Inventory Control Procedures
Inventory Control Procedures
To assure that University inventory records and inventory control are maintained, the following procedures are prescribed:
6.1 New Equipment and Furniture
All movable equipment and furniture meeting the criteria for inventory control will be tagged with an AUC inventory bar code control number upon its arrival at central receiving or upon contacting the Inventory Control Personnel.
For imported items purchased by the ASHA funds, it should be tagged with the related emblem. This is the responsibility of the Accountable Property Personnel, to get the emblem from SCM/ Property Inventory Control Office.
a. Transfers between departments
Occasionally, one university department may wish to transfer used equipment to another department. After both the transferring and the receiving departments agree, internal transfer form. Is required to be filled out and signed by both departments’ heads. The form has to be sent to the Inventory Control Office. The Inventory Property Control Office will then arrange for adjusting the university records. University property must not be moved from one department to another without proper authorization.
b. Transfers within the same department
Such transfers should be reflected on departmental inventory records. The department may change building and room numbers with a departmental memo to the Property Inventory Control Office.
c. Equipment lent to another department
Department loaning equipment to another department will maintain a written request on file which will include the inventory number, description, and serial number, purpose of the loan and duration of loan.
6.3 Requesting used items from main stores
Departments can request used property from Stores, the departments delegate should visit the university warehouses to select the needed items. He/ She should initiate a requisition and submit it to the Property Inventory Control Unit for processing and approvals. The Property Inventory Control Personnel should arrange the physical transfer of the items to the requesting department by contacting Facilities and Services.
6.4 Removal of university property from the premises
Generally, equipment must be used only for university business and may not be loaned to individuals, organizations, or faculty and staff members for personal use. Deviation from this policy requires written approval of the area Vice President or the dean of the school. The request for approval should indicate the nature of the work to be performed; the kind of equipment to be used; and the extent of the equipment use.
a. An Exit Permit is required before any university equipment or furniture may be removed from the campus. Whenever university equipment must be removed from university premises for official reasons, an exit permit is needed to be filled out and to be submitted to the university gates security staff. Exit permits can be acquired from the Supply Stores. Removal of property without such written authorization is considered a security violation and may be considered misuse of funds. If the university property is removed from the premises, the individual removing it must assume financial responsibility unless he or she is otherwise specifically relieved of such responsibility by the appropriate administrative personnel. Security personnel will challenge removal of AUC property by employees or service representatives who do not have a permit. University property or equipment may not be used for personal gain or in competition with private enterprise. University equipment may only be removed from university premises for purposes of university business.
b. A Permanent Exit Permit is issued for the department, whose nature of work requires frequent exit of their equipments out of campus. A permanent exit permit card will be issued for each item; this will be in custody of the Accountable Property personnel, who is in charge of requesting the permanent exit permit from SCM / Property Inventory Control unit. Whenever the equipment needs to be transferred out of premises, this card should be with the equipment. The Proper Inventory Control Office is responsible for issuing the permanent exit permits and it will be valid for maximum of six months.
6.5 Equipment to be disarded
Departments are encouraged to return unused items to the university warehouses so that others may use it. When equipment becomes obsolete, broken beyond reasonable repair, or otherwise useless, It has to be transferred to the university warehouses, The cost center personnel responsible for the equipment inventory should initiate the Equipment/ Furniture Transfer Note and submit it to the Property Inventory Control Office. The departments should arrange the physical transfer of the items to the university warehouses by contacting Facilities and Services Office.
The university departments and offices are not authorized to dispose of by sale or donation any equipment, furniture or material regardless of its value to any external or internal party. In order to maintain an accurate inventory system, corrections to the official inventory records must be made promptly to reflect items that have been surplused, traded in, stolen, destroyed, or damaged, or transferred. The appropriate form should be completed and submitted to the Property Inventory Control Office for removal from the university records. Equipment may be disposed of and removed from university records only for the following reasons.
a. Trade-in equipment
University-owned equipment may be traded in to reduce the cost of replacement equipment. The department head must approve the trade-in and notify SCM of the intent to trade in equipment before SCM obtains bids on replacement equipment. Departments may notify purchasing by listing the equipment to be traded in on the purchase requisition. After obtaining bids, SCM should also list the equipment and its trade-in value on the purchase order issued. The purchase order will serve as documentation of the authorized disposal of the equipment. A copy of the documents to be sent to the Property Inventory Control office to delete the traded-in items from the department inventory records . The cost or estimated value entered into the university’s accounting system for any new traded-in equipment should be for the full cost of the new equipment and not reduced by the amount of the trade-in. The Controller’s Office will ensure that the cost of the new equipment is correctly reflected on the equipment records. When equipment is to be traded-in for new equipment, a description of the item or items to be traded-in, including the inventory number, shall be shown on the requisition for each purchase of such new equipment.
b. Exchanging of equipment
When new equipment is going to be replaced under a warrantee terms, the Property Inventory Control must be informed to update the serial no of the equipment in the university records.
c. Damaged, missing or stolen property
Departments are required to report any damaged, stolen, or missing items as soon as required to the Property Inventory Control Office for proper action.
c.1 Theft or mysterious disappearance
Departments are required to notify the Property Inventory Control Office within 24 hours of identifying missing equipment. Stolen property must be reported to the university Security Office immediately upon identifying the theft so they can investigate or take appropriate action. The department head must send a completed set of the related documents with a copy of the security investigation report to the Property Inventory Control office after securing the area head approval to delete the equipment from the university records. A letter describing the circumstances of the loss should be attached.
c.2 Equipment destroyed or damaged beyond repair
If equipment has been destroyed or is damaged beyond repair, the item has to be sent to the university warehouses attached with a report to remove the equipment from the department inventory records. Before approving the form, the department head should verify the equipment has been damaged or destroyed.
c.3 Surplus property
University equipment that a department determines to be obsolete, outmoded, or unusable may be declared surplus and disposed of by sending them to the university warehouses.
6.7 Borrowed equipment
When equipment is loaned to the university for official use ( e.g., Exhibits or demonstration), such arrangements should be approved by the appropriate department or office who is organizing the event. A copy of the equipment list to be sent to the Property Inventory Office and a copy kept on file in the custodial department.
6.8 Personal equipment on University premises
Personal equipment on university premises, such as in offices and laboratories, should be tagged or labeled by the university gates security staff to clearly indicate personal ownership. Unless there is a written agreement to the contrary, all personal equipment on university premises is at the owner’s risk. The university’s insurance coverage normally does not cover personal property, and the university cannot assume responsibility for its maintenance or upkeep.