc. Whenever the order is executed by the supplier, such information has to be sent to the Purchase Section and the Indenting Officer by the Stores Section. Similarly information with regard to transit of material such as clearance from Air/Sea Port/Road has to be intimated to the user department. Material of heavy nature can be got unloaded at the place of installation directly by the Stores.
The Stores has to maintain a Daily Receipt Register (DRR) centrally which shall include all relevant information about the receipt of material purchased except those purchased against cash.
Functions
The functions of the Receipt Section can be broadly summarized as follows:
1. Arrange for clearance of parcels, packages, consignments. Ensure clearance of consignment immediately so as to avoid payment of demurrage/wharfage. In case of accrual of demurrage/wharfage, ensure its waiver from the competent authority to the extent possible.
2. Check the material received and arrange for its inspection.
3. Notify the indenter and Purchase section about the arrival of the material by next day.
4. Unpack the consignments and facilitate their inspection by the Inspecting Officer.
5. Intimate the supplier about the excess, shortage, damaged, rejected or defective supply.
6. Arrange open delivery of consignments wherever required.
7. Raise Stores Receipt Voucher (SRV) for all receipts.
8. Arrange packing and despatch of outgoing consignments like samples, rejected material, etc. and forward the dispatch documents to the consignee.
9. Lodge necessary claims for non-delivery or for shortage or damage of material wherever required.
10. Arrange local collection of stores from the vendor as per the terms of the order.
11. Maintain and render up to date account of advances taken for clearance of consignments including their adjustment.
12 Keep all weighing balances calibrated at regular intervals.
The functions of the Receipt Section can be broadly summarized as follows:
1. Arrange for clearance of parcels, packages, consignments. Ensure clearance of consignment immediately so as to avoid payment of demurrage/wharfage. In case of accrual of demurrage/wharfage, ensure its waiver from the competent authority to the extent possible.
2. Check the material received and arrange for its inspection.
3. Notify the indenter and Purchase section about the arrival of the material by next day.
4. Unpack the consignments and facilitate their inspection by the Inspecting Officer.
5. Intimate the supplier about the excess, shortage, damaged, rejected or defective supply.
6. Arrange open delivery of consignments wherever required.
7. Raise Stores Receipt Voucher (SRV) for all receipts.
8. Arrange packing and despatch of outgoing consignments like samples, rejected material, etc. and forward the dispatch documents to the consignee.
9. Lodge necessary claims for non-delivery or for shortage or damage of material wherever required.
10. Arrange local collection of stores from the vendor as per the terms of the order.
11. Maintain and render up to date account of advances taken for clearance of consignments including their adjustment.
12 Keep all weighing balances calibrated at regular intervals.
It is necessary to maintain the following registers:
a) Consignment Clearance Register
b) Daily Receipt Register
c) Centralized Register for Local Purchase (Consumables).
d) Register for Samples
e) Register for Gifts.
f) Register for Discrepancies.
g) Register for Despatch.
h) Register of Losses
a) Consignment Clearance Register
b) Daily Receipt Register
c) Centralized Register for Local Purchase (Consumables).
d) Register for Samples
e) Register for Gifts.
f) Register for Discrepancies.
g) Register for Despatch.
h) Register of Losses
Inspection
As soon as the Indenting Officer receives intimation from the Stores with regard to receipt of material particularly the imported one, the packing has to be got opened in the presence of the Indian agent of the supplier to detect any short supply or damage in transit. The inspection has to be completed within 10 days from the receipt of advice from the Stores but within the validity period of insurance so that the claims, if any, can be preferred. If the inspection is not completed within the validity period, the Indenter and the Project Leader shall be held responsible for any loss sustained by the Lab..
As soon as the Indenting Officer receives intimation from the Stores with regard to receipt of material particularly the imported one, the packing has to be got opened in the presence of the Indian agent of the supplier to detect any short supply or damage in transit. The inspection has to be completed within 10 days from the receipt of advice from the Stores but within the validity period of insurance so that the claims, if any, can be preferred. If the inspection is not completed within the validity period, the Indenter and the Project Leader shall be held responsible for any loss sustained by the Lab..
Clearance of consignments
Foreign: Clearance of consignments from abroad needs the services of a professional Freight-forwarding Agent and Clearing Agent. Appointment of single or separate Forwarding and Clearing Agents shall have to be made depending upon the requirement of the Lab./Instt. The role of such Freight Forwarder is to arrange transportation from the port of shipment to the port of destination and the role of the Clearing Agent is to coordinate with the airlines, freight forwarders, Custom authorities, etc. for clearing the cargo. While entering into a contract for freight-forwarding services, we may ensure the following:
Foreign: Clearance of consignments from abroad needs the services of a professional Freight-forwarding Agent and Clearing Agent. Appointment of single or separate Forwarding and Clearing Agents shall have to be made depending upon the requirement of the Lab./Instt. The role of such Freight Forwarder is to arrange transportation from the port of shipment to the port of destination and the role of the Clearing Agent is to coordinate with the airlines, freight forwarders, Custom authorities, etc. for clearing the cargo. While entering into a contract for freight-forwarding services, we may ensure the following:
a) Advance intimation about the shipment.
b) Safe transportation by the earliest available carrier.
c) Payment of freight within 30 days on receipt of cargo.
d) Prompt issue of Cargo Arrival Notice (CAN)/Delivery Order.
e) Submission of Bank Release Order at the earliest.
Similarly, while finalizing the contract of the Clearing Agent, the following parameters should be kept in view:
a) Immediate clearance of the cargo within the free period.
b) Payment of demurrage, wharfage and other charges.
c) Payment of Customs duty (Labs. are required to fix a limit)
d) Transportation to the Lab.
b) Safe transportation by the earliest available carrier.
c) Payment of freight within 30 days on receipt of cargo.
d) Prompt issue of Cargo Arrival Notice (CAN)/Delivery Order.
e) Submission of Bank Release Order at the earliest.
Similarly, while finalizing the contract of the Clearing Agent, the following parameters should be kept in view:
a) Immediate clearance of the cargo within the free period.
b) Payment of demurrage, wharfage and other charges.
c) Payment of Customs duty (Labs. are required to fix a limit)
d) Transportation to the Lab.
The SPO of the Lab. may decide whether the clearance of cargo from abroad will be done by the Purchase or Stores Wing.
Once the purchase order is placed a copy of the same may be sent to the Freight-Forwarding Agent. Besides, a set of documents which are required for clearance of the cargo such as copies of purchase order, subsequent amendments made, if any, insurance policy, Letter of Credit, Customs Duty Exemption Certificate, etc. may be sent to the Clearing Agent before arrival of the Cargo. The Clearing Agent will receive the Delivery Order with copies of Air Way Bill (AWB), Invoice, packing list, etc. from the Freight-forwarding Agent for clearance. Necessary technical write-up/literature needed for taking delivery of such consignments may also be provided.
