Stores SOP of Purchase Order in the apparels

Comprehensive Guide to Stores SOP for Purchase Orders in Apparel Manufacturing

Welcome to my detailed overview of the Stores Standard Operating Procedure (SOP) for Purchase Orders within the apparel industry. This SOP is essential for ensuring efficient procurement, cost control, and timely production in garment manufacturing.

Purpose of the SOP:

• Order Confirmation & Profitability Assurance: To verify purchase orders before confirmation, ensuring profitability and smooth order execution.

• Costing Accuracy: To facilitate Standard Minute Value (SMV)-based garment costing, enabling precise cost analysis.

• Capacity & Resource Planning: To assess feasibility related to capacity, manpower, and machinery, supporting effective production planning.

Scope of the SOP:

This procedure establishes standardized practices for raising, recording, and authorizing purchase orders (POs). It encompasses the complete workflow, from placing the order to engaging with suppliers, promoting clarity and responsibility throughout the process.

Key Roles and Responsibilities in Apparel Procurement:

• Stores In-Charge: Oversees purchase order processes and inventory updates.

• Merchandiser Manager: Coordinates order approvals and supplier communication.

• Purchasing In-Charge: Manages procurement activities and supplier relations.

• Accounts Department: Handles payments and financial documentation.

Step-by-Step Purchase Order Process in Garment Stores:

1. Order Documentation: Copies of purchase orders (work orders) are sent to suppliers and also copied to the Stores department.

2. Order Tracking & Follow-Up: The Stores team monitors incoming goods against POs, updating relevant departments about receipt status.

3. Alignment with Production Plan: Stores ensure that purchase requisitions align with the Bill of Materials (BOM) and production schedules to prevent delays.

4. Factory Purchasing Procedures:

• a) Purchases by Merchandisers:

• Purchase orders are raised via the software system based on the approved BOM.

• Orders are approved by authorized personnel before being sent to suppliers.

• The system automatically copies POs to the Stores department.

• b) General Items Sourced by Purchasing Department:

• The company defines minimum stock levels for essential items. To manage these levels effectively, see our SOP for Bin Cards.

• The inventory management software tracks stock and alerts the storekeeper when levels are low.

• Storekeepers generate purchase requests upon receiving alerts, which are approved by authorized persons.

• Authorized requests are seamlessly transformed into purchase orders through automated system processes..

• c) Special Item Purchases:

• Manual requisitions are made by department heads for special items.

• Requisitions undergo approval, then are entered into the system.

• After approval, the system autonomously transforms requisitions into official purchase orders..

Benefits of the SOP:

• Error Reduction: Minimizes mistakes in ordering, tracking, and payments.

• Timely Procurement: Ensures materials are ordered and received on schedule, preventing production delays.

• Enhanced Workflow: Streamlines communication between departments, suppliers, and stores for efficient procurement.

Quick Reference Guide

Download the 1-page SOP Summary for your factory notice board.

📥 DOWNLOAD SOP PDF SUMMARY

Thank you for reading this guide. Please share this article to help others improve their purchase order processes in apparel manufacturing. Your support motivates me to create more insightful content on Industrial Engineering. Feel free to share your thoughts on how I can improve this article or suggest topics for future posts.

You Might Find Useful this:

1. Department Standard Process Flow Chart.

You Might Find Useful this:

1. Department Standard Process Flow Chart.

This guide is part of our comprehensive Industrial Engineering Series. Access all 14 interconnected SOPs for Apparel Store Management in the master directory below to optimize your operations.

Garment Store Management: Master SOP Directory

Category	Technical SOP Topic
Inventory Control	• Inventory Item In & Out • Bin Cards Procedure • Ledger in the Garments • Leftover Records
Quality & Material	• Approved Fabric Standard • Fabric Segregation Records • Trim Card Preparation and Approval • Approved Fabric & Trim Card • Style Material Status
Process & Flow	• SOP for Sample Room • Daily Issuing Preparation • Style Reconciliation • Goods Transferring Procedure
Admin & Accounts	• Purchase Order (PO) Process • Stores Link with Accounts • Garments Stores Overview

(Swipe left/right to view full table on mobile devices)

Written by Shorab Hossain
Group IE Manager | 19 Years of Experience in Apparel Manufacturing