Store keeping

 Store keeping is the task of maintaining safe custody of all items of supplies, raw materials, finished parts, purchased parts, and other items. These items are held in a storeroom for which a storekeeper acts as a trustee. As such, storekeeping can be defined as process of receiving and distributing stores or supplies.

n the words of Wheldon, “storekeeping is the physical storage of materials carried into the store-room in a scientific and systematic manner with a view to 

(i) saving them from all kinds of damages and losses, and 

(ii) exercising overall control over their movement.”

In short, storekeeping refers to the art of preserving raw materials, work-in-progress, and finished parts in the stores in the best possible manner.

Generally, in small businesses, storekeeping is a minor task. However, it is always worth remembering that careless handling of materials, material pilferage, and deterioration of materials can lead to reduced profits and even losses.

Therefore, to ensure maximum efficiency, it is important to maintain a well-equipped storekeeping department.

Objectives

An efficient system of storekeeping has the following objectives:

1. To ensure uninterrupted supply of materials and stores without delay to various production and service departments of the organization.
2. To prevent over-stocking and under-stocking of materials.
3. To check all materials in terms of quality and quantity.
4. To minimize storage costs.
5. To ensure effective and continuous control over materials.
6. To ensure optimal utilization of available storage space and workers engaged in storekeeping processes.
7. To protect materials from loss and wastage due to defective storage.
8. To identify and locate materials in storerooms without delay.
9. To protect and safeguard material items from pilferage, theft, fire, and others.
10. To develop a system that provides complete and up-to-date information about all stored items.

Store Keeping Functions

1. Issuing purchase requisitions when material is required.
2. Receiving purchased stores from the Receiving Department and verifying that every lot of stores is supported by an indent, a purchase order, and an inspection note.
3. Preparing Goods Received Note in accordance with the different stores lots received.
4. Ensuring that all the Goods Received Notes are regularly posted to the Bin Card.
5. Placing and arranging stores received in suitable places and adhering to the golden principle of storekeeping: “A place for everything in its place.”
6. Minimizing storage, handling, and maintaining costs by preserving and handling materials in the most economical and efficient manner.
7. Issuing stores to various business departments and ensuring that all issues are properly authenticated and accounted for.
8. Ensuring adherence to issuing procedures and organizational systems and guidelines.
9. Periodically reviewing the inventory by initiating inventory control systems (e.g., perpetual inventory control system and ABC system of inventory control).
10. Disclosing fullest and up-to-date information about the availability of stores whenever required. This depends on maintaining proper stores records with the help of Bin Cards and a Stores Ledger.
11. Safeguarding materials from theft, pilferage, fire, and others.
12. Supervising and coordinating the duties of different staff working under the direction of the storekeeper.
13. Preventing the entry of unauthorized persons in the stores.
14. Maintaining proper stock levels, which are fixed in respect of every item of stores, and replenishing them when necessary.