The Clearing Agent should arrange for an early clearance of the cargo. In case open delivery is to be obtained, he should take all necessary steps to obtain open delivery in the presence of representatives of the airlines, airport authority, Customs, the Indian Agent and Insurance Surveyor. In addition, refund of Customs duty on account of short delivery has to be obtained by him.
The Receipt Section shall intimate the Indian Agent to be in touch with the Lab. about the arrival of the consignment so that it can be opened in their presence to ascertain any damage, shortage and prefer insurance claims, if needed.
Once the goods are cleared, the dues of the Freight-forwarding and Clearing Agent may be paid immediately.
Indigenous: All Railway Receipts/Goods Receipts / Post Parcels / Air Consignment Notes should be scrutinized to ascertain whether the freight has been paid or to be paid and to find out the consignment is at owner’s risk or carrier’s risk and any other terms as specified in the order.
During the clearance of the cargo, the consignment should be checked to find out whether there is any apparent damage, difference in weight, etc. In case, the packing is in sound condition and there is no difference in weight, the delivery may be taken subject to inspection. While receiving any consignment, clear unconditional Delivery Certificate may not be issued as this will hamper the claim of the Lab., if any, at a later date on account of damage/shortage, etc.
In case of any tampering or suspected damage to the packages, an open delivery shall be taken in the presence of the representative of transporter, user-Scientist and the supplier, if available. The damage/shortage so noticed shall be recorded in the delivery book of the transporter and a Certificate to that effect may be obtained from the Carriers for lodging the claims with the Carrier, Supplier, and the Insurance Company. In case of non-delivery of the goods, claims for non-delivery may be preferred.
It may be noted that the period to file the claim is 30 days from the date of arrival at the destination-airport in respect of import or at destination for indigenous items. The time limit to lodge a claim on Carriers is 14 days from the date of landing or 21 days from the date of despatch whichever is earlier. The limits as prescribed by IATA cannot be extended. However, in many cases the Labs. clear the consignments, wait for the Indian agent to open the packing to know about the shortage/damages but by this time the time limit exhausts.
In case, the RR/GR/AWB is lost in transit or not traceable, the goods may be cleared through an Indemnity Bond/Undertaking quickly so that the payment of demurrage is minimized.
Demurrage
In no case any amount paid on account of wharfage or demurrage be regarded as a normal charge and efforts should be made not to incur such penal charges. All such cases are to be enquired thoroughly to find out as to whether there is any lapse on the part of any individual or firm for this avoidable loss, ascertain the amount and recover the same from the persons responsible. If it is not attributed to the negligence on the part of any individuals, payment can be regularized with proper sanction. The time allowed for clearance varies from agency to agency and case to case. Hence, utmost care should be exercised to ensure that the consignments are cleared immediately on arrival.
In no case any amount paid on account of wharfage or demurrage be regarded as a normal charge and efforts should be made not to incur such penal charges. All such cases are to be enquired thoroughly to find out as to whether there is any lapse on the part of any individual or firm for this avoidable loss, ascertain the amount and recover the same from the persons responsible. If it is not attributed to the negligence on the part of any individuals, payment can be regularized with proper sanction. The time allowed for clearance varies from agency to agency and case to case. Hence, utmost care should be exercised to ensure that the consignments are cleared immediately on arrival.
Procedure for receipt of stores
All items that are received directly from the vendor shall be checked with reference to the Purchase Order to find out as to whether the description of the item ordered and received item are same or otherwise. Any discrepancy noticed shall be immediately brought to the notice of SPO/SO (S&P) and communicated to the firm. The material has to be, as far as possible, checked in the presence of the representative of the vendor.
All items that are received directly from the vendor shall be checked with reference to the Purchase Order to find out as to whether the description of the item ordered and received item are same or otherwise. Any discrepancy noticed shall be immediately brought to the notice of SPO/SO (S&P) and communicated to the firm. The material has to be, as far as possible, checked in the presence of the representative of the vendor.
Once the items are found to be prima facie in order, a receipt will be given to the firm. The receipt furnished to the firm should read as "Received in good condition subject to inspection, counting and final acceptance". Under no circumstances an unconditional acknowledgement should be given to the vendor. Similarly, receipt of all incoming goods through the transporter, Railways, Airport, etc should be acknowledged. However, it should be ensured that the packing is in sound condition and that there is no apparent damage to the packing boxes.
The Receipt Section has to arrange for the unpacking of the goods received. Before any imported consignment is unpacked, presence of the Indian Agent and the user may be ensured. If any shortage/damage is found even though the boxes are outwardly in order, a discrepancy report shall be prepared and sent to the supplier. Till such time the items shall be kept separately so as to avoid their getting mix up with the available stock except the cases where the indenter has to inspect the item at his premises.
After the items are received, they are to be entered in the Daily Receipt Register. Besides copy of the Purchase Order available with the Receipt Section has to be updated to show whether supply has been received in full or part.
Material received without any document should be brought to the notice of the SO (S&P)/SPO for taking into stock through SRV. Such entries should be monitored through Discrepancy Register. The Receipt Section should ensure that all accessories, tools, etc. received with the machinery and equipment, though not specially detailed in the Purchase order, are entered in the SRV with all the essential particulars like identification number, etc. The SO (S&P)/SPO shall ensure that these are brought to stock account along with the main equipment.
Daily Receipt Register
The Daily Receipt Register (DRR) is a Register meant for entry of all incoming goods that are received in the Lab. On a particular day except those procured on local purchase basis. The Register will contain the details about the supplier, order reference, challan number, date, bill number, date, bill value, item description, quantity dispatched, quantity received, quantity found short/ damage, name of the indenter, inspection report number, rejection cause, etc. and will serve as a complete record about the materials including its installation and commissioning. An intimation may be forwarded to the Purchase Section on the following day about the arrival and the need for the inspection.
The Daily Receipt Register (DRR) is a Register meant for entry of all incoming goods that are received in the Lab. On a particular day except those procured on local purchase basis. The Register will contain the details about the supplier, order reference, challan number, date, bill number, date, bill value, item description, quantity dispatched, quantity received, quantity found short/ damage, name of the indenter, inspection report number, rejection cause, etc. and will serve as a complete record about the materials including its installation and commissioning. An intimation may be forwarded to the Purchase Section on the following day about the arrival and the need for the inspection.
Heavy and large size materials as far as practicable can be got unloaded nearer to its place of installation to avoid further handling.
Accepted material
The material accepted shall be handed over to the respective Storekeepers along with bills, challans and SRV for stock entry. It must be ensured here that the stock entry shall be made itemwise and not as "assorted" one clubbing with different items.
The material accepted shall be handed over to the respective Storekeepers along with bills, challans and SRV for stock entry. It must be ensured here that the stock entry shall be made itemwise and not as "assorted" one clubbing with different items.
