BP 80/BR30 HIGH-LEVEL FUTURE

PROCESS MAPPING DOCUMENT

SUPPLY CHAIN MANAGEMENT

KING KHALED EYE SPECIALIST

HOSPITAL -RIYADH

Author: SCM Team

Creation Date: March10,2012
Last Updated: March 13,2012
Document Ref: BP80.SCM
Version: V1.0

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Document Control

Change Record

Date Author Version Change Reference

13-03-2012 SCM Team V1.0 No previous document

Reviewers

Name Position Signature Date

Hashem Al Shaya Project Manager – KKESH

Ammar Hizazi IT Director -KKESH
Quality Cell Quality Cell
Suryanarayana Program Manager

Distribution

Copy No. Name Location

1 Library Master Project Library

Note to Holders:
If you receive an electronic copy of this document and print it out, please write your name on the
equivalent of the cover page, for document control purposes. If you receive a hard copy of this document,
please write your name on the front cover, for document control purposes.

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Contents
DOCUMENT CONTROL ................................................................................................................................................................. 2
INTRODUCTION ............................................................................................................................................................................ 4
PROCESS SYMBOLS...................................................................................................................................................................... 5
CHAPTER PURCHASING ......................................................................................................................................................... 6
PROCESS LISTING AND DESCRIPTIONS FOR SUPPLY CHAIN MANAGEMENT ................................................................................. 7
SCM_ITEM_01: NEW PRODUCT INTRODUCTION – PROCESS FLOW ........................................................................................... 9
SCM_ITEM_01: NEW PRODUCT INTRODUCTION ..................................................................................................................... 10
SCM_PUR_01: PROCURE TO PAY - PROCESS FLOW ................................................................................................................. 12
SCM_PUR_01: PROCURE TO PAY ............................................................................................................................................ 13
SCM_PUR_02: REQUEST FOR QUOTATION – PROCESS FLOW .................................................................................................. 19
SCM_PUR_02: REQUEST FOR QUOTATION PROCESS FLOW ..................................................................................................... 20
SCM_PUR_03: PETTY CASH PURCHASE ORDER – PROCESS FLOW .......................................................................................... 24
SCM_PUR_03: PETTY CASH PURCHASE ORDER PROCESS ....................................................................................................... 25
SCM_PUR_04: TENDER PROCESS – PROCESS FLOW ................................................................................................................ 27
SCM_PUR_04: TENDER PROCESS ............................................................................................................................................ 28
CHAPTER INVENTORY ......................................................................................................................................................... 31
PROCESS LISTING AND DESCRIPTIONS FOR SUPPLY CHAIN MANAGEMENT - INVENTORY ......................................................... 32
SCM_REC_01: RECEIVING STOCK ITEMS - PROCESS FLOW .................................................................................................... 36
SCM_REC_01: RECEIVING STOCK ITEM .................................................................................................................................. 37
SCM_REC_02: RECEIVING NON STOCK ITEMS – PROCESS FLOW ............................................................................................ 38
SCM_REC_02: RECEIVING NON STOCK ITEM .......................................................................................................................... 39
SCM_REC_03: RETURN GOODS TO VENDOR ........................................................................................................................... 42
SCM_REC_04: RECEIVING FIXED ASSET – PROCESS FLOW ..................................................................................................... 43
SCM_REC_04: RECEIVING FIXED ASSET ................................................................................................................................. 44
SCM_INV_01: STOCK TRANSFER BETWEEN MAIN WAREHOUSE AND CSSD, OR – PROCESS FLOW ....................................... 45
SCM_INV_01: STOCK TRANSFER BETWEEN MAIN WAREHOUSE AND CSSD, OR ................................................................... 46
SCM_INV_02: STOCK TRANSFER BETWEEN CSSD AND USER DEPARTMENT – PROCESS FLOW .............................................. 48
SCM_INV_02: STOCK TRANSFER BETWEEN CSSD AND USER DEPARTMENT .......................................................................... 49
SCM_INV_03: STOCK ISSUE OUT FROM USER DEPARTMENT – PROCESS FLOW ..................................................................... 51
SCM_INV_03: STOCK ISSUE OUT FROM USER DEPARTMENT .................................................................................................. 52
SCM_INV_04: SUB INVENTORY TRANSFER – PROCESS FLOW ................................................................................................. 54
SCM_INV_04: SUB INVENTORY TRANSFER ............................................................................................................................. 55
SCM_INV_05: PHYSICAL COUNTING – PROCESS FLOW ........................................................................................................... 56
SCM_INV_05: PHYSICAL COUNTING ....................................................................................................................................... 57
SCM_INV_06: ABC ANALYSIS – PROCESS FLOW.................................................................................................................... 58
SCM_INV_06: ABC ANALYSIS................................................................................................................................................ 59
CHAPTER ORDER MANAGEMENT .................................................................................................................................... 62
PROCESS LISTING AND DESCRIPTIONS FOR SUPPLY CHAIN MANAGEMENT – ORDER MANAGEMENT........................................ 63
SCM_OM_01: DISPATCH ITEMS TO EYE CARE CENTERS – PROCESS FLOW ............................................................................. 64
SCM_OM_01: DISPATCH ITEMS TO EYE CARE CENTERS ......................................................................................................... 65
SCM_OM_02: RETURN ITEM FROM EYE CARE CENTER – PROCESS FLOW ............................................................................... 66
SCM_OM_02: RETURNS ITEM FROM EYE CARE CENTER ........................................................................................................ 67
OPEN AND CLOSED ISSUES FOR THIS DELIVERABLE .................................................................................................................. 68
Open Issues ........................................................................................................................................................................... 68
Closed Issues ........................................................................................................................................................................ 68

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Introduction

The objective of this document is to describe Supply Chain section As - Is

business processes followed within KKESH Organization. This document
intends to enlighten the Future Business Process of KKESH. In addition, the
document includes a descriptive overview of the Purchase Department,
Warehouses and End User Departments processes and other information
required in support of these processes. The document covers the following:
§ Future Business Processes Flows (As – Is Business Process at KKESH)
§ Future Business Processes Narrative Descriptions

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Process Symbols
The following symbols represent different actions/activities in a process flow and it is included
to facilitate process communication.

