NNPCL Stock Transfer Procedures PDF

NNPC Limited SCM Processes and Procedures 23.0 Stock Transfer This process is designed to provide the standard for the movement of accepted goods from the receiving unit to a storage location, movement of materials between storage locations and or movement of stock items from one Plant to another....

NNPC Limited SCM Processes and Procedures 23.0 Stock Transfer This process is designed to provide the standard for the movement of accepted goods from the receiving unit to a storage location, movement of materials between storage locations and or movement of stock items from one Plant to another. Objectives The objective of Stock Transfer process is to ensure: • • • • • • Assimilation of new ranges of stock into warehouse. Re-locating faster moving stocks for ease of issue. Improve storage conditions to increase shelf life. Transfer of goods from one plant to another to meet desired need. Transfer from one storage location within a plant to another storage location of same plant to meet desired need. Transfer to a temporary location prior to disposal. 23.1 Stock Transfer Policies S/N Description 1. Compliance with Logistics and Warehousing Policy a. SCM shall ensure proper receipt, labelling and documentation of all incoming materials. b. NNPC Limited shall operate an alpha-numeric location-based coding system for easy materials location and retrieval. 2. Compliance with NNPC Limited HSE standards NNPC Limited is committed to observance and maintenance of high standard of Health, Safety and Environmental Protection in line with approved NNPC Limited Policy: a. All hazardous materials such as chemicals shall be accompanied with Materials Safety Data Sheet (MSDS). This requirement shall be stated in the Stock Transfer Order for each individual hazardous material and describe the following: i. Make-up/Composition of the Hazardous Material. ii. Handling & Storage of the Hazardous Material. iii. Treatment of the Hazardous Material if spilled, etc. or if it comes in contact with people 171 NNPC Limited SCM Processes and Procedures 23.2 Stock Transfer Procedures for Transfer of Accepted Goods (Stock Items) to Warehouse Responsible Party Description Receiving (N-6) Label each accepted material with the code number, description of the item and equipment tag number. 2. Receiving (N-6) Dispatch the materials with all relevant documents including materials receipt voucher, delivery note, and a copy of acceptance certificate. Microsoft Word 3. Warehouse (N6) Confirm materials specification against the original Purchase Order (PO) at the Warehouse. PO, ERP, MRV S/N 1. Job Aid Note: If there is any discrepancy, Officer, Warehousing shall request Officer, Receiving to issue a discrepancy note If there are no discrepancies the Warehouse Officer shall perform the following: • • • • • Goods Movement (Release from Block Stock to Unrestricted Stock) in ERP. Review the requirement and confirm space availability in the destination storage location. Ensure that all items are clearly labelled with the code number, description of the item and equipment tag number. Ensure that the materials are properly arranged and if necessary, preserve materials, prior to putting them away. Locate materials in existing or new storage location, update quantity on warehouse card and MRV (Material Receipt Voucher) with storage location. 4. Warehouse/Rec eiving (N-6) Issue materials using Material Issue Voucher (MIV) to User after materials inspection and acceptance if material is for direct use. MIV (Multiple/ Single) 5. Warehouse/Rec eiving (N-6) Keeps record. ERP 172 NNPC Limited SCM Processes and Procedures 23.3 Stock Transfer Procedures for Transfer of Goods between Storage Locations S/N Responsible Party Description 1. Issuing Warehouse (N-6) Confirm space availability in the destination storage location. Issuing Warehouse (N-5) Obtain approval of the Head, Warehouse to transfer the material to the desired storage location. 2. 3. Issuing Warehouse (N-6) 4. Issuing (N-6) 5. Perform stock transfer and ensure that the materials are adequately packed to avoid loss in transit. MSDS must be attached for chemicals or hazardous materials. Move materials using Material Transfer Voucher (MTV) as the Dispatch document for proper accountability of the handover of the material to Warehouse the destination storage location. Receiving Warehouse (N-6) The Officer, Warehousing shall ensure that the physical quantities of materials are counted before and after the transfer. Receive the materials if the quantities are correct and carry out Goods Receipt. Note: • • 6. Receiving Warehouse (N-6) If there is any discrepancy such as incorrect quantity, Officer, Warehouse shall reject the materials and kept in a quarantine area until all issues are resolved. The destination Officer, Warehouse shall only endorse the MTV if discrepancy is resolved. Ensure that all items are clearly labelled with the code number, description of the item and equipment tag number. 173 NNPC Limited SCM Processes and Procedures 7. Receiving Warehouse (N-6) Ensure that the materials are properly arranged and if necessary, preserve materials, prior to putting them away. 8. Receiving Warehouse (N-6) Locate materials in existing or new storage location, update quantity on warehouse card and MTV with storage location for materials transferred. 23.2.2 Stock Transfer Procedures for Transfer of Goods from One Plant (SBU/CSU) to Another S/N Responsible Party 1. Issuing (N-4) 2. Issuing (N-6) Description Job Aid Approve request for transfer of goods from one plant to another. Email Perform Stock transfer. 3. Issuing (N-6) Ensure that the materials are adequately packed to avoid damage or loss in transit. 4. Issuing (N-4) Endorse Material Transfer Voucher (MTV). 5. Receiving (N-5) Arrange for vehicle for the transfer of the materials. 6. Receiving (N-5) Process gate pass for the transfer of the materials in accordance with the gate-pass procedure. 