Material received in excess of quantities ordered for shall be returned to the supplier as per the procedure for rejected materials unless approval of the competent authority for the procurement is obtained in writing to retain the excess quantity received.
Inspection of material
The Receipt Section will prepare a SRV which contains all details of the stores such as name, address of the vendor, PO number, date, item description, quantity dispatched, quantity received, quantity found short/ damaged, quantity accepted besides the SRV number and date. The SRVs will be serially numbered during the financial year. This will help Purchase and Finance Sections to keep track of receipt of SRVs. The SRV should also bear the signature of the Inspecting Officer. Payment of bills will be made as per the details of stores received on the basis SRV. Similarly, adjustment of OBs will also be made as per the particulars furnished in the SRV. If any payment is to be made to the firm, corresponding bill has to be sent along with the SRV.
The Receipt Section will prepare a SRV which contains all details of the stores such as name, address of the vendor, PO number, date, item description, quantity dispatched, quantity received, quantity found short/ damaged, quantity accepted besides the SRV number and date. The SRVs will be serially numbered during the financial year. This will help Purchase and Finance Sections to keep track of receipt of SRVs. The SRV should also bear the signature of the Inspecting Officer. Payment of bills will be made as per the details of stores received on the basis SRV. Similarly, adjustment of OBs will also be made as per the particulars furnished in the SRV. If any payment is to be made to the firm, corresponding bill has to be sent along with the SRV.
Items such as electrical goods, mechanical instruments, refrigeration materials, computers, etc. may be got inspected by the persons of technical competence. Inspection of scientific and sophisticated instruments, etc. shall be carried out by the Indenter himself. If necessary, he may take the assistance of other experts for inspection of electrical or mechanical portion of the machines and equipments.
In the absence of the Indenter, the HoD/Project Leader has to arrange inspection of material. If more time is required for final inspection, at least a preliminary visual inspection has to be carried out immediately so that discrepancies/shortage/damage are reported to the Suppliers/Insurance Company in order to see that the claim does not become time-barred. Till stores are inspected and taken on charge, these shall be kept separately.
Stores of general and repetitive nature e.g. soaps, detergents, dusters, nails, glassware of standard trade mark, stationery items, chemicals from standard companies, etc. for which indents are placed by the SO (S&P)/SPO shall be inspected by him for acceptance to avoid undue delays. In case of doubt, about the quality, make or specification of the item, the advice of the user department can be sought before acceptance.
Samples
Wherever necessary, provision should normally be made in the rate enquiries/ advertisement for supply of samples. These shall be received by the Receipt Section. Samples thus received against supply orders placed by the Purchase Section have to be accounted for in a "Stock Register for Samples" and finally amalgamated with supplies.
Wherever necessary, provision should normally be made in the rate enquiries/ advertisement for supply of samples. These shall be received by the Receipt Section. Samples thus received against supply orders placed by the Purchase Section have to be accounted for in a "Stock Register for Samples" and finally amalgamated with supplies.
Certificate of Inspection
When the material is found to be in accordance with the quality, quantity and specifications ordered for, the inspecting Officer shall record the following certificate on the SRV after inspection duly appending his signatures on the space provided for the purpose: "Certified that the Stores have been inspected by me and found acceptable in accordance with the quantity, quality and laid down in the purchase order."
When the material is found to be in accordance with the quality, quantity and specifications ordered for, the inspecting Officer shall record the following certificate on the SRV after inspection duly appending his signatures on the space provided for the purpose: "Certified that the Stores have been inspected by me and found acceptable in accordance with the quantity, quality and laid down in the purchase order."
The SRV shall be counter-signed by the HoD/Project Leader. In case of equipment, copy of the installation report submitted by the firm needs to be attached with the SRV.
Rejection
Material received which is not in conformity with the specifications and requirements ordered for in the purchase order shall be rejected by the Inspecting Officer who will record reasons for such rejection on the Inspection Report. Based on such Report, the Purchase Section shall immediately take up the matter with the firm.
Material received which is not in conformity with the specifications and requirements ordered for in the purchase order shall be rejected by the Inspecting Officer who will record reasons for such rejection on the Inspection Report. Based on such Report, the Purchase Section shall immediately take up the matter with the firm.
The rejected stores shall be suitably labelled and stored in a separate area in the pending their return to the suppliers. These will be handed over to the supplier’s representative or dispatched to the firm, as the case may be, through Non-returnable Gate Pass. The rejected materials will be accounted for in the "Discrepancies Register".
Expenditure incurred on this account shall be recovered from the supplier. When the supplier on freight-to-pay basis receives the stores, the supplier shall be liable to pay the actual freight. After despatch, the Receipt Section shall promptly send the relevant documents to the supplier for further action.
A time limit shall be fixed up for the removal of rejected materials by the supplier from the Lab. premises, failing which a final notice/reminder by Registered post will be sent for removal within a stipulated period, duly indicating that if the material is not taken back by the supplier within the period, ground rent will be recovered from the supplier as fixed by the Director. It should be vigorously pursued till their removal. In case of non-response from the supplier, appropriate action for their disposal shall be taken through auction or other suitable means with the approval of the competent authority.
Dispatch Register
At times the Stores has to despatch various items. All the dispatches that are being done shall have to be recorded in the Despatch Register (DR). The DR will contain the details of the supplier, reference of despatch, item, quantity, mode of despatch, freight and other charges paid, etc. and will serve as a complete record for despatch of all types of items – be it for repair, rejection or otherwise.
At times the Stores has to despatch various items. All the dispatches that are being done shall have to be recorded in the Despatch Register (DR). The DR will contain the details of the supplier, reference of despatch, item, quantity, mode of despatch, freight and other charges paid, etc. and will serve as a complete record for despatch of all types of items – be it for repair, rejection or otherwise.
Issue Control Register
An Issue Control Register (ICR) is to be maintained by the Stores for controlling the issues made against issue slips. It is an index of all issues and helps to watch posting of the issue slips and detection of any missing issue slips.
An Issue Control Register (ICR) is to be maintained by the Stores for controlling the issues made against issue slips. It is an index of all issues and helps to watch posting of the issue slips and detection of any missing issue slips.
The ICR must be made for each category of stores such as Engineering stores, Asset stores, Hardware stores, Stationery stores, etc. depending upon the needs of the Lab. It shall have particulars like number, date, issue slip number, Division/Project, number of items in issue slip, etc. Each issue slip will be allotted a number before the actual issue according to the serial number of the register (like S-1, S-2 or by numbers after allotting different serial numbers) till the end of the financial year which is known as ICR number. The ICR will be allotted in order of presentation of the issue slip for actual issue and the issue slips shall be filed in that order after posting in the ledger.
