Document.
No PUR-DPR-
02
PROCESS PROCEDURE Revision No 00
Issue No: 01 Revision Date 10.02.24
Issue Date: 10.02.24 PURCHASE Page No 1 of 7
This procedure is applicable for purchase planning, purchase of raw materials,
Scope production consumables, packing materials and maintenance spares, and monitoring of
supplier performance and supplier development.
Material requirement plan from planning, Purchase requisition, Engineering release
Process Inputs
from development, PO tracker, Supplier Evaluation.
Approved Supplier List, Purchase order & Schedule, Amendments, Supplier
Process Outputs
Performance Rating, Supplier Audit report and CA
Process Owners In-charge - Purchase, Head Quality
PROCESS MEASURES
S. No Process Measure UOM
1 Supplier Performance Rating %
2 Supplier Development Activities completed %
3 On time receipt - RM & consumables %
4 Cost reduction - RM & consumables Rupees
PROCESS PROCEDURE
S. Persons
Activity Documents Records
No Involved
1 Supplier Selection & Approval Supplier
The priority for the selection of Suppliers for registration
management depends upon the form In charge
1. Nature and importance of the material supplied PUR-SFS- Purchase.
05
2. The value of materials
3. The present level of materials
Panoply follows a documented supplier selection
process. The selection process shall include:
a) An assessment of the selected supplier’s risk to
product conformity and uninterrupted supply of the
organization’s product to their customers;
b) Relevant quality and delivery performance
c) An evaluation of the supplier’s quality
management system;
Prepared by (Name) Mr..Dinakaran.T Approved by (Name) Mr..Dhinakaran.G
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Document. No PUR-DPR-
02
PROCESS PROCEDURE Revision No 00
Issue No: 01 Revision Date 10.02.24
Issue Date: 10.02.24 PURCHASE Page No 2 of 7
S. Persons
Activity Documents Records
No Involved
d) Multidisciplinary decision making; and
Other supplier selection criteria that are considered
includes the following:
- Volume of business (absolute and as a percentage
of total business);
- Financial stability
- Purchased product, material, or service complexity;
- Adequacy of available resources (e.g., people,
infrastructure);
- Design and development capabilities (including
project management);
- Manufacturing capability;
- Change management process;
- Business continuity planning (e.g., disaster
preparedness, contingency planning);
- Logistics process;
Customer service
The new suppliers are selected by members from
Materials, Quality, and finally approved by Managing
Director.
A supplier QMS audit is conducted (for Raw Material
suppliers and Manufactures only) prior to selection of
the suppliers. Trial Purchases and Pilot lot purchases
and related performance data are considered before
approval of the supplier.
2 New Suppliers are identified through catalogue, Supplier
personal contacts, and reference from other companies, registration In charge
customers. New Supplier are requested to give the form Purchase
details as per Supplier Assessment Form.
3 Supplier management team reviews the Details
provided in supplier assessment form. If they are Supplier
satisfied with the details provided a visit to the supplier registration
plant is carried out (for Raw Material suppliers and form
Manufactures only) by supplier management and
quality assurance/Purchase Person.
During this visit the following point are reviewed.
Prepared by (Name) Mr..Dinakaran.T Approved by (Name) Mr..Dhinakaran.G
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Document. No PUR-DPR-
02
PROCESS PROCEDURE Revision No 00
Issue No: 01 Revision Date 10.02.24
Issue Date: 10.02.24 PURCHASE Page No 3 of 7
S. Persons
Activity Documents Records
No Involved
Equipment and Machineries
Inspection Test facilities
Technical Capabilities Purchase.
Management Commitment
Financial Capabilities
Communication Facilities.
Certification to Quality Systems (Like ISO
9001).
House Keeping
Based on the above review supplier review report is
prepared by Supplier management team and the
recommendation is given to Managing Director.
4 If the Supplier is suitable the Samples are released Spec issue
with, specifications or standards for trail production if Specification register In charge
required model samples are provided. s Purchase
5 The sample is received from the Supplier with report, Supplier
tests certificate and specifications as suitable by Test report In charge
supplier management and handed over to QA Purchase&
Department Supplier.
6 The report along with final result is handed over to
supplier development management along with sample. Inspection In charge
A copy of the inspection report is forwarded to Report Purchase
supplier.
7 If the sample is approved supplier is recommended for Spec issue In charge
pilot lot Production. register Purchase
“Controlled Copy” of the specifications are issued to
the Supplier by supplier’s management department.
Prepared by (Name) Mr..Dinakaran.T Approved by (Name) Mr..Dhinakaran.G
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Document. No PUR-DPR-
02
PROCESS PROCEDURE Revision No 00
Issue No: 01 Revision Date 10.02.24
Issue Date: 10.02.24 PURCHASE Page No 4 of 7
S. Persons
Activity Documents Records
No Involved
12 Raw Material Planning: -
The monthly Production Schedule is forwarded by Purchase
Customer Support Department to purchase department In charge,
during the end of the month for the next month. Concern
Based on the schedule raw material requirement is department
worked out and the stock availability in the stores is HOD’s
adjusted to arrive at the material to be purchased.
