Sub:
INTRODUCTION OF SEPARATE DETAILED HEADS OF ALLOCATION FOR BOOKING OF
EXPENDITURE INCURRED TOWARDS REPAIR WORKS AND MANUFACTURING WORKS IN RAILWAY
WORKSHOPS.
INTERNAL STUDY REPORT
1. WORKSHOP ACCOUNTS: -
Segregation of Manufacturing Suspense and Repairing Suspense in WMS head i.e.
P-7200 of Demand No. 16 & liquidation of Manufacturing Suspense by
identifying final head of allocation under Revenue & Capital.
1.0
SCOPE OF THE AUDIT : - The
study is purported to book an expenditure to proper head and by providing
detailed correlation to clear the Suspense Head items to Final Heads i.e.
Revenue and Capital to which the expenditure is to be assigned to. As laid down in Finance Code Vol. II and as
per Revised Classification of expenditure on works, Minor Head P-7200 provides
2.0
for (Manufacturing Suspense with provision of
2 Sub-heads P-7210 & 7220 and with 10 Detailed Heads (copy enclosed) does
not cover all activities in an Integrated Railway Workshop and with
introduction of different rolling stocks to our system there is a need for
further simplifying and supplementing the existing Allocations.
2.0 ITEMS ALREADY COVERED AND APPROVED BY
RB: - With Railway Workshops catering to more of repair work and less
of manufacturing items, it is felt that emphasis of Minor Head/Sub-Head should
be properly addressed. Sr.DAO’s have been re-named to Sr.DFM’s to adjust to present day requirement. Thus RB as per Lr.
No. 99-CA-14/1 dt. 17.3.99
has agreed for segregation (copy enclosed).
Thus as agreed by RB, P-7210 and
P-7220 Sub-Head will be earmarked to Manufacturing (WMS) and will finally be
cleared to Demand No. 16 i.e. Stores Suspense etc. P-7210 will be earmarked for
Loco, Carriage & Wagon manufacturing items and P-7220 will cater to other
than Loco, Carriage & Wagon manufacturing activities in a Workshop.
In today’s context, Workshop is catering to Repair
activities in a pronounced manner as compared to manufactured activities which
is on the declining trend and have been offloaded to trade Subhead P-7230 and
P-7240 is earmarked for Workshop Repair Suspense (WRS) and P-7230 will detail
with POH of Loco (Diesel, Elect), Coaches, Wagons etc.
P-7240 will deal with POH of cranes and other than 7230 items. The detailed head of Suspense under Sub-head
WMS (P-7210, 7220) and WRS (P-7230 & P-7240) have already been
approved.
2.1 Improvements to above and
views/suggestions for amendments sought on 17.3.1999 Letter by RB.:
-
The approval of RB to constitute
WMS (P-7210, 7220), WRS (P-7230, 7240) as Subheads with further finer detailed
Suspense Heads can be further supplemented.
The Suspense Heads are to be finally
liquidated to Final Heads and WMS & WRS balance as of now is to be kept
below < 3% of TOR, correlation and easy identification of WMS & WRS
Detailed Suspense Head with Final Head i.e. Revenue 5C, 6D, 7E etc. and Demand
No. 16 is essential.
In this direction, an exhaustive
exercise done from which the Allocation Table will make it clear for Executive
and Accounts to avoid misclassification.
In big Workshops like KGP, PAREL, all activities, POH of Diesel, Elect.
Locos, POH of Coaches, DMU Stock, MEMU, EMU, Wagons, Cranes
etc. are being done. Manufacturing of
Stock items is simultaneously being done.
Due to non-linking of Final Suspense Detailed head to Revenue head is
leading to accumulation in Suspense and its subsequent accretion and
non-clearance. If this Allocation table
showing correlation between Suspense and Final Head is circulated, the expenses
and expenditure will be booked to proper head and minimum balance will remain
under Suspense Head.
Considering the fact that for Rolling
Stock like DMU, EMU, MEMU, new Minor heads and Sub-heads i.e. 6D-400 and 6D-700
have been introduced, there is a need to provide an earmarked Suspense detailed
head so that it leads to correct booking of expenditure and lead to proper
costing exercise as well.
The detailed Suspense Head with its
correlated final heads is shown below:-
2.2
Conclusion: -
Since
Railway Board, in its letter dated 16/17.3.1999 has asked for further
suggestions/views, the detailed Allocation Table under WMS & WRS linking to
Final Heads i.e. Demand No. 16 various Plan Heads, Stores Suspense and Revenue
Heads 4B, 5C, 6D, 7E will be useful to Executive and Accounts Supervisors to
avoid misclassification. This detailed exercise will lead the way for unit
costing of newer Rolling Stocks like DMU, EMU, MEMU POH, which can be done as
is being done for coaches, locos, wagons as of now.
Statement No. – 1
STATEMENT SHOWING THE CO-RELATION
OF THE WORKSHOP MANUFACTURING SUSPENSE SUB-HEADS (P-7210 & P-7220) UNDER
DEMAND NO. 16 (CAPITAL & WORKS EXPENDITURE) FOR THE MANUFACTURING SUSPENSE
WITH THE FINAL CAPITAL HEADS OF ACCOUNTS TO WHICH CLEARANCE IS MADE.
