How to process automated material “Offload” …

 

Background Knowledge:

 

You may ask, how are excess material accumulated onboard your ship? Accumulation of excess material can be attributed to several situations. Some of the major causes that generates material excess are: Monthly ASI process, Gain-by-inventory (GBI), Erroneous Reorder process, Material turn-in to stock (MTIS), Re-COSAL/Re-AVCAL or Allowance changes or deletions just to name a few. Level Settings (when generated) will generate excess material due to demand fluctuations. An item with Allowance Type Code (ATC) of “4” may turn into excess (ATC 6 or 7, based on set ERMV normally $100.00, Note: For Submarine Force: ERMV is set to $0.00 to avoid ATC 7) when required demand for retention is not met during the specified ‘base period’ on the Level Setting parameters. Whatever situation drives your excess material onboard your ship, it is a ‘black mark’ on your SAMMA/SAL. Your goal is to keep excess material to the minimum. There are R-Supply programs that you can generate to prevent excess material from accumulating onboard your ship. Programs like: Excess Stock Due Cancellation. This program should be generated in a monthly basis. Run Ad Hoc to identify ATC 6 with unit price greater than (you specify). Once these items are identified, you can selectively offload these items using the MRE program. Be proactive in managing your excess material.

 

Automated Offload is normally conducted after deployment, depending on your operational commitment.

 

Procedures:

 

To perform automated material Offload, follow the steps listed below:

 

Step #1: Preparation: Know how much excess material to be offloaded. Run or process R-Supply transactions or programs in the following sequence:

 

(1) Process all receipts.

(2) Process pending issues.

(3) Process all suspended transactions that affect the inventory or O/H QTY (i.e. issues, receipts, pending inventories, etc.).  

(4) Run “Stock Item Maintenance” program with only “Change Allowance Type Codes” checkbox is selected. This Batch Job when run will realign the alternate_niin table against the stock_item table by changing items with ATC 6, 7, or 8 to 9 if the NIIN is currently in the alternate_niin table with PSIN indicator of “S”.

(5) Run Level Settings to establish a baseline for Offload. Refer to TYCOM Level Settings’ recommended parameters.

(6) Run a true Asset SAMMA/SAL with ‘RAB’ checkbox selected. This will generate a complete listing of all redistributable assets onboard (RAB – Excess material).

 

Develop the Offload POA&M. Offload is a major event (especially in huge platform, i.e. CVN,LHA, LHD, etc.) that requires major planning (i.e. man hours (number of personnel required to complete the project), timing (ensure to select a good window of opportunity in completing the project), make arrangements with the receiving Activity (normally FISC) of what is needed or required when offloading your excess material, consult your TYCOM for the current policy, and conduct training for the personnel who will be doing the job. It is not as simple as you think. Everyone knows how to pull material from the storeroom location, however, not everyone understand the impact if not done properly and correctly. Distribute copies of the procedures to personnel doing the pulling of excess material… highlight Step #6.

 

Prepare for the Offload. Major preparation is to LAP (Location Audit Program) the storeroom. LAP is an ongoing process that should be part of your inventory Team tasking. Another major preparation prior to conducting Offload is to run a “Live” Level Setting program. This will allow the Activity to establish a current baseline for offload.

 

Step #2: Set the ‘Offload’ constants: Logon to R-Supply. GoTo: Site>Activity Controls>Constants>Requisition/Offload Values. Select “Offload Defaults” tab and set the correct UIC of the receiving Activity and other offload default value.

 

Step #3: Select the offload candidates: Select is the actual generation of the batch job to select the offload candidates. This process populates the offload table. GoTo: Inv>Management>Inventory Actions>Offload Processing>Offload. Select and assign the correct offload parameters.

 

At the minimum, select the following:

 

Type of Offload: The following Options are available:

 

Regular: Regular option is the most common. This option when selected will screen all items in the stock_item table based on O/H QTY against the RO of the item. If the O/H QTY minus RO is positive, the item is in excess condition. Make sure to consider substitute items by checking the substitute checkbox on the other options block.

 

DRMO: This option is selected when offloading material to DRMO (i.e. Expired Shelf Life items, etc.).

 

Total: This option when selected will generate offload documents to every line item in stock_item table that has O/H QTY. Total offload option is selected when decommissioning a ship only or directed by the Activity’s TYCOM.