Issue of material
The following procedure shall be adopted while issuing materials from Stores:
The following procedure shall be adopted while issuing materials from Stores:
Issue of stores shall be made in proper Issue slip. It should be prepared in triplicate by each Division/Section for each category of stores for (a) stores purchased out of revenue grant and (b) stores purchased out of capital grant to ensure quick issue and easy accounting. Stores purchased out of revenue grants will be issued on pink issue slip and capital items will be issued in white issue slip.
In order to enable the Store-keeper to post the ledgers, raising indent for new procurement etc. issue timings for issue of materials from Stores have to be fixed.
Stores shall be drawn by an issue slip signed by a person not below the rank of an Officer of the Division/Section and countersigned by the HoD/Project Leader. The Director of the Lab. may, however, authorize a person not below the rank of Gr. C in Administration and Gr.II in Technical cadre to draw stores. No material should be issued to any one who is not on regular establishment unless duly authorized by the Director. It must be ensured that the items issued to such persons are taken back at the time of his/her leaving the Lab.
Issue slips having mutilations and over writings or incomplete in any respect should not be accepted for issue of materials. All issues shall be scrutinized and authorized by the SO (S&P) SPO before actual issues are made by the Store-keeper and in their absence by the senior most Store-keeper. In case of excess demand, the issue may be curtailed wherever necessary.
Stores shall not ordinarily be issued in bulk quantities and the Project Leader/HoD shall ensure that minimum quantities of such materials are permitted to be drawn by them to avoid accumulation, wastage or likely misuse. Whenever any quantity above the normal consumption is requisitioned, PL/HoD may be asked to record reasons for such specific requirement.
All stores purchased out of capital funds shall normally be issued to the official indenting the equipment. Each Lab. shall decide about the mode of maintaining inventory – whether on Personal Inventory basis or Divisional Inventory basis and get the same duly approved by the Management Council of the Lab. before adoption. Any subsequent change to the policy shall have to be approved by the Management Council. The description of material to be given on the Issue slip shall be as given in stock ledger/ ill/challan/Bin card, etc. and invariably include make, serial number, type of instrument, in case of articles of capital nature.
Issue of some items purchased out of revenue funds like tubelights, bulbs, batteries, tyres, tubes, chokes, electric line testers, umbrellas, briefcases, computer cartridges, floppy disks, CD-ROMs, CD-RW, brass civil engineering items, etc. need to be regulated either by insisting the issue of a fresh one in exchange of the old one or fixing time limit/fixing quantity of issue as may be decided by the Director of the respective Laboratory. In order to control the issue/ consumption of stores like soap, duster, towels, etc to Officers and staff the same shall be issued strictly in accordance with the scale which has to be laid down by the Lab.
The issue slip books shall be kept in safe custody by all drawees and shall be used by the drawee only. Fresh issue slip books will only be issued after it is personally verified by the SO (S&P) that the all the issue slips of the book have been consumed.
Wherever the date of expiry is indicated on the package of material, efforts should be made to use such materials before the expiry date. In case it is not possible to use the same before the expiry date, the same may be disposed off in the best interest of the Lab.
Return of material
All returns to Stores will be governed by the following procedure:
All returns to Stores will be governed by the following procedure:
Capital items shall be returned to the Stores when the same is no longer required in the Division but are in working order so as to enable the Stores to issue to other Division on demand. The user is thus required to obtain a Certificate from the Inspecting Authority to the effect that the materials (capital items) returned is in working order.
Before accepting the Return Voucher, the Store-keeper has to compare the details of item being returned with the original issue to ensure correctness of the serial number, make, model, etc. The receipt of such returned store shall be done by the concerned Store-keeper and will be countersigned by the SO (S&P). The original copy kept in Stores while the duplicate copy has to be returned to the user. All postings have to be completed on the same day. Material returned to Stores should be issued first vis-à-vis the new one available in stock, provided such material is useable.
The position of the material returned shall be reviewed by the SO (S&P)/SPO at regular intervals to ensure that the returned material does not get accumulated. Material thus accumulated can be disposed off as per the prescribed procedure.
Chemicals and items of consumable nature which get accumulated in various Divisions/Sections of the Lab. and lie un-utilized for a long time result in damage, deterioration in quality, lose due to evaporation, etc. In order to effect economy in expenditure, the HoDs may prepare a list of such chemicals and other items that are lying in their respective sections for more than a year without any use. Such List may be reviewed by the Director during the month of March and decide about their effective use.
A Return Control Register for return slips will also be maintained in line with that of Issue Control Register.
Disposal
The following steps are involved in disposal of stores:
The following steps are involved in disposal of stores:
i) Identification of stores
ii) Surplus/obsolete/unserviceable stores including scrap
iii) Categorization of items as surplus, obsolete, etc.
iv) Consideration by the Standing Disposal Committee
v) Inspection
vi) Deciding mode of disposal
vii) Fixation of Reserve Price
viii) Approval of the Competent Authority
ix) Evaluation of offers
x) Accounting entries
xi) Lifting of the material from the premises by the Bidder
ii) Surplus/obsolete/unserviceable stores including scrap
iii) Categorization of items as surplus, obsolete, etc.
iv) Consideration by the Standing Disposal Committee
v) Inspection
vi) Deciding mode of disposal
vii) Fixation of Reserve Price
viii) Approval of the Competent Authority
ix) Evaluation of offers
x) Accounting entries
xi) Lifting of the material from the premises by the Bidder
Standing Disposal Committee
A Standing Disposal Committee (SDC) may be constituted by the Directors of respective Labs. which is required to meet as and when required or at least twice in a financial year.
Scientist F (or above) … Chairman
Scientist … Member
Technical Officer … Member
(who is conversant with stores)
COA/AO … Member
[SO(G) if there is no COA/AO]
F&AO … Member
Controller of Stores & Purchase/
SPO … Convener
[SO(S&P) if there is no COS&P/SPO]
Quorum: 50% of the composition of SDC.
In case of dissent by any member, the proceedings of the Committee will be referred to the Director whose decision shall be final.
A Standing Disposal Committee (SDC) may be constituted by the Directors of respective Labs. which is required to meet as and when required or at least twice in a financial year.
Scientist F (or above) … Chairman
Scientist … Member
Technical Officer … Member
(who is conversant with stores)
COA/AO … Member
[SO(G) if there is no COA/AO]
F&AO … Member
Controller of Stores & Purchase/
SPO … Convener
[SO(S&P) if there is no COS&P/SPO]
Quorum: 50% of the composition of SDC.
In case of dissent by any member, the proceedings of the Committee will be referred to the Director whose decision shall be final.
Functions
a) to inspect the materials that are proposed to be declared as surplus, obsolete, unserviceable, etc.
b) to decide the mode of disposal; and
c) to fix the Reserve Price for disposal of items and to ensure that the items lifted by the bidder are as per the disposal list.
a) to inspect the materials that are proposed to be declared as surplus, obsolete, unserviceable, etc.
b) to decide the mode of disposal; and
c) to fix the Reserve Price for disposal of items and to ensure that the items lifted by the bidder are as per the disposal list.
