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Issuing Department /Section

Document No.

INVENTORY
DEPARTMENT

SOP-INV-04

Reference No.

Sectio
n

Revision
No.

Page 1 of
2

00

Title

New Items Approval- Internal Code Creation

1.0 PURPOSE
1.1 To ensure only items approved by the management are purchased for retailing.
1.2 To ensure all new items purchased in to the company for retailing are uniquely registered into
the system with a unique code for monitoring purposes.
1.3 To ensure the facilitating documents are properly completed and authorized by the appropriate
signatories.
1.4 To ensure there is communication, coordination and segregation of duties between the
concerned Departments.

2.0 SCOPE
2.1 This procedure covers the purchasing of new items and creation of the new item internal code
in the system for all RH Trading Branches.

3.0 DEFINITIONS
3.1 Internal Code Creation Form: a document that is used to fill in supplier, purchasing and
inventory information that assists to facilitate the creation of supplier and item details and
codes.
3.2 Supplier Accreditation Requirement Form: a form that outlines the requirements a supplier has
to meet in order to supply a particular item.
3.3 Vendor List of Suppliers: a document or schedule that is used to register all the approved
suppliers of the company with their necessary item details.
3.4 Internal Code: an item code that is created in the system that is used to uniquely monitor the
item.

Issuing Department /Section

Document No.

INVENTORY
DEPARTMENT

SOP-INV-04

Reference No.

Sectio
n

Revision
No.

Page 2 of
2

00

Title

New Items Approval- Internal Code Creation


3.5 Supplier Account Code: a code that is used by the company to distinguish a supplier from other
suppliers in the system. It is sent from the suppliers.
3.6 Internal code creation: a process of inserting details of an item and creating the items unique
code in the system.

4.0 REFERENCE DOCUMENTS


4.1 Supplier Accreditation Requirement Form
4.2 Purchase Order
4.3 Internal Code Creation Form
4.4 Vendor list of suppliers

5.0 Responsibilities
5.1 The Purchasing Manager shall be responsible for the Overall implementation of this procedure
and authorizing the Purchase order prepared by the Purchasing Officer and recommending the
ICC Form for the purchase of new item.
5.2 The Purchasing Officer shall be responsible for the following:
5.2.1

Informing the selected supplier to fill in the necessary portions of the ICC Form,
completing ICC Form and the Purchase Order and forwarding it to the Purchasing
Manager.

5.2.2

Registering the new supplier in the vendor list of suppliers and issuing the Purchase
Order to the supplier.

5.3 The Inventory Officer shall be responsible for the following:

Issuing Department /Section

Document No.

INVENTORY
DEPARTMENT

SOP-INV-04

Reference No.

Sectio
n

Revision
No.

Page 3 of
2

00

Title

New Items Approval- Internal Code Creation


5.3.1

Evaluating the authorized Internal Code Creation Form, inserting the item details in
the system and creating the Supplier Account Code, Internal Code Assigned, Serial
No and Item Group in the system.

5.3.2

Filling in the necessary portions on the form and forwarding the form to the
Purchasing Officer.

5.4 The Operations Manager and Sales Manager shall be responsible for supporting and agreeing
to the purchasing of new item and code creation by signing on their portions.
5.5

The General Manager and Executive Director shall be responsible for approving and
authorizing the item code creation by signing on their portions.