Purchase

Submitted By Group 9-
Model for
Anuja Verma
Bibhudatta Parida
UM15252
UM15260
Inventory
Prashant Sharma
Sanchita Nayak
UM15280
UM15287
Purchase
Sabyasachi Panda UM15290
Sambit Mohanty UM15293
Subhashish Panda UM15304
Scope of the system
Every organization that operates a business has to
purchase materials such as raw materials, services
etc.
The procurement process is integral to business
operation.
Here we are describing an inventory purchase
system for a manufacturing company
This is an external purchase as the materials are
purchased from company authorized vendors
The existing system is plant specific where each
department has been taken into account
Scope of the system
The procure to pay process consists of the
following basic steps:
1. Material requirement planning
2. Vendor Proposition
3. Request for Quotation
4. Purchase Requisition
5. Purchase Order
6. Goods Receipt
7. Goods Receipt Invoice
8. Invoice Verification
9. Payment to Vendors
Activity Diagram for As-is system
Issue with the Existing System
Initially the entire purchase process was
decentralized which had the following
disadvantages:
Time-consuming
Increased Cost
Organization looses benefit of bulk purchase
Chance of over and under-purchasing
Lack of proper coordination among the
departments
In order to avoid these issues we have
proposed a centralized process in the new
system
Improvements in the New System
Centralize the system to determine the
inventory requirement and perform quality
check
Single system to
analyzes inventory requirement within the
warehouse
propose vendor
Send request to purchase department as
per requirement
This will take into account the inventory
requirement for all the departments
Improvements in the New System
The purchase department does the further
processing
Goods received from all vendors go
through a single quality check
Approved goods are distributed to the
departments
Activity Diagram for To-be system
Data Flow Diagram for To-be system