Process This symbol represents a group of steps or activities to perform

This symbol represents a Decision. Decisions are typically phased as Yes /

Decision
No Questions

This symbol represents information input/output such as report or

Document
document. This symbol does not always imply hard copy, as some are
verbal

Reference
This symbol represents an offset page reference. Indicates a cross reference
with another page of the flowchart

Start / End This symbol represents start and end of the process

This represents the input symbol of information entered into the Database
Oracle DB

Manual This represents the Manual Operations. Manual Operations are all parts of
Operation process which are carried outside the Oracle System

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 Chapter Purchasing

Supply Chain Management

Purchasing
This Chapter covers the Future Business Processes related to
Purchase Department

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Process Listing and Descriptions for Supply Chain Management

ID Process Title Description of Process

SCM_ITEM_01 New Product Introduction A requestor can initiate the process of requesting to add a new item in the
system. To adopt appropriate methodology while defining an item in the Oracle
system this process will be followed.

A person or team will have authority to decide on Item category, UOM & other
requisite attributes and then define item in the system.

SCM_PUR_01 Procure to Pay Basic flow The Procure to Pay Process Flow starts with the Purchase Requisition and ends
with the payment to Supplier. The flow mentioned in this process covers the
Purchase Requisition, Purchase Order, Receipt, Invoice and Payment.

This process flow will be used for purchasing where the suppliers, rates etc. are
available with KKESH. In case of no supplier or rates available, the Purchasing
Department will follow the tendering process.
SCM_PUR_02 Request for Quotation In case the request is for the items where contract rates or supplier is not finalized
the Purchase Department will follow this process.. The Procure to Pay Basic
Process Flow will branch out to the Request for Quotation Process after the
Purchase Requisition Creation. This process covers the Creation of Request for
Quotation, Receiving Quotes, Quote Analysis, Award and PO Generation.

The End point of Request for Quotation Process will be generation of Purchase
Order. At this point, the Request for Quotation Process Branches into the Procure
to Pay Basic Flow.
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ID Process Title Description of Process

SCM_PUR_03 Petty Cash Purchase Order In many situations, the Purchasing Department needs to make cash purchases.
This process will be followed whenever any purchase is made using petty cash.
SCM_PUR_04 Tender Process In case of Non-Contracted Items, the Purchase Department will have to follow a
Tendering Process. Tendering, Evaluations, Negotiation, Awarding will be done
as per prevailing procedure. MOH approval will be obtained and then the
Purchase Order will be raised for contracted rates.

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SCM_ITEM_01: New Product Introduction – Process Flow

New Product Introduction

Item Code
Item Code Request Form
Start Enter Requisition Query for Item No Stock Item ? Yes
Available ?
Requestor

No

Create
Yes End
Requisition
Item Code Authority

Mention New Item Create Item in

Can Existing Item code Review the
Code System Enter all No be used? request
required attributes

Mention existing
item code Yes

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SCM_ITEM_01: New Product Introduction

ID Description Menu Type Result Agent

SCM_ITEM_01.01 The process of introduction of new item will start Requisitions> System Next Step End user
when required Item code cannot be fetched by Requisitions
Requestor in the system.
SCM_ITEM_01.02 A Requestor will fill the New Product Introduction Manual Next step End User
Form. Forward the form to Item Code Authority
SCM_ITEM_01.03 The person or team having authority for Item Manual Next step Item Code
codification will review the request. Authority
section
First the team will confirm no matching existing
Item code is available for the item description
mentioned in the Request Form.

If the appropriate item code exists in the system no

new item is created in the system. While doing
necessary check for description, category,
attributes, UOM, etc is needed. The same item code
is mentioned in the request form and sent back to
Requestor.

If no matching item code is available new Item is

created.

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ID Description Menu Type Result Agent

SCM_ITEM_01.04 Create Item in Item Master. Assign appropriate Items > System Next step Item Code
attributes, UOM. Master Items Authority
Assign the new item to Inventory Organization section
(Warehouse) & User Department.

A new Non-stock Item will not be assigned to

Warehouse.
SCM_ITEM_01.05 The same item code is mentioned in the request Manual Next step Item Code
form and sent back to Requestor.. Authority
section
SCM_ITEM_01.06 The Requestor can raise the requisition for the item Requisitions> System End End user
using new Item Code. Requisitions (Sock)

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SCM_PUR_01: Procure to Pay - Process Flow

SCM_PUR_01: Procure to Pay Process Flow

Refer Re-order
Inventory Control Dept

Planning Report,
Backordered Internal Warehouse Create
END
Requisition Receipt

Purchase Requisition
Purchase Reqisition-
Approval BY
Start Warehouset/End user
RESPECTIVE
Deptt
AUTHORITY

Approved Purchase SCM_PU

Assign Buyer-
Requisition- Buyer RFQ Required? YES R_02
Buyer Supervisor
Purchasing Dept

Supervisor Pool

NO

BUYER: BUYER:
Approve PO-
BUYER: Enters necessary PO Print out & co Supplier
As PerApproval
Auto Create PO details in PO & ordinate with
Heirarchy
Submit for Approval Supplier
Payable Dept

Payable Dept.
END
(Invoice, Payment)

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SCM_PUR_01: Procure to Pay

ID Description Menu Type Result Agent

SCM_PUR_01.01 Purchase Requisition Creation Requisitions> System Next Step Warehouse

Requisitions Inventory
The Procure to Pay Process starts with the Controller
raising of the Purchase Requisition.

The Purchase Requisition is raised

whenever an Item needs to be ordered from
the Supplier.

 KKESH Inventory Control

Department will raise the Purchase
Requisition for stock items. The
Planner can refer the Re-order
Planning report and the Backorder
Internal Requisition Report to arrive
at quantity to be procured.

The KKESH End Users will raise a

Purchase Requisition for Non-Stock
Items
SCM_PUR_01.02 Approval of Purchase Requisition as per Requisitions> System Next Step Warehouse
Approval Hierarchy set in Oracle Buyer Work Material
Center Manager
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ID Description Menu Type Result Agent

Purchase Requisition will be sent for

Departmental Approval, simultaneously
Budgetary Approval.

The Approved Purchase Requisitions are

available in the Buyer’s Supervisor Pool.
The Approved Purchase Requisition will be
assign to specific buyers for further
processing.
SCM_PUR_01.03 Buyer Supervisor will assign Approved Buyer Work System Next Step Purchase
Purchase Requisition to appropriate Buyer Center > Manager
Requisitions
The Buyer Supervisor will be responsible for
reviewing all the Approved Purchase
Requisitions.