(I) P-7210 (WMS)
Workshop Manufacturing
Suspense for Rolling Stocks: - Final Capital Head:
-
|
i) |
P-7211 (Steam Loco W/Shop Prod.) |
i) |
Booked to PH*-2100 (Rolling
Stock) (Det.Hd. 2111 U/D.No.16) by the Zonal
Railways |
|
ii) |
P-7212 (Diesel-Elect.Loco
W/Shop Prod.) |
ii) |
Booked to PH-2100 (Detailed
Head 2112 & 2113 U/D.No.16) by the Zonal Railways |
|
iii) |
P-7213 (Electric Loco Workshop
Prod.) |
iii) |
Booked to PH-2100 (Detailed
Head 2111 U/D. No. 16) by the Zonal Railways |
|
iv) |
P-7214 (Carriage Workshop Prod.) |
iv) |
Booked to PH-2100 (Sub-Head
2130 U/D.No.16) by the Zonal Railways |
|
v) |
P-7215 (EMU, MEMU W/Shop Prod.) |
v) |
Booked to PH-2100 (Sub-Head
2130 U/D.No.16) by the Zonal Railways |
|
vi) |
P-7216 (DMU W/Shop Prod.) |
vi) |
Booked to PH-2100 (Sub- Head
2130 U/D.No.16) by the Zonal Railways |
|
vii) |
P-7217 (Wagon W/Shop Prod. If any) |
vii) |
Booked to PH-2100 (Sub- Head
2140 U/D.No.16) by the Zonal Railways |
|
viii) |
P-7218 (Other Workshop Production) |
viii) |
Booked to PH-2100 (U/D.No.16)
by the Zonal Railways |
II) P-7220 (WMS)
Other Workshop
Manufacturing
Suspense Final
Capital Heads: -
|
i) |
P-7221 (Rolling Stock Component/
Duplicate Mfg. Shop) |
i) |
Stores Suspense: P-7100
U/D.No.16 & Tr.Divn. |
|
ii) |
P-7222 (Civil Engineering Workshop) |
ii) |
P.H.-3100, 3200 U/D. No. 16
& also to 4-B-200, 300, 700 etc. (Revenue Heads) |
|
iii) |
P-7223 (S&T) Workshop) |
iii) |
P.H. –3300 U/D.No.16 |
|
iv) |
P-7224 (Electrical Workshop) |
iv) |
P.H.-3600 U/D.No.16 |
|
v) |
P-7225 (Wheel & Axle Plant) |
v) |
Tr. Railway. |
|
vi) |
P-7226 (Printing Press Shop) |
vi) |
Tr. Divisional. |
|
vii) |
P-7227 (Tailoring Shop) |
vii) |
Tr. Divisional |
|
viii) |
P-7228 (Other Workshop Production) |
viii) |
Tr. Divisional/ Tr. Rly. as the case may be |
* PH : Plan
Head
STATEMENT SHOWING THE CO-RELATION OF THE PROPOSED
WORKSHOP REPAIRING SUSPENSE SUB HEADS (P-7230 & P-7240) UNDER D.NO.-16
(CAPITAL & WORKS EXPENDITURE) FOR THE REPAIRING SUSPENSE WITH THE FINAL
REVENUE HEADS OF ACCOUNTS TO WHICH THE CLEARANCE IS MADE:
III) P-7230
(WRS)
Workshop
Repairing
Suspense
of Rolling Stocks: - Final
Revenue Heads: -
|
i) |
P-7231 (Steam Loco Repair Workshop) |
i) |
5-C-230 to 5-C-260 (PU : 34
& 35)/T.D. where the Mech. Workshop has not got the B.G. |
|
ii) |
P-7232 (Diesel-Elect. Loco Repair W/Shop) |
ii) |
5-C-330 to 5-C-360 (PU : 34
& 35)/T.D. where the Mech. Workshop has not got the B.G. |
|
iii) |
P-7233 (Electric Loco Repair Workshop) |
iii) |
5-C-530 to 5-C-560 (PU : 34 & 35)/T.D. where the Elect. Workshop has not
got the B.G. |
|
iv) |
P-7234 (Carriage Repair Workshop) |
iv) |
6-D-230 to 6-D-260 (PU : 34
& 35)/T.D. where the Mech. Workshop has not got the B.G. |
|
v) |
P-7235 (EMU, MEMUM Rep. W/S) |
v) |
6D-430 to 6-D-460 (PU : 34
& 35)/T.D. where the EMU, MEMU Repair W/S has not got the B.G. |
|
vi) |
P-7236 (DMU Repair W/S) |
vi) |
6D-730 to 6-D-760 (PU : 34
& 35)/T.D. where the DMU W/S has not got the B.G. |
|
vii) |
P-7237 (Elect. Genl. Service
Repair W/S) |
vii) |
6D-550 to 6-D-580/ T.D. where
the Elect. Workshop has not got the B.G. |
|
viii) |
P-7238 (Wagon Repair Workshop) |
viii) |
6D-330 to 6-D-360 (PU : 34 & 35)/ for the H.Rly.
Works & for Other Z. Rly. Wagon Repairs, Tr.Rly is operated.
|
|
ix) |
P-7239 (Others) |
ix) |
Final Rev. Heads under D. No.
5, 6 & 7. |
IV) P-7240 (WRS)
Other Workshop Repairing
Suspense (Other than Rolling Stocks): -
Final Revenue Heads
|
i) |
P-7241 (Engineering Rep. W/Shop) |
i) |
4-B-430/Q-3100/T.D. |
|
ii) |
P-7242 (S&T Workshop) |
ii) |
7-E-500 & 7-E-600 |
|
iii) |
P-7243 (Elect. Repair W/Shop) |
iii) |
7-E-400 |
|
iv) |
P-7244 (Mill Wright W/Shop) |
iv) |
7-E-300/T.D. |
|
v) |
P-7245 (Other Repair W/Shop) |
v) |
Relevant Final Rev. Head |