🔧 Standard Operating Procedure (SOP) for Store
Department
🏭 Boiler Manufacturing Unit
1. Objective
To establish a structured approach for managing the receipt, storage, handling, issuance, and
record-keeping of all materials and components in the store, ensuring traceability, safety, and
smooth coordination with production and quality departments.
2. Scope
This SOP applies to the entire store function, covering:
Raw materials (plates, pipes, forgings)
Bought-out items (valves, flanges, nozzles, gauges)
Consumables (electrodes, paints, gases)
Tools and equipment
Scrap and non-conforming materials
3. Roles & Responsibilities
Store Incharge
Supervise daily store activities
Ensure accurate material receipts and issues
Maintain proper documentation and traceability
Coordinate with departments (QC, Purchase, Production)
Ensure compliance with safety and quality standards
Store Assistants
Support in unloading, tagging, storage, and material movement
Maintain bin cards and physical inventory
4. Store Activities & Procedures
4.1. Material Receipt
Step 1: Verify quantity & description against PO and delivery challan
Step 2: Inform QC for visual/technical inspection
Step 3: Check for:
o MTCs (Material Test Certificates)
o Heat numbers (for traceability)
o IBR/ASME compliance (where applicable)
Step 4: Create and approve Goods Receipt Note (GRN)
Step 5: Label material with:
o Item code, grade, heat number, date
o Project/PO reference
4.2. Material Storage
Store materials in designated zones/racks:
o Plates, pipes, and sections: Floor with spacers
o Consumables: Dry storage with climate control (for electrodes)
o Tools & small parts: Shelves and labeled bins
Follow FIFO/FEFO practices
Ensure safe stacking, identification tags, and easy access
4.3. Material Issuance
Issue only against:
o Approved Material Requisition Slip (MRS)
o Job Card or Work Order
Record material issued:
o In manual register or ERP system
o Include project, job, and batch references
Ensure traceability for code materials (plates, pipes, etc.)
4.4. Return & Reconciliation
Accept unused/extra materials with a Material Return Note
Re-tag and store returned items properly
Reconcile with original issue records
4.5. Scrap & Rejection Handling
Collect and segregate:
o Fabrication scrap
o Rejected or damaged materials
Mark clearly and store in designated scrap area
Maintain a Scrap Register
Coordinate disposal as per company policy and QC approval
4.6. Housekeeping & Safety
Implement 5S practices: Sort, Set, Shine, Standardize, Sustain
Keep material zones clean, organized, and hazard-free
Ensure PPE usage by staff
Fire extinguishers and emergency access must be maintained
5. Inventory Management
Maintain:
o Daily issue and receipt logs
o Monthly physical stock checks
o Bin cards or ERP-based tracking
Monitor:
o Reorder levels
o Slow-moving/obsolete stock
Prepare Monthly Inventory Report for management
6. Documentation & Records
Document Name Maintained By Retention Period
Goods Receipt Note (GRN) Store Incharge 5 Years
Material Requisition Slip Store Incharge 2 Years
Material Issue Register Store Clerk 5 Years
Scrap Disposal Record Store Incharge 3 Years
Bin Cards / ERP Stock Reports Store Clerk Ongoing
Calibration Records (if any) Store Incharge As per schedule
7. Coordination Flow
With QC: Material approval, rejection, MTC validation
With Purchase: PO clarification, follow-up
With Production/Planning: Job-specific issuance, forecasting
With Accounts: GRN for supplier invoice processing
8. Key Performance Indicators (KPIs)
KPI Target
Inventory accuracy (%) ≥ 98%
Material issuance time per request ≤ 30 minutes
Scrap generation (per project) Minimized
GRN creation time after receipt ≤ 24 hours
9. Audit & Review
Perform monthly internal audits of physical stock
Ensure readiness for:
o IBR/ASME inspections
o ISO 9001 quality audits
Review SOP annually or upon major process change
10. Compliance Notes
All boiler material must follow traceability norms (MTC, heat number)
Welding consumables must be stored in dry ovens per WPS/WPQ standards
Non-conforming items must be handled as per NCR procedures
