Equipment Inventory

Elizabeth ErdmanMedical Equipment and

Logistics Solutions Directorate (Code 03)

NAVMEDLOGCOM

Context• Navy Medicine is planning an Annual

Inventory in support of Audit Readiness

Purpose• To outline current guidance and best

business practices for Wall-to-Wall inventories

Objectives1. Learn roles and responsibilities for

equipment inventory2. Learn how to complete an ICN in DMLSS

References

NAVMED P-5132SECNAVINST 7320.10aDODI 5000.64FY12 Logistics Guidance

What is a Wall-to-Wall Inventory?

Reconciliation of the property book to assets physically located at the Command. Includes:Floor to book

Were all accountable equipment in the command in DMLSS?

Book to floorWere all equipment in DMLSS physically located?

Review and update of valuation informationUpdate of equipment locationsCompliant inventories must be completed in

DMLSS

If done correctly a Wall-to-Wall inventory can…

Ensure 98% inventory accuracyHelp you to identify and correct valuation

information errorsReduce workload on EM and BIOMED staff

looking for Unable to Locate (UTL)

Steps in a Wall-to-Wall Inventory

1. Plan and Organize2. Open ICN3. Print Custodian Receipt/Location Lists4. Conduct Physical Inventory5. Reconcile (update valuation information

and locations in DMLSS)6. Complete ICN

Step 1: Plan and Organize

Each activity needs a plan for conducting inventory (SOP)Can be included in your CEMP

Should include:Purpose of inventoryResponsibilities of personnelList of inventory areas and target datesIndoctrination of personnelSpecific physical inventory proceduresInstructions for inventory progress reportLocal requirements

Step 1: Plan and OrganizeScheduling

Recommendation to develop an inventory scheduleStart with Custodian/RO departure listPlan to begin inventory 20 days out from change

of CustodianTake into account Change of Command timing

Step 2: Open an ICN

Open a separate ICN for each Customer you are inventoryingOpening an ICN will “lock” your equipment

records so that no transfers can be completed outside of the inventory in that Department

All items must be inventoried, transferred, or removed from DMLSS before the ICN can be completed

Step 3: Print the Custodian

Receipt/Location list in DMLSS

•Print each customer individually

•Easiest method is to sort by ECN

Step 4: Conduct Physical Inventory

Teams should be selected and trained per your command’s inventory plan

Inventory teams must contain at least one member from outside the department

EM should oversee the physical inventory, but does not need to physically perform the inventory

Step 5: Reconciliation

Complete all Transfers, Gains, and LossesReconciliation valuation information:

ECN.Nomenclature of equipment.Manufacturer's Serial Number.Manufacturer’s Nameplate Model.Manufacturer’s Model Number. (Common

Model)Acquisition Cost.Custodian Name.Location. (Update Permanent Location)

Select the ECN you would like to inventory and click the Update button

Multiple ECN’s can be selected at once by holding the CTRL or SHIFT keys

• Enter the Room location where the item was found, inventory date, and who the inventory was performed by. Click “OK.” You should see a “Y” appear next to that ECN on the “Inv.” column.

• Once you have inventoried all items that were found, click the “Reconcile” Button

• Items can be added from other departments using the “Add” button

• Clicking the “Reconcile” button will take you to a screen showing all shortages and overages. All items must be transferred-out, lossed, or transferred-in on this screen before the inventory can be completed.

• You can perform transfers and losses by selecting the buttons on the horizontal toolbar.

• Be sure all appropriate loss documentation has been obtained before performing the loss (i.e. DD 1149, DD 1348-1A, DD 200)

• Close the Shortage/Overage window to return to the previous screen.

• Once there are no shortages or overages, click the “Complete” button.

• Select the inventory that you would like to complete and click Complete.

Step 6: Complete ICN

Close ICN in DMLSSPrint 2 copies of updated Customer

Receipt/Location ListEM and Custodian will sign and maintain copies

Retain all physical inventory sheets until the next Wall-to-Wall inventory

Monthly 10% Inventories

Create an inventory plan for the yearTake into account Change-of-Custodian timingComplete a wall to wall of 10% of your

Customers each monthIf you have 40 separate customers, plan to

inventory 4 each monthInform departments prior to inventoryOpen separate ICN by Customer ID

Cyclical inventory strategy is the way ahead

Ex. 10% inventory by department

Claimancy-wide triennial inventory is history

Annual Inventory Requirements

Periodic (Wall-to-wall)Change-of-Command Change of Equipment ManagerGrossly inaccurate inventory

Annual Inventory RequirementsAnnual Inventory Requirements

Annual Inventory Requirements

AnnualCapital EquipmentClassified and sensitiveOn LoanLeasedGovernment Furnished Equipment (GFE) Inventory past due (last inventory 3

years ago)

Physical Inventory Plan for BSO-18 driven wall-to-wall

inventory

Review the guidance and identify required resources and deadlines. Develop a plan of action and brief the chain of command. Obtain

approval of the plan. Notify the command. Provide training. Deputize departmental equipment management

representative. Create an inventory control number (ICN) in DMLSS. Execute the plan. Update and reconcile the equipment inventory records on a daily basis. End physical inventory and process overages and shortages. Process transfers and losses documentation. Complete the inventory. Generate custodian inventory list and initiate DD 200s for custodian

review and signature. Generate inventory certification letter and for CO’s review and signature. Send original certification letter to BUMED-PMO.

Have you submitted an Inventory completion letter to BUMED-PMO? Have you established an inventory management plan per DODI 5000.64? Are you resolving inventory discrepancies in a timely manner? Are you posting completed inventories to the property book in a timely

manner? Are you tracking open inventories provided to custodians? Do you know

who is past due and the status to complete? Have you assigned count teams independent of the custodian? Are missing, lost, stolen, damaged, or destroyed assets being surveyed and

in a timely manner? Are the being signed by the Commander? Do you know when custodians leave the command so that you can schedule

a turn-over inventory before they leave? Is the inventory team validating the assets condition, serial nbr, and

location? Do you have inventories in an open status and unreconciled greater than 60

days?

Inventory Management Checklist

Exercise

FOR OFFICIAL USE ONLY24

ETM POCsProgram Manager• Edlouie Ortega – ETM SupervisorAnalytics/Equipment Management • HM1 Sherwin Villagracia – Data Quality

Management• Elizabeth Erdman – Inventory Management/LAVEquipment Management• HA Denise Matamoro – Property Accounting

Support

NMLC-ETM@med.navy.mil BUMED-PMO@med.navy.mil

25

Related Sessions

FOR OFFICIAL USE ONLY26

LO-M-1-F Business Objects Training for Equipment Managers

LO-T-3-B Equipment Management Self Assessment - Conduct Your Own LAV

LO-W-3-C Automatic Identification Technologies (AIT) /IUID and RTLS

LO-W-3-D Equipment Management ProcessLO-W-3-E Annual Inventory Process and

Requirements