Organisation Study of Meenachi Mills

The goods stored in stores department will be checked manually at regular intervals. The checking period is 3 months in the GHCL mill. The stores in charger will check or compare the materials with the computer data and physical material. In GHCL mill there are 50 racks in stores department and each item is stored in separate racks. The rack is numbered from 1 to 50.

If there is need of rack in future then it can be extended.

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The rack is safely covered with door and locked, to prevent the lose of material. There is separate area for flammable things like diesel, oil, kerosene. The person is trained to handle this without spilling. The stores divided the materials into the following.

1. SPARE: The spare parts are nothing but it is additional part to the machine. When the machine parts are broken or break down the spares are used. 2. : The packing materials are used by the packing department. The packing material like box, staple, gum, etc, is stored in stores department.


The tag card contains information about the product. The tag card is tide up with the material or pasted in the material. The card contains information like date of purchase, name of the product, name of the supplier, manufacture, expiry date etc. As the stores receive the materials, the stores department will prepare the MRN. In MRN they will make entry of party name, date, department, order number, bill number, types of materials received etc.

then the department which are in need of such materials will be giving intimation by the stores to check the materials.

An authorized person from the department will come and check the materials. If there is no damage or everything is right, they sign under the accepted column, if not they sign under rejected column. The storekeeper will make the payment information in the MRN and send it to the financial department will make the payments. As the MRN copy is given to the purchase department, they will make entry in the purchase register. The damaged materials are send back to the supplier.

If supplier is local then he himself will come back and take the damaged goods, the company ask for replacement.

If the supplier is located some where, the company will send the official letter to the supplier. The suppliers have to replace the goods in short time. If not and he does not replace then the company will pass the goods only for accepted goods and close the entry. The company will select another supplier for its goods.

Four MRN copies should de prepared 1. First copy is for the accounts department. It will be the original copy. 2. Second copy is for the purchase department. 3.

Third copy is for stores. 4. Fourth copy is for billing. GATE PASS: GHCL mill is maintaining different types of gate passes for allowing the materials.