The approved requisitions can be assigned

to specific Buyers for further action through
the Manage Buyer Workload form
SCM_PUR_01.04 Approved Purchase Requisition will be AutoCreate System Is RFQ Buyer
available in Buyer’s Auto Create Screen for OR Required?
further processing.
If Yes
The Buyer will create RFQ or Purchase
Order.

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ID Description Menu Type Result Agent

In case of RFQ please refer process Purchase Go to Process

SCM_PUR_02. Orders > ID
Purchase :SCM_PUR_02
Order
Summary
SCM_PUR_01_05 Buyer Reviews the Purchase Order and Purchase System Next Step Buyer
submit for approval Orders >
Purchase
The details contained in the Purchase Order
Requisition viz. Item, Unit of Measure, Summary
Quantity Requested, Need-By date will be
defaulted to the Purchase Order.

The Buyer will complete the Purchase order

by filling the following details
- Supplier Details
- Shipment Schedule
- Any Attachments to the Purchase
Order
SCM_PUR_01.06 Purchase Order Approval Purchase System Next Step Buyer
Orders >
The System will route the Purchase Order Purchase
for approvals as per the defined approval Order
hierarchy Summary

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ID Description Menu Type Result Agent

SCM_PUR_01.07 The Buyer can take printout of the System/Manual Next Step Buyer
Approved Purchase Order and send the
Purchase Order either by email or Fax or
courier to the Supplier.
SCM_PUR_01.08 Supplier Acknowledges Purchase Order Manual Next Step Buyer/
Supplier

The Supplier will communicate the

acknowledgement and the acceptance of the
Purchase Order to the Buyer.

The Buyer will note the Supplier

Acknowledgement on the Purchase Order
SCM_PUR_01.09 Supplier delivers the Goods Manual Next step Supplier

SCM_PUR_01.10 Main Warehouse receives Goods & Creates Receiving > System Next Step Main
Goods Receipt & Delivery Receipts Warehouse
Receiver
- Receiving Section of Main Warehouse Technical
will receive the Goods and create Department
GRN in the System.
- As per Item Definition & Setup at End user
Purchase Order Level Inspection of Department
Item will be carried out

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ID Description Menu Type Result Agent

- The Receipt (GRN) will be printed

from the System
SCM_PUR_01.11 Invoice Submission By Supplier. Invoice Invoice > System Next Step Supplier
Creation and Matching by Payables Entry >
Department Invoices Payables
Department
Once the Invoice is received from the
Supplier, the Payables department will
create the Invoice in the System and match it
with the Receipt.
SCM_PUR_01.12 Payables Department will record the Payments > System Next step Payables
payment in the system and print the Entry > Department
payment document Payments

The Payables Department creates the

Payment in the System and the payment is
made in any of the following ways
- Check
- Bank Transfer

In case of Bank Transfers, the Payables

department can generate an XML file from
the System for sending the Payment
Instructions to the Bank.
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ID Description Menu Type Result Agent

SCM_PUR_01.13 Payment Collection by Supplier Manual Stop Supplier

Supplier will collect payment from Payable

Department in case of payment is by Check

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SCM_PUR_02: Request for Quotation – Process Flow

SCM_PUR_02: Request for Quotation Process

CUSTOM
Enter detail of
SCM_PU Enter details in RFQ and
Send RFQ Requisition, RFQ no
R_02 Auto create RFQ change the status to Printout of RFQ
to Suplierr in RFQ Tracking
Active
System
Purchase Department

CUSTOM CUSTOM
Change the status SCM_P
Receive Query for RFQ & Printout of Quote Approve Quotation UR_01_
of RFQ in
Quotation enter Quotations Analysis & Convert to PO 05
Tracking System

CUSTOM
Change the Status
in RFQ Tracking
System
Technical/Finance/User/
Purchase

Wait till Close Quote Analysis,

Open all Approval for the
date Negotiation &
submitted Supplier
Receive all Finalize
Quotations selected
Quotations Supplier

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SCM_PUR_02: Request for Quotation Process Flow

ID Description Menu Type Result Agent

SCM_PUR_02.01 Buyer Auto creates RFQ Auto Create System Next Step Purchase
Department
The details from the Purchase Requisition will be
copied to the RFQ by the System.
SCM_PUR_02.02 Completion of RFQ RFQ’s and System Next Step Purchase
Quotations Department
Buyer will fill in the details like > RFQ’s
 Due Date
 Close Date
 Shipment Quantity if consignment is to be
received in multiple shipments
 Select Suppliers to whom RFQ will be sent
Change the status to Active

SCM_PUR_02.03 Print RFQ & send it to Suppliers RFQ’s and Manual Next Step Purchase
Quotations Department
Buyer will take printout and send RFQ to Supplier. > RFQ’s
(Fax, Email or Hard Copy)

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ID Description Menu Type Result Agent

SCM_PUR_02.04 Enter details of Requisition & RFQ in Tracker RFQ’s Custom Next Step Purchase
System Tracking Department

The custom build Tracker system will help to cater

queries from Original requestors for the item.

Access to this tracker system will be given to

Requestors who then can query & get the status of its
Required items.

SCM_PUR_02.05 Quotation Submission Manual Next Step Purchase

Department
Suppliers will submit Quotations to Purchase
Department. The quotations are accepted till Close
Date specified. Single Quotation are accepted from
the supplier
SCM_PUR_02.06 Opening of Quotations Manual Next Step Purchase
Department
All submitted Quotations are opened by the Buyer

SCM_PUR_02.07 Upload all Quotations in system RFQ’s and System Next Step Purchase
Quotations Department
All submitted Quotations are entered/uploaded >
against the RFQ number. Quotations
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ID Description Menu Type Result Agent

SCM_PUR_02.08 Enter details in RFQ Tracker System RFQ’s Custom Next Step Purchase
Tracking Department
The buyer changes the status in Tracker System for
respective RFQ.

SCM_PUR_02.9 Printout of Quote Analysis. RFQ’s and Custom Next Step Purchase
Quotations Report Department
Submit a Request to take printout of comparative > Quote
statement for all quotations submitted. Analysis

SCM_PUR_02.10 Quote Analysis. Manual Next Step Purchasing

Depending on the nature of the RFQ, various parties

will be involved in the Quote Analysis and Award.
For the purpose of this document, the party doing the
quote analysis will be referred to as ‘Quote Analysis
Committee’.