7. Receiving (N-5) Arrange for the receipt of the materials in accordance with the goods receipt procedure. ERP ERP 174 NNPC Limited SCM Processes and Procedures 23.2.2 Stock Transfer Procedures for Transfer of Goods from One Plant (SBU/CSU) to Another 8. Receiving (N-6) Endorse all relevant documents, waybill, gate pass, etc. Note: The endorsement of the waybill shall be the only basis for the SBU/CSU to submit his/her invoice for processing. Where the materials are rejected, go to step 9. Where the materials are accepted, go to step 10. 9. Receiving (N-6) Where the materials are rejected • • • • 10. Receiving (N-6) If there is any discrepancy such as not meeting destination plant requirements Officer, Receiving shall reject the materials and kept in a quarantine area until all issues are resolved. If the issues cannot be resolved Officer, Receiving, shall reject the transferred materials with reasons. Any goods rejected by the destination plant shall be returned to the originating plant. This shall be done within a reasonable time (not more than one week from the date of receipt). The Officer, Receiving, of the originating plant shall receive all materials rejected by the destination plant and launch an investigation based on the reasons for the rejection. Where the materials are accepted • • If the materials are accepted, the Officer of the destination plant shall transfer the materials to warehouse (if stock item) using the material transfer procedures. If material is for Direct Use, Officer, Receiving shall issue materials using Multiple/Single Material Issue Voucher (MIV) to User after materials inspection and acceptance. 175 NNPC Limited SCM Processes and Procedures 23.2.3 Stock Transfer Procedures for Return of Issued Goods to Warehouse S/N 1. Responsible Party User Department (N-5/6) 2. User Department (N-6) 3. Description Job Aid When there is need to return received materials to the warehouse. Email Obtain approval of the User Department (N4), to return materials and forward to warehouse. Move materials using Material Return Form (MRF) as the Dispatch document for proper accountability of the handover of the material to the destination storage location. MRF The Officer, Warehousing shall ensure that the physical quantities of materials are counted before receipt. Receiving Receive the materials if the quantities are Warehouse (N- correct and carry out Goods Receipt. 6) ERP, MRF Note: If there is any discrepancy such as incorrect quantity, Officer, Warehouse shall issue a discrepancy note. The destination Officer, Warehouse shall only endorse the MRF if discrepancy is resolved. 4. Receiving Warehouse (N6) Ensure that all items are clearly labelled with the code number, description of the item and equipment tag number. 5. Receiving Warehouse (N6) Ensure that the materials are properly arranged and if necessary, preserve materials, prior to putting them away. 6. Receiving Warehouse (N6) Locate materials in existing or new storage location, update quantity on warehouse card and MRF with storage location. MRF, ERP 176 NNPC Limited SCM Processes and Procedures 23.3.1 Stock Transfer Input & Output Documents for Transfer of Accepted Goods (Stock Items) to Warehouse Document Description Type Frequency Source Recipient 1. Waybill Input As required SCM (Goods Receipt) (N-6) SCM (Warehouse) (N-6) 2. Materials Receipt Voucher Input As required SCM (Goods Receipt) (N-6) SCM (Warehouse) (N-6) 3. Delivery Note Input As required SCM (Goods Receipt) (N-6) SCM (Warehouse) (N-6) 4. Acceptance Certificate Input As required SCM (Goods Receipt) (N-6) SCM (Warehouse) (N-6) 5. Goods Receipt Note Output As required SCM (Warehouse) (N-6) SCM (Goods Receipt) (N-6) 6. Materials Issue Voucher Output As required SCM (Warehouse) (N-6) User Department (N-6) S/N 23.3.2 Stock Transfer Input & Output Documents for Transfer of Goods between Storage Locations Document Description Type Frequency Source Recipient 1. Material Transfer Voucher (MTV) Input/ Output As required SCM (Issuing Warehouse) (N-6) SCM (Destination warehouse) (N-6) 2. Goods Receipt Note Output As required SCM (Destination warehouse) (N-6) SCM (Issuing Warehouse) (N-6) S/N 177 NNPC Limited SCM Processes and Procedures 23.3.3 Stock Transfer Input & Output Documents for Transfer Goods from One Plant (SBU/CSU) to Another Document Description Type Source Recipient 1. Waybill Input SCM Issuing (N-5/6) SCM Receiving (N-5/6) 2. Materials Transfer Voucher Input/Output As required SCM Issuing (N-5) SCM Receiving (N-4) 3. Outward Gate Pass Output As required SCM Issuing (N-5/6) SCM Receiving (N-5/6) 4. Acceptance Certificate Output As required SCM Issuing (N-6) SCM Receiving (N-6) 5. Goods Receipt Note Input/Output As required SCM Receiving (N6) SCM Issuing (N-6) 6. Materials Issue Voucher Output As required SCM (Warehouse) (N-6) User Department (N-6) S/N Frequency As required 23.3.4 Stock Transfer Input & Output Documents for Return of Issued Goods to Warehouse Document Description Type Frequency Source Recipient 1. Material Form Return Input/ Output As required User Department (N-5/6) SCM Warehouse (N-6) 2. Goods Note Receipt Output As required SCM Warehouse (N-6) User Department (N-6) S/N 178 NNPC Limited SCM Processes and Procedures 23.4 Stock Transfer Key Performance Indicators Basis of Measurement Timeframe Target of Errors or omissions in the details when matching the PO and Waybill to each other. As required Zero error S/N Performance Measure 1. Completeness Waybill & PO 2. Timeliness Inspection Report of Team Latest date for completion of the inspection team report As required 3 days 3. Accuracy of MRV, MTV, MRF & Goods Receipt Note Number of material errors, omissions, and misrepresentations in the document As required Zero error 4. Timeliness of Rejection Notice Latest date for communication of the rejection notice As required 1 day 179 NNPC Limited SCM Processes and Procedures 180 NNPC Limited SCM Processes and Procedures 181 NNPC Limited SCM Processes and Procedures 182 NNPC Limited SCM Processes and Procedures 183