STANDARD OPERATING PROCEDURE

SOP No. : Issue Date :

DEPARTMENT
Revision No. : Effective Date :
QUALITY Supersedes No. : Review Date :
ASSURANCE Ref. SOP : Page No. :

TITLE: HANDELING OF RETURN GOODS

PURPOSE
To handle the returned finished goods properly.

SCOPE
Finished product may be returned to the Company or its authorised nominee(s), for
one or the other reasons. Such returned goods may either be destroyed or reconditioned
and made fit for use in later cases. Especially in the later one, the associated risks must be
well understood and addressed.

RESPONSIBILITY
Q.A. Manager, FGS Incharge.

PROCEDURE
The goods come back on the following grounds.

a} Heavy quantity of near expiry or the expired goods.

b} Spoilage and/or breakage of goods in transportation / transit.

c} Unsaleable goods with the Distributor.

d} Non acceptance by the Distributor, thereby to call back the consignment.

e} We decide to recall back .i.e. `RECALL’.

All the returned goods shall be properly:-

1} Documented 4} Labeled

2} Inspected 5} Segregated

3} Accounted

Further the statutory requirements are to be adhered.

The above returned goods shall be handled as under:
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a} The heavy quantity of goods with near expiry on receipt, try to dispose of with
the near by client with the hope to reduce the total loss in to the least, as well
to avoid national loss. The expired goods, on receipt, are to be destroyed, in a
way that contents are no longer usable in any manner, in presence of QA
Incharge. The documents to that effect are to be prepared. The destroyed part
is dealt properly from the angle of Effluent Treatment & Drugs & Cosmetic Act.

b} The breakage in transportation can spoil the other goods. The consignment is
to be carefully opened. The damage is to be ascertained, get it evaluated for
quantity, quality, efficacy and safety.

i} If the packing has only spoiled, try to get it freshly packed by the Production
Section.

ii} If the contents are also damaged, same may be referred to Q.C. Section.

iii} If they have become unstable/unsafe, same is to be destroyed.

iv} The product becomes unidentifiable, destroy it.

c} When the unsaleable goods a distributor wants to return, try to redirect the
goods from that point only to some other place where it gets sold. If not
receive it back, check it and send it, where it gets sold. Here only credit notes
and debit notes are to be issued for the transfer from one point to other and
not the routine invoices.
The Central Excise formality like D3 form etc. may be carried out if required (in
case where the goods comes in factory).
d} Sometimes due to any other reason, distributor may not accept the
consignment. Try to redirect it to some other party by informing it to the
transporter. If not possible, call it back, check it and sale it. However, the total
consignment received back preferably is disposed off totally, in a single stroke
only, to reduce the inventory and accounts problem. Once again Central
Excise formality may be complied upon.

DISTRIBUTION LIST

SR. NO. DEPARTMENT

1 QUALITY ASSURANCE
2 DISTRIBUTION DEPT.

Prepared By Checked By Authorised By Approved By

Status of the
Document
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