Purchasing System for Central Maintenance Store of Loadstar (Pvt) Limited

Abstract

This paper explains system design & development information of Purchasing System for Loadstar Maintenance Stores. The main objective of the project is to design & develop a Purchasing System, which should be integrated with the existing Multiple-Warehouse Inventory Control System of Loadstar Maintenance Stores. All activities of purchasing function are facilitated in the new system. Purchasing of an item is initiated through a Purchase Requisition (PR). PR’s are auto generated by the system based on the re-order model, which was designed to cater the requirement of Loadstar. The re-order model enable Loadstar to maintain sufficient stock level for all inventory items in Central Maintenance Store, which purchase items to be supplied to other warehouses. Special PR’s are generated for requirements that were not reflected in the re-order model. PR’s of locally purchased items and that of imported items are automatically transmitted to respective purchasing department by the system. Combining of items from multiple PR’s are allowed in the system when quotations are called and orders are placed. This allows Loadstar to obtain mass purchase discounts and reduce freight cost. The system facilitates calling of quotations from many suppliers. Selecting of suppliers for calling of quotations are being done based on item-supplier relationship established in the system. Quotations could either be printed or sent electronically. Updating of quoted prices sent by suppliers could be done in the system. The price comparison report is printed by the system, indicating best quoted price for each item in the quotation. Selecting of suppliers to place orders is done by the purchasing department. Once the ordered goods are received at the stores department, Goods Received Note is entered in the Warehouse Inventory Control System, which completes the life cycle of a PR. The system provides many reports that are useful in monitoring of purchasing activities. In addition, it provides vital information about purchase history, items supplied by suppliers and history of quoted prices by suppliers. This information is very useful to decide on a purchase price and to select a supplier.