Competent Authority
As per the provisions of GFR, the authority competent to purchase material shall be competent to declare the material as obsolete/surplus/unserviceable. Accordingly, the Director shall be the competent authority to declare the Stores as obsolete/ surplus/ unserviceable and order its disposal as per the recommendations of the Committee, irrespective of its value.
As per the provisions of GFR, the authority competent to purchase material shall be competent to declare the material as obsolete/surplus/unserviceable. Accordingly, the Director shall be the competent authority to declare the Stores as obsolete/ surplus/ unserviceable and order its disposal as per the recommendations of the Committee, irrespective of its value.
Accounting
After obtaining the approval of the Director to declare the items as surplus/ obsolete/unserviceable, these items will be removed from the Stock Ledgers with suitable entries. Entries will also be made in the Disposable Stores Register. An O.M. containing the details of item, its value, head of account, etc. will be issued by the SPO conveying the approval of the Competent Authority to declare such items as surplus/ obsolete/unserviceable and also convey the items to be written off in the Books of Accounts. A copy of each order declaring Stores as surplus/obsolete/ unserviceable should be endorsed to the F&AO of the Lab./CSIR as per the procedure.
Based on the O.M. issued by the SPO, the F&AO will reduce the value of Assets & Liabilities in the Annual Accounts.
After obtaining the approval of the Director to declare the items as surplus/ obsolete/unserviceable, these items will be removed from the Stock Ledgers with suitable entries. Entries will also be made in the Disposable Stores Register. An O.M. containing the details of item, its value, head of account, etc. will be issued by the SPO conveying the approval of the Competent Authority to declare such items as surplus/ obsolete/unserviceable and also convey the items to be written off in the Books of Accounts. A copy of each order declaring Stores as surplus/obsolete/ unserviceable should be endorsed to the F&AO of the Lab./CSIR as per the procedure.
Based on the O.M. issued by the SPO, the F&AO will reduce the value of Assets & Liabilities in the Annual Accounts.
Surplus: Items that are in working order but are not required for use in a particular Section/Division/Institute and stock lying in Stores for more than five years shall be deemed as surplus unless there is any good reason to treat them otherwise.
Obsolete: Items in working order but cannot be put into use effectively being outdated due to change in technology/design.
Unserviceable: Items which are not in working order, outlived their normal span of life and are beyond economic repair.
Unserviceable: Items which are not in working order, outlived their normal span of life and are beyond economic repair.
Scrap: Process waste, broken items and items not covered above but has got resale value such as empty containers, crates, bottles, plastic jars, drums, etc.
Categorization
Categorization
The HoD shall compile a list of material that has become surplus/unserviceable in prescribed proforma duly citing reasons. Similarly, the SO (S&P) In-charge of Stores will review the stock of all items to determine the slow-moving and non-moving items and put up to the Standing Disposal Committee (SDC) for further action.
Inspection
The SDC shall examine the material to be declared as surplus/obsolete or unserviceable taking into account the stipulated life period of each item, overall condition of the items, the reasons for obsolescence, requirement of such items in future, negligence or mischief or fraud on the part of any individual for such loss. The SDC may appoint a Technical Committee for the purpose, if required.
The SDC shall examine the material to be declared as surplus/obsolete or unserviceable taking into account the stipulated life period of each item, overall condition of the items, the reasons for obsolescence, requirement of such items in future, negligence or mischief or fraud on the part of any individual for such loss. The SDC may appoint a Technical Committee for the purpose, if required.
Mode of disposal
a) By gift to Educational Institutions;
b) By transfer to other CSIR Labs.
c) By public auction;
d) By Limited tendering; and
e) By Open tender
a) By gift to Educational Institutions;
b) By transfer to other CSIR Labs.
c) By public auction;
d) By Limited tendering; and
e) By Open tender
Disposal of samples
The samples shall be placed before the Inspecting Officer, and after the goods have been inspected and approved, the same shall be disposed of as per the instructions of the SPO, either by returning to the firm through Non-returnable Gate Pass or to be amalgamated with the incoming supplies or by other suitable measures which are considered to be advantageous to the Lab. Care should be taken to avoid their misuse, unnecessary accumulation and occupation of valuable space.
The samples shall be placed before the Inspecting Officer, and after the goods have been inspected and approved, the same shall be disposed of as per the instructions of the SPO, either by returning to the firm through Non-returnable Gate Pass or to be amalgamated with the incoming supplies or by other suitable measures which are considered to be advantageous to the Lab. Care should be taken to avoid their misuse, unnecessary accumulation and occupation of valuable space.
The receipt of gifts will be entered in the DRR and thereafter in the Gift Register. The gifts can be issued on the approval of the Director in the best interest of the Lab./Council.
Gifting to Educational Institutions
Items that are in working condition and declared to be surplus or obsolete can only be gifted to other recognized educational institutions on the following terms and conditions:
Items that are in working condition and declared to be surplus or obsolete can only be gifted to other recognized educational institutions on the following terms and conditions:
a) The items of equipment will be offered as gift on "as-is-where-is-basis";
b) Imported items can be gifted to an educational institution as per the provisions of FEMA/Exchange Control Manual of RBI;
c) The title of the equipment will pass on to the receiving organizations on receipt of a formal acknowledgement;
d) Any cost associated with transfer shall be borne by the receiving organization; and
e) Equipments received as gift under agreement with the International Bodies like UNDP/UNESCO, etc. would be disposed only in accordance with the terms and conditions agreed to between CSIR and such international bodies.
b) Imported items can be gifted to an educational institution as per the provisions of FEMA/Exchange Control Manual of RBI;
c) The title of the equipment will pass on to the receiving organizations on receipt of a formal acknowledgement;
d) Any cost associated with transfer shall be borne by the receiving organization; and
e) Equipments received as gift under agreement with the International Bodies like UNDP/UNESCO, etc. would be disposed only in accordance with the terms and conditions agreed to between CSIR and such international bodies.
Preference may be given to schools situated within the campus of CSIR Labs., Central / State Govt. Schools / Training Institutions.
Transfer
A list of surplus/obsolete stores only has to be circulated among all CSIR Labs. Transfer of these stores from one Lab. to the other will be made on "Book Transfer" basis in prescribed proforma. The SPO shall furnish the copy of approval of the competent authority along with copy of Stores Transfer Voucher to Finance & Accounts Section to make necessary adjustment in the Balance Sheet. However, adoption of the value of such assets by the receiving Lab. must be ensured.