 

Other options:

 

Stores Type: Select either ‘General Stores’ or ‘Restricted’. Restricted item includes QCOSAL. Normally, “General Stores” is selected. If no selection was specified, both stores type will be screened or considered for offload.

 

Designate Material: Select the type of material to be considered for offload.

 

Specify: You can further tailor your output by selecting the applicable item.

 

Include Substitutes: This option must be selected to have substitute O/H QTY considered during the computation process.

 

DBI Retention Factor: Select the appropriate number of months. Consult TYCOM recommendation.

 

Output: Report by Extended Money Value (EMV).

 

Optional Block: Select options as applicable to further tailor the offload output.

 

Submit and approve the Batch Job. Do not forget to set the correct indicators on the ‘Control Parameter Update’ screen.

 

Note: After successful completion of the Batch Job, offload table is populated with offload candidates. You can check the offload table by running “Ad Hoc”. GoTo: File>Utilities>Ad hoc Query>Expert. Click “Tables” on the Ad Hoc Query Checklist. Select the “offload” table. Run the Query. All offload candidates should be displayed.

 

Step #4: Print the Offload Picking Tickets (DD Form 1348-1A). . GoTo: Inv>Management>Inventory Actions>Offload Processing>Print Offload Documents… then select “Offload Picking Tickets” radio button. After completion of the select phase (Batch Job JSI209), print the official offload documents (Picking Tickets - Batch Job JSI230) to be used to physically pull the material from various storeroom locations.

 

Step #5: Distribute the Offload Picking Tickets. This is a critical management action. Picking Tickets must be closely monitored and controlled by the Offload manager or Stock Control Supervisor. Remember that a copy of all Picking Tickets must be returned to who ever control the offload project (i.e. Stock Control Supervisor) to ensure accuracy of the process and accurately perform Step #7 (Update) of the offload project.

 

Suggestions how to control the Offload Picking Tickets: Offload Picking Tickets should be matched against the Offload Listing that was produced or created in Step #4. Checked-off or bracket the items on the listing and have the person sign-out the picking tickets by setting his/her signature on the Offload Listing. Hand them out about ten or twenty at a time. By letting the person signed out those picking tickets, the person is obligated to do a good job and returned a copy of the picking tickets to the Offload project manager for update phase (see Step #7).

 

Step #6: The hard and long hours of physical work: Personnel conducting the pulling of excess material should be trained and instructed to perform the following actions: (Very Important Note: Annotations are critical to the person performing the update process (Step #7). This is the only way to communicate between the person pulling the excess material and the Stock Control personnel performing the Update phase.) Remember that this is your chance to have an accurate inventory of your actual quantity on-hand… so, pay close attention to what you are doing.

 

The following statements are must understood by the personnel pulling the material from the storeroom locations:

 

  • Pay attention to “retain quantity” on the Offload Picking Ticket. Retain quantity is equal to the High Limit or RO of the item. The reason why offload document was generated to this particular item is that the O/H QTY is greater than the RO.

 

  • Count the actual O/H QTY of the material to see if the actual O/H QTY total count is equal to “Retain Quantity” plus the “Offload Quantity”. If the count is equal to the total of “Retain Quantity” and “Offload Quantity”, no correction is required. Pull the excess material from the location and circle the “Offload” quantity on the offload picking ticket. Pull a copy of the offload Picking Ticket for return to the controlling custodian. Attach the remaining copy or copies of the offload picking ticket to the material.

 

  • If the total count of the actual O/H QTY is more than the total of “Retain Quantity” plus the “Offload Quantity”, cross-out the “Offload Quantity” and change it to whatever the excess quantity after the “Retain Quantity” is placed back to its proper location.

 

  • If the total count of the actual O/H QTY is equal to or less than the “Retain Quantity”, cross-out the “Offload Quantity” and change it to “0” (Zero Offloaded) and indicate the actual inventory count of the material on the picking ticket. This is critical to the person performing the “Update” phase (Step #7). Return the Offload picking ticket to the controlling custodian with annotations.

Note: Material to be offloaded that has changes in quantity to be offloaded on the Picking Ticket must be separated from the ones that do not have changes (the good ones). The reason is that you will get back to these packages to reattach the final documents. (See Step #8).