The depending on the nature of RFQ the decision

taken is sent for Approval. The necessary justification
& remarks are also added in the document

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ID Description Menu Type Result Agent

SCM_PUR_02.11 Approval of Quotation RFQ’s and System Next Step Purchasing

Quotations
On receipt of decision and approval the Buyer >
approves the Quotation in the system & converts it Quotations
into Purchase Order.

SCM_PUR_02.12 The Purchase Order is created RFQ’s and System Next Step Purchasing
Quotations
Once the Purchase Order is created the same process >
id followed. Ref SCM_PUR_01_05 Quotations

Tools
>Copy
document

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SCM_PUR_03: Petty Cash Purchase Order – Process Flow

SCM_PUR_03: Petty Cash Purchase Order

User Department

Create Purchase Approve Purchase

Start
Requisition Requisition
Purchase Dept

Buyer Auto Create

Buyer will decide Enter actual Printout of PO &
completes Purchase Order. Approve Purchase Create GRN
Petty Cash purchases in attach Original Bill
Purcahsing Supplier Petty Order against the PO
Purchase Purchase Order
Process Cash
Payable Dept

Cashier Invoice Creations

pays the adjusting against End
amount prepayment

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SCM_PUR_03: Petty Cash Purchase Order Process

ID Description Menu Type Result Agent

SCM_PUR_03.01 Approved Purchase Requisition from End user AutoCreate System Next Step End user
Department Purchaser
Requester
All the steps for PURCHASE REQUISITION
approval as per process Id: SCM_PUR_02.01 to
SCM_PUR_02.02
SCM_PUR_03.02 Approved Purchaser Requisition in Buyer’s Auto AutoCreate System/Manu Next Step Purchase
Create al Department

Buyer will take Decision :

Can it be a Petty Cash Purchase?
For eg: Low value goods available in local market
SCM_PUR_03.03 Buyer will complete all the Process Cash Manual Next Step Purchase
Purchase Department

Buyer will do cash purchase of goods

SCM_PUR_03.04 Buyer Creates Purchase Order Purchase System Next Step Purchase
Orders > Department
To record the Petty Cash Purchase in the system Purchase
Buyer will auto create Purchase Order using Petty Order
Cash Supplier. Summary

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ID Description Menu Type Result Agent

Buyer will put all related information in to

purchase Order for reference, Purchase amount
etc.
SCM_PUR_03.05 Buyer will create GRN against the Petty Cash Receiving System Next Step Purchase
Purchase Order > Receipt Department
SCM_PUR_03.06 Buyer will Go to Payables Cashier Manual Next Step Purchase
Department
Buyer will take a Print out of Purchase Order.
Buyer Submits Original Bill & Purchase order
prints out to Payables Cashier and collect the
Payment.
SCM_PUR_03.07 Invoice Creation & Payment Invoice > System Stop Payables
Entry > Department
Payable Department will create invoice and Adjust Invoices
it against Petty cash Prepayment

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SCM_PUR_04: Tender Process – Process Flow

SCM_PUR_04: Tender Process

Purchase Department

Check list
Create the list of List of items for Create Blanket
for any Prepare Publish
Start items Medical & Non Tender Purchase
addition/ Tender Tender
Medical for tender Agreement
deletion

SCM_PU
R_01.04
Supplier

Collect/ Submit
Purchase sealed
Tenders Quoations
Committee

Technical Recomme Item / Supplier

Commerci
Opening Evaluation ndation of Award Approval
al Award list
of Tenders , Sample Technical Decision from MOH
Evaluation
testing Team

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SCM_PUR_04: Tender Process

ID Description Menu Type Result Agent

SCM_PUR_04.01 List of items for which rates needs to revised System Next Step Buyer

List of Medical & Non Medical items for which rates to

be revised is extracted from the system
SCM_PUR_04.02 Buyer updates the list Manual Next Step Buyer

Buyer updates any deletion or addition of items in the

list
SCM_PUR_04.03 Preparation of Tender Manual Next Step Tender
Preparing

Buyer forwards the list of items for Tender Department
preparations.
 Terms & Conditions are finalized for the
Tender.
 Publish Tender
 Prepare multiple copies of Tenders for Bidders
SCM_PUR_04.04 Tender Selling Manual Next Step Supplier

Interested Bidders will purchase Tenders

SCM_PUR_04.05 Quotation Submission Manual Next Step Supplier

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ID Description Menu Type Result Agent

The Bidders submit the quotes in Sealed envelopes

before Close Date.

SCM_PUR_04.06 Quotation Opening Manual Next Step Tender

Opening
All sealed envelopes are opened after the close date of Committee
tenders. The committee is constituted and in the
presence of this committee these tenders are unsealed.
SCM_PUR_04.07 Technical Evaluation Manual Next Step Technical
Evaluation
Based on the Terms the samples of items are asked for Committee
testing from the respective Bidders.
Technical evaluation team evaluates items and finalize
the Supplier on technical grounds
SCM_PUR_04.08 Commercial Evaluation Manual Next Step Commercial
The Commercial evaluation team negotiates with Evaluation
bidders on rates, discount etc. to get competitive price Committee
from bidders..
SCM_PUR_04.09 Award decision Manual Next Step Commercial
Evaluation
The Commercial evaluation team finalizes the & Purchase
Suppliers for each item. The consolidated list of Dept.
Suppliers selected for item is prepared for MOH
approval if the Total Tender amount above 1 million
SAR
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ID Description Menu Type Result Agent

SCM_PUR_04.10 Approval from MOH if the Total Tender amount is Manual Next Step Purchase
above 1 million SAR. Department

It is mandatory to obtain approval from Ministry of

Health.
SCM_PUR_04.11 Create Purchase Order Purchase System Ref Purchase
Once the Approval is received from MOH, the Orders > SCM_PUR_01_04 Department
Purchase Order is released. Refer SCM_PUR_01_04 Purchase
Orders

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Chapter Inventory

Supply Chain Management

Inventory
This Chapter covers the Future Business Processes related to
Inventory (Warehouses)

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Process Listing and Descriptions for Supply Chain Management - Inventory

ID Process Title Description of Process

SCM_REC_01 Receiving of Stock Items This Receiving process will be followed when the Supplier deliveries the Stock
item to Warehouse

SCM_REC_02 Receiving of Non Stock This Receiving process will be followed when the Supplier deliveries the Non
Items Stock item. The Non-stock items meant to be delivered in Main Warehouse
will be received in Warehouse.