Other than raw material indents are raised by
concerned department with prior approval
13 Releasing of Purchase Order: - Incoming
Material
The supplier is selected from the List of approved Purchase In
Quality Plan
supplier list on the basis of their pervious performance charge.
and cost. Approved
supplier list.
Based on the Purchase Planning, purchase schedule is
released to the suppliers during first week of every Purchase
month through email order Purchase In
charge.
Regular follow-up is carried with supplier to receive
the material as per schedule
14 Purchase order amendment
If any of the Purchase data (like rate, specification, Order Purchase in
delivery schedule etc.) varies, order amendment is Amendment charge
prepared and sent to the Supplier concerned. The record
amendments to Purchase order are Approved by
Managing Director.
15 Raw material Specification Incoming In charge QA
Material
The raw material Specification is prepared according
Quality Plan
to the Customer Material requirements, in consultation
with the Quality Assurance Department and based on
Customer, National and International Standards.
Prepared by (Name) Mr..Dinakaran.T Approved by (Name) Mr..Dhinakaran.G
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Document. No PUR-DPR-
02
PROCESS PROCEDURE Revision No 00
Issue No: 01 Revision Date 10.02.24
Issue Date: 10.02.24 PURCHASE Page No 5 of 7
S. Persons
Activity Documents Records
No Involved
16 Premium freight
If the materials or spares are urgently needed, the Premium In charge
alternate faster delivery transportation means are fright Purchase.
arranged. For monitoring the same the premium register
freight register is maintained.
17 Supplier's Performance Rating
To monitor the Quality, Quantity & timely delivery of
the ordered material the performance rating of the
suppliers (raw material suppliers and outsourcing
process suppliers) are calculated on a monthly basis.
The quality performance (including customer Supplier In charge
complaints), delivery performance (including rating Purchase &
customer line disruptions, incidents of premium Quality
freight) are considered in evaluating the supplier
performance rating thru approval by quality head.
If the performance rating of the suppliers is in “A” &
“B” categories, it is acceptable. If it is below “C” the
Suppliers are cautioned and corrective actions are
received.
18 The grade is given on the following basis Supplier
rating
A - 95 - 100 -(Excellent)
In charge
B - 80- 94 -(Good) Purchase
C - 71-79 -(Satisfactory)
D - Below 70-(Poor)
20 Supplier Development
Main raw materials are procured from suppliers
certified for ISO: 9001 Standard only.
All the raw material suppliers who are manufacturers In charge
are instructed for getting third party certified to ISO: Purchase
9001.
The suppliers of raw material (who are
manufacturers), and are not yet certified for ISO: 9001
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Document. No PUR-DPR-
02
PROCESS PROCEDURE Revision No 00
Issue No: 01 Revision Date 10.02.24
Issue Date: 10.02.24 PURCHASE Page No 6 of 7
S. Persons
Activity Documents Records
No Involved
are listed separately and an action plan for the same is
received from them and followed up.
If any suppliers specifically requires Panoply help /
guidance it is provided in consultation with the
Management
21 Supplying of material after 1year of gap In charge
Purchase
Re-validate the material by trail basis for the particular
material from the particular supplier. Get the proper
approval from CFT and issue to production.
List of self- In charge
List of Toxic, Hazardous & restricted items and life items Purchase
22 MSDS are maintained
Receive the NDA from the suppliers who are NDA In charge
manufacturers Suppliers Purchase
23
24 Supplier audit: Supplier Supplier In charge
audit plan audit check purchase
Yearly once conduct the system audit for the raw
list
materials suppliers (manufacturers), and Die suppliers.
Supplier audit plan is made and followed as per the
plan.
The supplier target is 85% min. If not achieved initiate
for the corrective action.
Yearly once conduct the system/process audit for ISO
not certified suppliers
25 Statutory And Regulatory requirements: In-charge
purchase
All the purchased materials and services comply with
statutory and regulatory requirements
Prepared by (Name) Mr..Dinakaran.T Approved by (Name) Mr..Dhinakaran.G
Signature Signature
Document. No PUR-DPR-
02
PROCESS PROCEDURE Revision No 00
Issue No: 01 Revision Date 10.02.24
Issue Date: 10.02.24 PURCHASE Page No 7 of 7
DOCUMENTED INFORMATION:
PUR-SFS-01– Purchase order
PUR-SFS-02 - Approved supplier list
PUR-SFS-03 - NDA Suppliers
PUR-SFS-04 - Supplier audit plan
PUR-SFS-05 – Supplier Registration Form
PUR-SFS-06 – Supplier Rating
PUR-SFS-07 – Supplier Audit Check sheet
Prepared by (Name) Mr..Dinakaran.T Approved by (Name) Mr..Dhinakaran.G
Signature Signature