 

Step #7: Perform update: GoTo: Inv>Inventory Control>Offload>Updates. Update phase is the process of making corrections to offload documents (Picking Tickets - DD 1348-1A) in offload table (i.e. Offload quantity changes, deletion of offload documents, etc.). This is a critical step and must be processed as indicated notations on the Picking Tickets by the person pulling the excess material. The individual controlling the project and the person performing the update phase should perform the following actions:

  • Match the returned offload picking tickets against the ‘Offload Listing’ that was used to distribute and control the picking tickets. Ensure the person who signed-out those picking tickets returned the same number of offload picking tickets with annotations.

 

  • Sort the returned offload picking tickets. Set aside those picking tickets that do not require updates. No corrections required. (The actual O/H QTY count must have equal to the total of “Retain Quantity plus Offload Quantity”). No changes required in offload table.

 

  • If the offload quantity was changed, this means that the actual O/H QTY count is either less than or greater than the total of “Retain Quantity” plus the “Offload Quantity”. In this case, you must update the “Offload Quantity” to reflect what was annotated and set aside this document for further research. Whatever the results of the audit trail, process inventory adjustments before or after the Offload project is completed. You can either use the “Inventory Posting” option or the “Inventory Adjustment” option. Pay attention of exact storeroom location, specially, if you have a multiple locations assigned. Consolidate into one location and delete other locations if possible.

 

  • For those offload documents that do not have O/H QTY to be offloaded due to O/H QTY was equal to or less than the “Retain Quantity”, will be deleted from the ‘offload’ table. Again, inventory adjustment must be performed to adjust the actual O/H QTY count.

Note: The person performing the update process must separate the offload documents that have changes in quantity to be offloaded. The reason for doing this is that you must reprint the final offload documents so it matches the offload quantity. This is important because the receiving Activity (FISC) may use IBS to process receipt. If the old document (cross-out & annotated copy) is used to scan the receipt, the quantity scanned will be the original quantity (not the corrected quantity). Remember, when you cross-out the offload quantity, the barcode is not changed. This event must be accomplished after Step #7 (Updates).

 

Step #8: Print the final offload documents for ‘Offload Picking Tickets that has Changes in Offload Quantity’. GoTo: Inv>Management>Inventory Actions> Offload Processing>Print Offload Documents… then select “Print Duplicate Released Documents” radio button. Controlling these “final released offload documents” is critical. The newly printed offload documents must be signed-out (refer to Step #5) and attached to the material. The original offload documents (that has changes in quantity offloaded) must be returned to the controlling custodian to ensure the event was accomplished.

 

Step #9: Release: GoTo: Inv>Management>Inventory Actions>Offload Processing>Release/Cancel… then select the appropriate options. Release is the process of releasing the offload documents from the offload table to update the stock_item table and other related financial tables. Select the “Release” radio button. Submit and approve the batch job. During this Batch Job process, all offload documents in the offload table are processed and posted to various database tables. All records involved are updated (on-hand quantity adjustments) and transactions are posted to CTL and other related database tables to include financials (MFCS TIR (NWCF Activity Only)). These documents will be match against the receipt TIR from the receiving Activity. Any transactions that do not have a matching receipt TIR from the receiving Activity will become SIT and become a bill-back to you.

 

Note: After completion of the “Release” process, do not forget to go back and process inventory adjustments for the items that require inventory adjustments posting from Step #6.

 

Step #10: Material delivery: Make arrangements with receiving Activity for delivery of material. Make sure someone will sign the paper-works and accept the material. Remember, you are still on the hook until the receiving Activity process the receipt and submit their TIR report to NAVICP to match your TIR transmittal.

 

Note: Make sure to call and double check the receiving Activity exactly what is required with delivery of the material.

 

Step #11: Run a Sample SQA Random inventory: List a few items from the ‘Offload’ listing and pass it to the Supply Quality Assurance Division for random spot inventory to ensure offload accuracy.

 

Step #12: Lessons learned: Discuss lessons learned during the course of the project. Rewards the Offload Project Team Members for the job well done based on the results of Step #11.

 

 

 

‘End of Project Offload’

 

 

Any questions, feedback or comments, email Lonnie Auza. (absalon.auza@navy.mil)