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The challan that protects the supplier

A delivery challan is usually described from the receiving side. Written from the supplier's side it is evidence, and six months later it settles the argument.

Most descriptions of a delivery challan are written from the receiving side, where it is a document that arrives and must be checked. The mechanics of the document itself are in what a delivery challan is.

From the supplier's side it is a different object. It is the only piece of paper you will ever hold that proves the material left your godown, reached their gate, and was taken in by somebody. Everything you are owed rests on it. Written carelessly it starts an argument. Written properly it ends one before it begins.

What earns its place on the page#

A challan is not a form to be filled. Every line on it is there because some line was once missing.

  • Their order number. The first thing anybody looks for and the first thing usually absent. Without it the challan belongs to no order and the accounts department cannot attach it to anything.
  • Their site, described in their words. Not "Site 2" as your dispatch clerk calls it. The site name that appears on their order, because that is the name their file is under.
  • The material, described the way their order describes it. Your trade name and their specification are different strings, and a storekeeper matching by eye at a gate will not reconcile them.
  • Quantity in the unit the order used. Bags, tonnes, cubic metres, running metres, numbers. Change the unit and you have created a conversion that somebody must perform under a lorry in the sun.
  • The vehicle number. It ties the paper to a physical event that a gate register and a security camera can both confirm.
  • The date and the time of arrival. Time matters more than people think — a load booked in after cut-off, or on a day the site claims it was closed, is defended by a time.
  • Space for a name, a signature and a designation. Three fields, not one. The middle one alone is nearly worthless.

The details nobody tells a new supplier#

Get a name, not a scribble. A signature that cannot be read is a signature nobody will own. Print the name below it, in your driver's hand if necessary, and the designation beside it. When the query comes, you are naming a person rather than waving an illegible mark.

Know which fact you are collecting. A security guard's signature is a fact about arrival: this vehicle came in at this time. It is not acceptance of quantity or condition, and no amount of insisting will make it so at bill-checking time. If quantity matters — and it always matters — the signature you want is the storekeeper's or the site engineer's. Both signatures are worth having, for different reasons, and a gate register people actually keep is where the first one lives.

Retain the signed copy, not the copy you wrote. This is the mistake that costs the most. A three-part challan is only useful if the part that comes back to you is the part with their signature on it. A file full of your own unsigned copies proves that you printed some paper.

Photograph the signed copy at the gate. Before it goes back into the driver's pocket, before the lorry moves, while the vehicle number is still visible. Drivers lose paper. Paper gets wet. A photograph with a timestamp, sent to your own office on the spot, is a record that exists independently of whether the paper survives the return journey.

Record a short delivery on the challan itself, at the gate. The site says four bags are damaged, or the count is under. Do not agree to fix it later. Write the accepted quantity on the challan, have it initialled, and supply the balance against a fresh challan. "We will adjust in the next load" is a sentence that has no document behind it, and in three months it will be your word against a ledger.

Number it uniquely, in your own series. One unbroken series, no gaps, no restarts, no two challans with the same number in different books. A number that repeats destroys the ability of anyone — including you — to say which delivery is being discussed.

Three situations that go wrong#

The site refuses to sign. It happens: the storekeeper is absent, the engineer says he is not authorised, the material is disputed. Do not let the lorry unload on a promise. If it must unload, write on the challan what was actually delivered, note the refusal and the name of the person who refused, photograph it, and send a message to your contact at their office the same day stating what was delivered and that a signature was declined. An unanswered written statement made on the day is much stronger evidence than a memory produced later.

Unloaded, then questioned. The load is off the vehicle, the lorry has gone, and now the count is disputed. This is why the count happens before the vehicle leaves and why the driver waits. Once material is in a stack with other material, nobody can prove what you brought. If quantity is measured rather than counted — sand, aggregate, earth — then agree the method before you deliver, and understand what measured and docketed quantity actually commits both sides to.

The weighbridge slip disagrees with the invoice. Two weighbridges rarely agree exactly, and neither side is necessarily cheating. Decide in advance whose bridge is the reference, keep both slips with the challan, and treat a difference beyond the ordinary as a question to raise the same day rather than at bill time. A gap questioned on the day is a calibration discussion. The same gap questioned in month four is an accusation.

Filing so it can be produced#

A challan that cannot be found is the same as a challan that was never signed. File the signed copies by project and by month, keep the photographs in one place with the challan number in the file name, and attach them to your bill so the person checking never has to ask you for anything. That habit is the whole argument in keeping your own copy, and it is also what makes the difference between a bill that passes and a bill that waits, which is the subject of getting paid on time.

The short version#

The challan is your evidence, not their paperwork. It needs their order number, their site name, their unit, a vehicle number, a time, and a real name against the signature.

Keep the copy that came back signed, photograph it at the gate, write short deliveries on the spot rather than agreeing to adjust later, and never issue two challans with the same number. Everything you are owed is attached to that piece of paper.

Have a gap worth closing?

If something in your daily work is broken in a way everybody has stopped complaining about, that is exactly what we want to hear.

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