Same process will be followed if the item is directly received by the

department
SCM_REC_03 Return Goods to Vendor This process will be used when items are return to supplier due to damage,
Items expired lot etc.
SCM_REC_04 Receiving of Fixed Asset This Receiving process will be followed when Fixed Assets are received from
the supplier.

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ID Process Title Description of Process

SCM_INV_05 Stock Transfer between This process is the Stock Transfer process against the Internal Requisition,
Warehouses (Main which will be raised by the Requesting Organization. The Shipping
Warehouse and CSSD) Organization will process this request and ship items to the requesting
organization. The Receiving Organization will receive these items in the
system

Stock Transfer between Example

 Main Warehouse and CSSD
 Pharmacy Warehouse and Central Pharmacy Store/Out Patient
Pharmacy.

SCM_INV_02 Stock Transfer between
CSSD and User Department
This process is the Stock Transfer process against the Internal Requisition,
which will be raised by the Requesting Organization. The Shipping
Organization will process this request and ship items to the requesting
organization. The Receiving Organization stock will directly receive these
items in their stock

Stock Transfer between Example

 CSSD and End user department
 KKESH Inpatient Stores and End user department

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ID Process Title Description of Process

SCM_INV_03 Stock Issue Out from User This process is the Stock Issue process which will be used to deplete the stock
Department - Move Order consumed from the End user department. As the end user consumes the stock,
at regular interval will Create and Transact Move order to deplete the stock.

The system generates document number for each Move Order by which the
issued items can be tracked.
SCM_INV_04 Sub Inventory Transfer This process is the stock transfer from one sub inventory to another sub
inventory.
SCM_INV_06 Physical Counting or Accurate on-hand quantities are essential for effective planning and for
Physical Stock Verification minimizing inventory investment. Inventory accuracy is required for tax and
or Inventory Accuracy audit purpose.
Analysis A physical inventory is a periodic reconciliation of system on-hand balances
with physical counts in inventory. We can perform physical inventories
whenever we choose to verify the accuracy of our system on-hand quantities.
We can perform a physical inventory for an entire organization or for particular
sub inventories within an organization. Physical inventories are usually
performed once every six months or once a year depending on the organization
requirements.

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ID Process Title Description of Process

SCM_INV_07 ABC Analysis ABC Analysis is the classification of a group of items in decreasing order of
annual SAR volume or other criteria. This array is then usually split into three
classes A, B, and C.

Further we can use the ABC Compiles defined in system for cycle counting.
Cycle counting is the periodic counting of individual items throughout the year.
When defining a cycle count, one needs to specify the start date, frequency of
counts and ABC Assignment Group to be included in the count. The system will
use this information to generate cycle counts, and specify which items will be
counted and when. Based upon the generated cycle counts, actual counting can
be carried out.

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SCM_REC_01: Receiving Stock Items - Process Flow

SCM_REC_01 Receiving Stock Items

Verify Documents,
Check PO number, Identify Sub
Inspection Inform concerned
START Items, Order Quantity Inventory and Yes
Required? person
Check Delivery Note, Locator
Expiry Date, UOM
No
Warehouse

CUSTOM
Enter Sub inventory
Note Receipt No. ,Locator,
END Yes Pass Inspection
Lot, Expirydate and
Oracle
save

No
Store In-charge

Put on HOLD
No
Department
Purchase

Supplier Informed END

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SCM_REC_01: Receiving Stock Item

ID Description Menu Type Result Agent

SCM_REC_01.01 Warehouse will receive the shipment from the Manual Next Step Receiver
Supplier

SCM_REC_01.02 Supplier Delivery Note is checked against the PO Receiving > System Next Step Receiver
number, Items & quantity ordered. Receipts
SCM_REC_01.03 The Expiry date and physical condition of the Receiving > Manual/ Next Step Receiver
shipment is checked. Now the receiver needs to decide Receipts System
on to which sub inventory and locator this item need
to go..
SCM_REC_01.04 If Inspection is required than respective person Receiving > System Next Step Receiver
responsible for Inspecting goods is informed, if item Receipts and
passes the quality criteria than it is accepted, Inspector
otherwise it is put on HOLD and the supplier is
informed accordingly for the further course of action.
SCM_REC_01.05 Once the inspection is done, in the Receiving Receiving > System End. Receiver
Transactions sub inventory, locator Lot Number and Receiving
Expiry date is entered and the transaction is saved. Transactions
The Receipt Number is generated in system and the
GRN is printed.

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SCM_REC_02: Receiving Non Stock Items – Process Flow

SCM_REC_02 Receiving NonStock Items

Verify Documents,
Identify the
Check PO number,
requestor / Inspection Inform concerned
START Items Description, Order Yes
requesting Required? person
Quantity Check
department
Delivery Note, UOM
No
Warehouse

CUSTOM
Create Receipt in
Note Receipt No. the System, Deliver
END Yes Pass Inspection
to respective
Oracle
location

No
Store In-charge

Put on HOLD
No
Department
Purchase

Supplier Informed END

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SCM_REC_02: Receiving Non Stock Item

ID Description Menu Type Result Agent

SCM_REC_02.01 Warehouse will receive the shipment from the Manual Next Step Receiver
Supplier

SCM_REC_02.02 Supplier Delivery Note is checked against the PO item Receiving > System Next Step Receiver
description, Quantity ordered, UOM Receipts
SCM_REC_02.03 At this point it is identified that item is Non Stock and Receiving > Manual/ Next Step Receiver
respective person who has made the requisition is also Receipts System
identified, because Non Stock items are directly
delivered to an Expense Location after Receiving
Process Steps are followed.
SCM_REC_02.04 If Inspection is required than respective person Receiving > System Next Step Receiver
responsible for Inspecting goods is informed, if item Receipts and
passes the quality criteria than it is accepted, otherwise Inspector
it is put on HOLD and the supplier is informed
accordingly for the further course of action.
SCM_REC_02.05 Lot Expiry Date is also checked when it is being Receiving > Manual/ Next Step Receiver
received. UOM need to be checked and verified as Receiving System
there are chances that Units in which PO is raised, will Transactions
not match the Packing Units of the shipment.