A list of surplus/obsolete stores only has to be circulated among all CSIR Labs. Transfer of these stores from one Lab. to the other will be made on "Book Transfer" basis in prescribed proforma. The SPO shall furnish the copy of approval of the competent authority along with copy of Stores Transfer Voucher to Finance & Accounts Section to make necessary adjustment in the Balance Sheet. However, adoption of the value of such assets by the receiving Lab. must be ensured.
Public auction
If the SDC considers that public auction is the most suitable course of action for disposal and the chances of forming a cartel is not there, the Lab. may resort to disposal by public auction. If the value of material is substantial, engaging a Govt. recognized auctioneer to conduct a public auction may be considered by the competent authority. Every bidder in auction shall have to deposit caution money to become eligible for bidding. The SDC shall fix the amount of caution money. An EMD of 25% has to be paid by the successful firm at the fall of hammer after adjustment of the caution money. The caution money of the unsuccessful bidders should be refunded immediately after the auction. The highest bidder shall pay the balance 75% within 5 days. The material will be handed over to the bidder on receipt of payment. The SDC may attend the public auction or nominate a sub-committee to attend the same.
If the SDC considers that public auction is the most suitable course of action for disposal and the chances of forming a cartel is not there, the Lab. may resort to disposal by public auction. If the value of material is substantial, engaging a Govt. recognized auctioneer to conduct a public auction may be considered by the competent authority. Every bidder in auction shall have to deposit caution money to become eligible for bidding. The SDC shall fix the amount of caution money. An EMD of 25% has to be paid by the successful firm at the fall of hammer after adjustment of the caution money. The caution money of the unsuccessful bidders should be refunded immediately after the auction. The highest bidder shall pay the balance 75% within 5 days. The material will be handed over to the bidder on receipt of payment. The SDC may attend the public auction or nominate a sub-committee to attend the same.
Limited tender
The SDC can recommend disposal of stores costing up to Rs.5.00 lakhs by Limited Tender. The Lab. may decide on the quantum of EMD which should be in the form of demand draft/banker's cheque. The Tender Opening Committee in the presence of the bidders will open the quotations on a particular date and time. The SDC should ensure fixation of Reserve Price after the bids have been received but before the same are opened. The time limit for the bidders for taking delivery of the goods after payment of the bid value including amount of penalties for late lifting may be decided on case to case basis by the SDC. EMD of unsuccessful bidders has to be refunded immediately.
The SDC can recommend disposal of stores costing up to Rs.5.00 lakhs by Limited Tender. The Lab. may decide on the quantum of EMD which should be in the form of demand draft/banker's cheque. The Tender Opening Committee in the presence of the bidders will open the quotations on a particular date and time. The SDC should ensure fixation of Reserve Price after the bids have been received but before the same are opened. The time limit for the bidders for taking delivery of the goods after payment of the bid value including amount of penalties for late lifting may be decided on case to case basis by the SDC. EMD of unsuccessful bidders has to be refunded immediately.
Open tender
The SDC can recommend disposal of stores costing more than Rs.5.00 lakhs by Open Tendering. In this case all the procedure outlined for Limited Tendering will be followed. In addition, a charge of Rs.100/- to 200/- depending upon the cost of Stores to be disposed may be levied from the bidders towards the cost of tender document.
The SDC can recommend disposal of stores costing more than Rs.5.00 lakhs by Open Tendering. In this case all the procedure outlined for Limited Tendering will be followed. In addition, a charge of Rs.100/- to 200/- depending upon the cost of Stores to be disposed may be levied from the bidders towards the cost of tender document.
Low-value items
Articles of low value like empties, newspapers, packing material, plastic material, bottles, etc. which are voluminous in nature and also hazardous may be disposed off directly by the SPO after giving adequate publicity without making any reference to the SDC at periodical intervals so as to make space available for other purposes.
Articles of low value like empties, newspapers, packing material, plastic material, bottles, etc. which are voluminous in nature and also hazardous may be disposed off directly by the SPO after giving adequate publicity without making any reference to the SDC at periodical intervals so as to make space available for other purposes.
Reserve Price
Once the bids are received, the SDC will meet to decide the Reserve Price for disposal of such stores. While fixing the Reserve Price the Committee shall take the overall condition of the item vis-à-vis the market price of such second-hand material. The Reserve Price shall be kept in a sealed cover which will be opened after opening the bids to compare the bid prices with the Reserve Price.
Once the bids are received, the SDC will meet to decide the Reserve Price for disposal of such stores. While fixing the Reserve Price the Committee shall take the overall condition of the item vis-à-vis the market price of such second-hand material. The Reserve Price shall be kept in a sealed cover which will be opened after opening the bids to compare the bid prices with the Reserve Price.
Evaluation of offers
After the bids are opened, a comparative statement will be prepared by SPO. The highest bid will be compared with the Reserve Price. If the highest bid price is more than the Reserve Price, prior approval of the competent authority will be taken and the items are offered to the highest bidder. In case, the highest bid price is less than the Reserve Price, the SDC will once again go through the Reserve Price to take a decision either to recommend disposal at the highest bid price, provided the difference between the Reserve Price and highest bid price is less than 10%, or to negotiate with the highest bidder to increase his bid price above the Reserve Price or to re-tender.
After the bids are opened, a comparative statement will be prepared by SPO. The highest bid will be compared with the Reserve Price. If the highest bid price is more than the Reserve Price, prior approval of the competent authority will be taken and the items are offered to the highest bidder. In case, the highest bid price is less than the Reserve Price, the SDC will once again go through the Reserve Price to take a decision either to recommend disposal at the highest bid price, provided the difference between the Reserve Price and highest bid price is less than 10%, or to negotiate with the highest bidder to increase his bid price above the Reserve Price or to re-tender.
Lifting by bidder
The delivery of the material will be given to the highest bidder or his authorized representative only after full payment is deposited in cash or through demand draft/banker’s cheque. On production of the receipt, the Stores Officer will physically hand over the items to the party and issue Non-returnable Gate Pass enabling the purchaser to take out the items. The details of the items sold should be made available with the Gate Pass in order to facilitate security check. The Stores Officer shall also record disposal/ removal of the material in the relevant columns of the Disposable Stores Register.
The delivery of the material will be given to the highest bidder or his authorized representative only after full payment is deposited in cash or through demand draft/banker’s cheque. On production of the receipt, the Stores Officer will physically hand over the items to the party and issue Non-returnable Gate Pass enabling the purchaser to take out the items. The details of the items sold should be made available with the Gate Pass in order to facilitate security check. The Stores Officer shall also record disposal/ removal of the material in the relevant columns of the Disposable Stores Register.
Write-off of losses
Reporting losses: The user through his HoD shall report the loss of stores giving details thereof to the SPO, Vigilance Officer and Director of the Lab. The Director may decide as to whether the same is to be reported to CSIR or not. Simultaneously, the Vigilance Officer of the Lab. would take up the matter with Police, if necessary. The Director should exercise his discretion in determining at what stage report should be sent to Police.