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ID Description Menu Type Result Agent

SCM_REC_02.06 Once the inspection is done, in the Receiving Receiving > System End Receiver
Transactions Expense Location is entered and the Receiving
transaction is saved. The Receipt Number is generated Transactions
in system and the GRN is printed.

SCM_REC_03: Return Goods to Vendor - Process Flow

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SCM_REC_03: Return Goods to Vendor

Goods
Collected by Replacement
Vendor

Yes
Vendor

CUSTOM SCM_R
Warehouse

Goods Return No EC_01_

START Return of Goods Report 01
Payable Dept

Debit Memo
Registration& END
Process

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SCM_REC_03: Return Goods to Vendor

ID Description Menu Type Result Agent

SCM_REC_03.01 The returning of goods will be done in case of expired Receiving > System Next Inventory
lots being returned to vendor as part of agreement with Returns Step Controller
vendor or in case of goods received in damaged
condition.
SCM_REC_03.02 Receiving Section returns the Goods Receiving > System Next Warehouse
Many a times, the Received items need to be returned to Returns Step
the Vendor because of Expiry, Damage or any other
reason.
The return of goods can be done by the Receiving
Section and the reasons for returning can also be noted
in the System
SCM_REC_03.03 In case the Supplier replacing items, the quantity Receiving > System Next Receiving
returned will be received against the Purchase Order Receipts step Section
Refer Process SCM_REC_01_01
In case Supplier is not replacing optionally Receiving
Section can generate a report for goods returned to
Suppler (Return to Supplier Report). This report can be
submitted to the Payables Department for creation of
Debit Note to adjust liability to Supplier.
SCM_REC_03.04 Creation of Debit Memo System End Payable
Payable Department will create Debit Memo where Department
Supplier has submitted the Invoice for Supplied
quantity and not the accepted quantity.
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SCM_REC_04: Receiving Fixed Asset – Process Flow

SCM_REC_04 Receiving Fixed Asset

Warehouse

Verify Documents,
Identify whether PO Inform
Identify Inspection
START Shipment, Yes concerned
Requestor Required?
Check Delivery Note, person
Expiry Date, UOM

No
Requestor and

CUSTOM
Note Receipt Enter details in
Receiver

No. Receipt &

END Yes Pass Inspection
complete
Oracle
Receiving
Transaction

No
Technical /

Warehouse

Tag asset with

Property/

Installation identification
number Fixed
Put on HOLD
Asset
Supplier

Supplier
END
Informed

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SCM_REC_04: Receiving Fixed Asset

ID Description Menu Type Result Agent

SCM_REC_04.01 Warehouse will receive the shipment from the Supplier Manual Next Step Receiver

SCM_REC_04.02 Supplier Delivery Note is checked against the PO item Receiving > System Next Step Receiver
description, Quantity ordered, UOM Receipts
SCM_REC_04.03 At this point it is identified that item is Fixed Asset and Receiving > Manual/ Next Step Receiver
respective person who has made the requisition is also Receipts System
identified.
SCM_REC_04.04 Depending upon the item received inspection is done Manual Next Step Requestor
based on the specification sheet if required with help of /
Requestor Warehouse
SCM_REC_04.05 Once the inspection is done, Receiving transaction is Receiving > System End Receiver
completed and saved. The Receipt Number is Receiving
generated in system and the GRN is printed. Transaction

Technical/Warehouse/Property Department completes

installation .The installed Asset is Tagged and entered
in Fixed Asset using the TAG number.

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SCM_INV_01: Stock Transfer between Main Warehouse and CSSD, OR – Process Flow

SCM_INV_01: Stock Transfer Between Main Warehouse and CSSD, OR - Process Flow

Min Max Planning

Report
Requesting Organization

GRN is made Stock increases in

Internal Create Internal against the respective
START Approval Organization Asset
Requisition Order Shipment number
in system Sub-inventory Oracle

CUSTOM
Shipping Organization

Notification of IR
END

Booked Internal
Order Import Pick Release Print Pick Slip Ship Confirm
Sales Order

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SCM_INV_01: Stock Transfer between Main Warehouse and CSSD, OR

ID Description Menu Type Result Agent

SCM_INV_01.01 The Requesting Organization (CSSD, OR) will raise the Requisitions> System Next Step Requesting
Internal requisitions. Requisitions Organization

 CSSD having Min Max Planning will obtain

report of stocks at Minimum level
 Using these reports the stores will raise Internal
Requisition. Any Addition deletion in Requisition
can be done.

The Approval of Internal Requisition will be as per

Approval Hierarchy.

Once the Internal Requisition is Approved a Notification

will be sent to Shipping Warehouse (Main Warehouse).
SCM_INV_01.02 Create Internal Order and Order Import Concurrent Requisitions> System Next Step Respective
Programs can be scheduled from each facilities Requisitions Organization
Purchasing and Order Management responsibilities.
These programs shall pick the respective Internal
requisition to process; based on the Destination location
and Inventory Organization association, mentioned in
the Internal requisition.

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ID Description Menu Type Result Agent

SCM_INV_01.03 Booked Internal Sales Order will be executed by Shipping> System Next Step Shipping
Shipping Organization. Shipping Organization will ship Transactions Organization
the goods according to the availability and rest of the
requisition qty. will be back –ordered.

The Pick list generated will be printed by the Shipping

Organization

SCM_INV_01.04 Shipping Organization (Main Warehouse) will ship Manual Next Step Shipping /
goods. The acknowledgement of receipt will be taken. Receiving
Organization
SCM_INV_01.05 Receiving Organization (CSSD, OR) will create Receipt Receiving > System Next Step Receiving
in the system against the Shipment Number. Receipts Organization

Received quantity will be stored either in Asset Sub

inventory or Expense Sub inventory.

Asset Sub inventory is where items will be stored,

tracked later issued to User department

Expense Sub inventory is where expensed items are

received (Self consumption)

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SCM_INV_02: Stock Transfer between CSSD and User Department – Process Flow

SCM_INV_02: Stock Transfer Between CSSD and User Department - Process Flow

Min Max Planning

Report
Requesting Organization

Shipment is Stock increases in

Internal Create Internal respective
START Approval received directly in Organization Sub-
Requisition Order
system inventory Oracle

CUSTOM
Shipping Organization

Notification of IR
END

Booked Internal
Order Import Pick Release Print Pick Slip Ship Confirm
Sales Order

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SCM_INV_02: Stock Transfer between CSSD and User Department

ID Description Menu Type Result Agent

SCM_INV_02.01 The Requesting Organization (User depts.) will raise the Requisitions> System Next Step Requesting
Internal requisitions. Requisitions Organization

 End User Department having Min Max Planning

will obtain report of stocks at Minimum level
 Using these reports these departments will raise
Internal Requisition.
 User Department like OR will have two sub
inventories viz. Asset & Expense.

The Approval of Internal Requisition will be as per

Approval Hierarchy.

Once the Internal Requisition is Approved a Notification

will be sent to Shipping Warehouse (CSSD).
SCM_INV_02.02 Create Internal Order and Order Import Concurrent Requisitions> System Next Step Respective
Programs can be scheduled from each facilities Requisitions Organization
Purchasing and Order Management responsibilities.
These programs shall pick the respective Internal
requisition to process; based on the Destination location
and Inventory Organization association, mentioned in
the Internal requisition.

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ID Description Menu Type Result Agent

SCM_INV_02.03 Booked Internal Sales Order will be executed by Shipping> System Next Step Shipping
Shipping Organization. Shipping Organization will ship Transactions Organization
the goods according to the availability and rest of the
requisition qty. will be backordered.

The Pick list generated will be printed by the Shipping

Organization

Once the shipping process is completed stock at

shipping (CSSD) will decrease and stock at requesting
organization will increase.

SCM_INV_02.04 Shipping Organization (CSSD) will physically issue Manual End Shipping /
goods. Receiving
Organization

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SCM_INV_03: Stock Issue Out from User Department – Process Flow

SCM_INV_03: Stock Issue Out from User Department – Process Flow

End User Dept.

Destination
Create Move Transaction: Move Source : Asset Approve &
START Expense END
Order Order Issue Sub inventory Transact MO
Suinventory

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SCM_INV_03: Stock Issue Out from User Department

ID Description Menu Type Result Agent

SCM_INV_03.01 The End user Department will receive the stock from Move System Next End user
stores and it will be stocked in Asset sub inventory till it Order> Step Department
is consumed. Move Order

When items are consumed, Move Order will be created

Transaction Type “MO Item Issue” will be selected.. In
this way the User department will expense out the item
stored.

Similarly when Eye Bank issue Cornea, Move Order will

be created transaction type “Issue to KKESH patient” or
“Issue to KKESH Research practice”. Patient name or
Doctors name will captured in the field provided.

SCM_INV_03.02 Approve the Move order Move System Next End User
Order> Step Department
Move Order
SCM_INV_03.03 In case items are serial controlled or lot controlled the Move System Next End User
requisite serial/lot number will be selected for Order> Step Department
transaction. Transact
Move Order

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ID Description Menu Type Result Agent

SCM_INV_03.04 Transact Move Order Move System End End User

On transacting the stock from Asset sub inventory will Order> Department
be depleted Transact
Move Order

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SCM_INV_04: Sub Inventory Transfer – Process Flow

SCM_INV_04: Sub Inventory Transfer Process Flow
Warehouse / End User

Initiate Sub
Department

Select Item to be Select Source Sub Select Destination Enter Quantity and
START inventory END
Transferred inventory Sub Inventory Save
Transaction

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SCM_INV_04: Sub Inventory Transfer

ID Description Menu Type Result Agent

SCM_INV_04.01 Open the Sub Inventory Transfer Window and select Transaction> System Next Inventory
Transaction Type Sub inventory Step Controller
Transfer
SCM.INV_04.02 Select the Source Sub inventory from where item will Transaction> System Next Inventory
be shifted out Sub inventory Step Controller
Transfer
SCM.INV_04.03 Select the Destination Sub inventory where item will be Transaction> System Next Inventory
stored. Sub inventory Step Controller
Transfer
SCM.INV_04.04 Enter Quantity to be transferred. If the item is lot Transaction> System End Inventory
controlled enter lot number. If the item is serial Sub inventory Controller
controlled enter . Save the Transaction. Transfer

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SCM_INV_05: Physical Counting – Process Flow

SCM_INV_05: Physical Counting

Controller
Inventory

Count the items

Take Inventory manually and put Enter the counts in No
START Print the tags Discrepancy? END
Snap Shot the tags the system
respectively

Yes
Finance

Pass the
END
adjustments

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SCM_INV_05: Physical Counting

ID Description Menu Type Result Agent

SCM_INV_05.01 Physical Stock Verification will be carried out once Counting>Physical System Next Step Stores and
a year in all the KKESH facilities. Inventory> Warehouse
Physical Staff
Inventories
SCM_INV_05.02 Inventory Controller will carry out this exercise Counting>Physical System Next Step Inventory
along with other stores staff. Inventory Snapshot is Inventory> Tag Controller
taken and tags are printed. After that all the Generation
inventory items are counted physically and tags are
put.
SCM_INV_05.03 The counts are entered in the system Counting>Physical System Next Step Inventory
Inventory> Tag Controller
Count
SCM_INV_05.04 If any discrepancy is there between physical Counting>Physical System End Stores and
quantities and stock on system then adjustment is Inventory> Finance
done in consensus with finance. Physical
Inventories

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SCM_INV_06: ABC Analysis – Process Flow

SCM_INV_06: ABC Analysis

Controller
Inventory

Decide on Item Assign Items to

Define ABC Valuation Scope Define ABC Define ABC ABC Classes
START Run ABC Compile END
Compile Inventory Org or Classes Groups within ABC
Sub inventory wise Groups

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SCM_INV_06: ABC Analysis

ID Description Menu Type Result Agent

SCM_INV_06.0 ABC Analysis is the classification of a group of items in ABC Codes> System Next Step Inventory
1 decreasing order of annual volume or other criteria. This ABC Classes Controller
array is then usually split into three classes A, B, and C.
• A Group- The A group usually represents 10% to 20% by
number of items and 50%-70% by projected SAR volume.
• B Group- The B group usually represents about 20% of
the number of items and about 20% of the SAR volume.
• C Group- The C group contains 60%-70% of the number
of items and represents about 10%-30% of the SAR volume
SCM_INV_06.0 Define and run an ABC compilation ABC Codes> System Next Step Inventory
2 An ABC Compile is a ranking of our items based upon ABC Controller
selected criteria. We can define and compile an ABC Compiles
analysis for our entire organization or for a specific sub
inventory within our organization.
We choose the compilation criterion, the scope of our
analysis and any additional information that may be
conditionally necessary based on our compilation criterion.
SCM_INV_06.0 Decide ABC Valuation Scope ABC Codes> System Next Step Inventory
3 ABC Controller
Compiles