Investigation: On receipt of the report of the loss from the user, SPO shall put up the matter to the Director for appointment of an Officer to investigate the loss. While investigating, the provisions contained in Rule 37 of (latest) GFR, read with Appendix-1 shall be followed. The Investigating Officer may recommend measures to be taken to prevent recurrence of such losses in the form of a Report within a month so that prompt pursuant action could be initiated.
In case of loss due to negligence on the part of an individual or group of individuals, the matter shall be investigated into the circumstances leading to the loss and the element of personal responsibility shall be assessed for recovery of proportionate cost, or recommend disciplinary action as per rules. The term "Value" for this purpose shall be interpreted as meaning the "Book Value".
In case, personal responsibility cannot be fixed, a loss statement will be raised in prescribed proforma for the approval of the competent authority for write-off of the Book Value of the material and a copy of the enquiry report shall be attached therewith in all cases. In the absence of Book Value, market value shall be written-off.
The write-off of the value of stores is necessitated only in cases where the item in question is physically not available. No separate sanction for write-off of the value of the stores is required when the items are physically available and are declared as obsolete, surplus or unserviceable.
In addition to the above there may be different types of losses like loss due to damage, breakage or wastage in handling, faulty storage, lack of preservation, leakage, spillage, evaporation, shortage, breakage in transit or even discrepancies discovered during stock verification. The nature of loss has to be determined on case-to-case basis.
In addition to the above there may be different types of losses like loss due to damage, breakage or wastage in handling, faulty storage, lack of preservation, leakage, spillage, evaporation, shortage, breakage in transit or even discrepancies discovered during stock verification. The nature of loss has to be determined on case-to-case basis.
Losses due to theft, fraud, negligence, sabotage, etc.: Procurement made in excess of requirement, sabotage, etc. will fall under this category. After conducting proper investigation, if it is established that the loss is irrecoverable, it shall be regularized by raising a loss statement in prescribed proforma in triplicate, and on the recommendation of the Investigating Authority, sanction of the competent authority shall be taken for its write-off. In these cases, the Book Value of the material shall be written-off.
Losses not due to theft, fraud, negligence: Fair wear and tear, calamities like flood, earthquake, etc. will fall under this category. In such cases, the matter should be fully investigated by a responsible Officer and losses have to be written off by recording a Certificate to the effect that such losses are not due to negligence on the part of any member of staff. Such Certificate is required to be recorded even in case of losses that are revealed during stock verification, if they are due to erroneous posting or non-posting of vouchers.
Losses due to natural calamities like fire, flood, cyclone, earthquake, etc. shall be reported to CSIR immediately mentioning the book value of the stores lost or damaged or destroyed.
Competent Authority to write-off:
Director M.C. DG, CSIR
Irrecoverable loss of stores:
Rs.10000 Rs.50000 Full
Loss of stores not due to theft, fraud, negligence, etc.:
Rs.50000 Rs.2.00 lakhs Full
Maintenance of Ledgers & Vouchers
The Stock Ledgers in respect of Consumable stores; and Asset stores have to be maintained in prescribed proforma with care and diligence. Necessary entries in respect of number of pages contained in the registers and their subsequent utilization have to be recorded.
Receipt of vouchers and Issue of Vouchers have to be done in accordance with the prescribed procedure.
Director M.C. DG, CSIR
Irrecoverable loss of stores:
Rs.10000 Rs.50000 Full
Loss of stores not due to theft, fraud, negligence, etc.:
Rs.50000 Rs.2.00 lakhs Full
Maintenance of Ledgers & Vouchers
The Stock Ledgers in respect of Consumable stores; and Asset stores have to be maintained in prescribed proforma with care and diligence. Necessary entries in respect of number of pages contained in the registers and their subsequent utilization have to be recorded.
Receipt of vouchers and Issue of Vouchers have to be done in accordance with the prescribed procedure.
Physical verification of stores
Annual physical verification of stores is the process of actual counting, weighing and measuring all items of stock, recording the results and to ensure that the materials are according to the nomenclature, description, specification shown in the stock ledgers and the actual balances of such stocks agree with balances appearing in the books and are confirmed and authenticated. The excess or shortage, if any, brought to notice on such verification is properly investigated and accounted for.
Stores verification discloses any weakness or defects in the system for the custody and control of stock besides bringing the stock accounts up-to-date. It reveals the possibility of frauds, theft, losses due to wrong issues, negligence, misappropriation, misuse, leakage, pilferage, theft, etc. and suggests adoption of preventive measures. It also helps in clearing up surplus and obsolete items.
Annual physical verification of stores is the process of actual counting, weighing and measuring all items of stock, recording the results and to ensure that the materials are according to the nomenclature, description, specification shown in the stock ledgers and the actual balances of such stocks agree with balances appearing in the books and are confirmed and authenticated. The excess or shortage, if any, brought to notice on such verification is properly investigated and accounted for.
Stores verification discloses any weakness or defects in the system for the custody and control of stock besides bringing the stock accounts up-to-date. It reveals the possibility of frauds, theft, losses due to wrong issues, negligence, misappropriation, misuse, leakage, pilferage, theft, etc. and suggests adoption of preventive measures. It also helps in clearing up surplus and obsolete items.
Pre-requisites of verification
The verification shall be conducted in the presence of the official concerned and responsible for the custody of stores or any other responsible person deputed by him. Items which are not the inventory of the Lab/Instt. ought to be marked or labeled in advance as such. Procurement under externally-funded projects will form part of the inventory of the Lab. for this purpose.
The verification shall be conducted in the presence of the official concerned and responsible for the custody of stores or any other responsible person deputed by him. Items which are not the inventory of the Lab/Instt. ought to be marked or labeled in advance as such. Procurement under externally-funded projects will form part of the inventory of the Lab. for this purpose.
Goods under inspection have to be listed separately. Items sent for repairs or processing or stocks lying at project sites have to be listed out. Stores issued on loan must be accounted for before the stock verification takes place.
Types of verification
There shall be four types of verification:
a) 100% Internal Verification of Stores:
i) Verification of stock
ii) Verification of assets in PIR/DIR
b) Periodical verification by the Assistant (S&P)/S.O.(S&P) (Stores)
c) Surprise/spot verification by the Director or his nominee
d) Test physical verification by CSIR.
100% Internal verification of stores
Procedure of verification: Verification of stores shall not be entrusted to a person who is the custodian or the ledger keeper of the stores to be verified; and also those who are not conversant with the classification, nomenclature of stores.
There shall be four types of verification:
a) 100% Internal Verification of Stores:
i) Verification of stock
ii) Verification of assets in PIR/DIR
b) Periodical verification by the Assistant (S&P)/S.O.(S&P) (Stores)
c) Surprise/spot verification by the Director or his nominee
d) Test physical verification by CSIR.