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ID Description Menu Type Result Agent

We can select a valuation scope for determining the ranking

of items. We can do an ABC compile across individual
subinventories or across an organization. If we choose to
restrict ABC compile to items within a particular sub
inventory, we have the option of valuing our items across
all subinventories in the organization or by the individual
sub inventory.
SCM_INV_06.0 Defining ABC Classes ABC Codes> System Next Step Inventory
4 We use ABC Classes to identify the value groupings to ABC Classes Controller
which our items belong. Wecan define these classes using
our own terminology. For example we might define classes
High, Medium, Low, and later assign our items of highest
rank to high, those of lower rank to Medium, and those of
the lowest rank to low. We must assign an ABC class to at
least one ABC group. We can use ABC classes to group
items for a cycle count where we count “A” items more
frequently than “B” items. When we use ABC classes in this
way, we perform an ABC analysis and assign items to
classes based on analysis results.
SCM_INV_06.0 ABC Item Assignments: ABC Codes> System End Inventory
5 When we define ABC assignments we specify the cutoff ABC Controller
point for each ABC class. Each ABC class must have at least Assignment
one item assigned to it and all items in the ABC compile Group
must be assigned to an ABC class. We can use any of the
following fields to determine the cutoff points:
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ID Description Menu Type Result Agent

• Seq: We can enter the sequence number from the ABC

Descending Value Report for the last item to be included in
each ABC class. Oracle Inventory automatically calculates
this value if we choose to assign classes by another method.
Oracle Inventory displays the last sequence number as the
default of the last class.
• Inventory Value: We can enter the cumulative value from
the ABC Descending Value Report for the last item to
include in each ABC class. Oracle Inventory automatically
calculates the maximum value. This maximum value is
restricted to the total inventory value compiled and is
displayed in the Total Compile Value field. Oracle
Inventory displays the total inventory value as the default
for the last class.

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Chapter Order Management

Supply Chain Management

Order Management
This Chapter covers the Future Business Processes related to
Inventory Organization (Eye Bank)

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Process Listing and Descriptions for Supply Chain Management – Order Management

ID Process Title Description of Process

SCM_OM_01 Dispatch Items to Eye Care This process will be followed when the Eye Bank send the items (like Cornea
Centers. Order to Cash etc. to another Eye Care Units.
Process
These Eye Care Centers deposit the amount in KKESH Eye Bank Account in
Advance. As the Order is processed Credit Check will be done by Accounts
Receivables and then Order will be processed.
SCM_OM_02 Return Item from Eye Care This process will be followed when the Eye Bank Customers returns items
Center back to Eye Bank.

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SCM_OM_01: Dispatch Items to Eye Care Centers – Process Flow

SCM_OM_01: Dispatch Items to Eye Care Centers Process Flow
Eye Care Centers

Start

Order for Cornea

Inform Customer

No
Eye Bank

Ship Confirm &

Suitable Book Sales Transact Move
Receive Order Yes Pick Release print Shipping End
Cornea Order Order
document
Receivable

Receive Fund in Update

KKESH EYE BANK Customer(Eye Interface with
Account from Eye care Care Units) Credit Receivables, Auto
Centers limits Invoice

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SCM_OM_01: Dispatch Items to Eye Care Centers

ID Description Menu Type Result Agent

SCM_OM_01.01 Receive Order or Request from other Eye Care Centers for Manual Next Step Eye Bank
items like Cornea, Sclera
SCM_OM_01.02 Create Sales Order and book the same. The System Orders, System Next Step Eye Bank
automatically checks the credit limit of the customer. Returns >
Sales Order
Accounts Receivable controls the Credit limits, based on the
amount deposited.
SCM_OM_01.03 Launch Pick Release process Shipping > System Next Step Eye Bank
Transaction
SCM_OM_01.04 Transact Move Order. Select requisite Serial Number from Move Order System Next Step Eye Bank
the stock for the Transaction > Transact
Move Order
SCM_OM_01.05 Ship Confirm the Sales Order line Shipping > System Next Step Eye Bank
Transaction
SCM_OM_01.06 Print Shipping documents and ship the material Shipping > System End Eye Bank
Transaction

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SCM_OM_02: Return Item from Eye Care Center – Process Flow

SCM_OM_02: Return Item from Eye Care Center Flow
Eye Care Centers

Start

Order Return

Receive
Back the Enter Sales Order Create Receipt Inspect Item Complete the
Enter Order Book the Order Yes
item Reference against RMA OK ? Receiving Process
Eye Bank

No

Dispose End
Receivable

Interface with
Account
Receivables

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SCM_OM_02: Returns Item from Eye Care Center

ID Description Menu Type Result Agent

SCM_OM_02.01 Receive the Item from the Customers Manual Next Step Eye Bank

SCM_OM_02.02 Create RMA. Enter Reference of Sales Order no or Item Orders, System Next Step Eye Bank
Serial Number in Return TAB at Line level The System Returns >
automatically Links the line with the original Sales Order. Sales Order

SCM_OM_02.03 Create Receipt against the RMA number Receiving > System Next Step Eye Bank
Receipt
SCM_OM_02.04 Inspect Item which is received. Manual Next Step Eye Bank

SCM_OM_02.05 Complete the Receiving Transaction. Receiving> System Next Step Eye Bank
Receiving
If the item to be dispose of it will be stored in separate sub Transaction
inventory (Rejected)
If the item is Ok and can be used with be stored in or need
send back to International Eye Bank it will be stored in an
active Sub inventory.

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Open and Closed Issues for this Deliverable

Open Issues

ID Issue Resolution Responsibility

1
2

Closed Issues

ID Issue Resolution Responsibility

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DOCUMENT APPROVER – BP 80/BR30 HIGH-LEVEL FUTURE PROCESS MAPPING DOCUMENT
SUPPLY CHAIN MANAGEMENT

Sr. Date Name Department Signature

No

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DOCUMENT APPROVER – BP 80/BR30 HIGH-LEVEL FUTURE PROCESS MAPPING DOCUMENT

SUPPLY CHAIN MANAGEMENT

Sr. Date Name Department Signature

No

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