100% Internal verification of stores
Procedure of verification: Verification of stores shall not be entrusted to a person who is the custodian or the ledger keeper of the stores to be verified; and also those who are not conversant with the classification, nomenclature of stores.
Verification shall be carried out under the general supervision of the Controller of Stores & Purchase/SPO. He shall be responsible for the proper conduct verification of stores and in this connection, he has to:
i) specify the names of the stock verifiers for each group of stores and prescribe a definite time limit for completion of 100% physical verification and submission of report;
ii) distribute the work according to the quantum of work in such a way that the prescribed time limit is strictly adhered to.
ii) distribute the work according to the quantum of work in such a way that the prescribed time limit is strictly adhered to.
The closing stock at the end of the financial year shall be taken up for verification in the presence of the custodian. At the close of the verification, the following certificate shall be given by the stores assistant and countersigned by the S.O.(S&P) (Stores): "It is certified that all stores under my charge have truly been produced and correctly been verified by the stock verifier in my presence and the postings had been brought up-to-date prior to the commencement of verification. No store has been kept back by me from verification."
Verification of assets in the PIR/DIR
The assets lying in Divisions/Sections are issued to the Scientists either on Personal Inventory basis or on Divisional Inventory basis as per the procedure for issue of stores. Most of the Labs. have already computerized the Personal Inventory Register. In such Labs. a list of all assets issued to an individual will have to be sent by 15th March every year with a copy to the Divisional Heads. The Divisional Heads will ensure that the stocks held by the individuals are verified by another Scientist/Officer within the group. The report duly authenticated by the HoD should be submitted to the SPO/S.O.(S&P) (Stores) before 15th April.
The assets lying in Divisions/Sections are issued to the Scientists either on Personal Inventory basis or on Divisional Inventory basis as per the procedure for issue of stores. Most of the Labs. have already computerized the Personal Inventory Register. In such Labs. a list of all assets issued to an individual will have to be sent by 15th March every year with a copy to the Divisional Heads. The Divisional Heads will ensure that the stocks held by the individuals are verified by another Scientist/Officer within the group. The report duly authenticated by the HoD should be submitted to the SPO/S.O.(S&P) (Stores) before 15th April.
Wherever Divisional Inventory System is followed, the Divisional Head who is already having the list of items in his Division will get the stock verified by one of the members of his group and send the report to the SPO/S.O.(S&P) (Stores) latest by 15th April. Once the records of the stores are computerized, the Stores section can forward the list of assets issued to that division to facilitate the physical verification.
Preparation of the verification report
The report may generally consist of the following three parts:
The report may generally consist of the following three parts:
List of discrepancies: The list of discrepancies will show the balance available in the ledgers either stock ledger or PIR or DIR, as the case may be, and the balance found physically.
Narrative report: The narrative report shall include a critical observation on the system of stock control, custody of stores giving suggestions/recommendations, etc. for improving the working of stores and measure for avoiding such lapses/discrepancies in future.
Other issues: Matters which the verifier may like to bring to the notice of the authorities confidentially.
Other issues: Matters which the verifier may like to bring to the notice of the authorities confidentially.
The report has to be submitted to the SPO/Director by 30th April every year for further action, with
a copy to CSIR. Necessary follow up action on the report has to be taken expeditiously.
Periodical verification
Each Stores Assistant shall check at least 10 items of stores per week and should ensure that all the items under the charge are verified during the year and the result are recorded in a register maintained for this purpose. The S.O.(S&P) (Stores) should also exercise a periodic check to examine the accuracy of stock held by the custodian. He should further ensure that verification is actually carried out by the Stores Assistant and the discrepancies have been brought to account. Besides the above, he should independently verify at least 5 items per week to ensure that the stock accounts represent a true and correct state of stores.
Each Stores Assistant shall check at least 10 items of stores per week and should ensure that all the items under the charge are verified during the year and the result are recorded in a register maintained for this purpose. The S.O.(S&P) (Stores) should also exercise a periodic check to examine the accuracy of stock held by the custodian. He should further ensure that verification is actually carried out by the Stores Assistant and the discrepancies have been brought to account. Besides the above, he should independently verify at least 5 items per week to ensure that the stock accounts represent a true and correct state of stores.
Surprise verification
Director or his nominee shall make a surprise/spot check at least twice a year to see that stock accounts of important and costly items are maintained correctly and properly; posting of vouchers are up to date; stores are well preserved and protected against risk of damage or deterioration; should ensure general security, fire precautions, cleanliness and up keep is satisfactory; and record the findings in the stock ledger.
Director or his nominee shall make a surprise/spot check at least twice a year to see that stock accounts of important and costly items are maintained correctly and properly; posting of vouchers are up to date; stores are well preserved and protected against risk of damage or deterioration; should ensure general security, fire precautions, cleanliness and up keep is satisfactory; and record the findings in the stock ledger.
Test verification by CSIR
To ensure that the process of verification is ongoing as per schedule, CSIR may depute a team of officials to have a test check on the stores activities. The duties of the test verification teams shall be similar to the stock verifiers.
To ensure that the process of verification is ongoing as per schedule, CSIR may depute a team of officials to have a test check on the stores activities. The duties of the test verification teams shall be similar to the stock verifiers.
References
1. "Rationalized Purchase Procedure", CSIR, New Delhi (1988)
2 "Purchase Procedure: 2002", CSIR, New Delhi (2002)
3. CSIR Lr. No.18-6)\(1)/2002-CTE dated 3-7-2002
4. CSIR Lr. No.15-11(1)/2002-O&M dated 6-8-2002
5. CSIR O.M.No.15-11(1)/2002-O&M dated 25-9-2002
6. CSIR Lr. No. 13-2(1)/2002-PUR dated 30-10-2002
7. "Common Irregularities/Lapses Observed in Stores/Purchase Contracts and Guidelines for Improvement in the Procurement System", CVC, GoI, New Delhi (2002)
8. CSIR Lr. No. 15-11(1)/2002-O&M dt. 29-4-2004
1. "Rationalized Purchase Procedure", CSIR, New Delhi (1988)
2 "Purchase Procedure: 2002", CSIR, New Delhi (2002)
3. CSIR Lr. No.18-6)\(1)/2002-CTE dated 3-7-2002
4. CSIR Lr. No.15-11(1)/2002-O&M dated 6-8-2002
5. CSIR O.M.No.15-11(1)/2002-O&M dated 25-9-2002
6. CSIR Lr. No. 13-2(1)/2002-PUR dated 30-10-2002
7. "Common Irregularities/Lapses Observed in Stores/Purchase Contracts and Guidelines for Improvement in the Procurement System", CVC, GoI, New Delhi (2002)
8. CSIR Lr. No. 15-11(1)/2002-O&M dt. 29-4-2004
<< Home