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Page Title: Chapter 3 Inventory Management
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CHAPTER 8 INVENTORY  MANAGEMENT As you study this chapter you will learn that the term inventory  management  means more than just physical inventory. Inventory management requires control of and  agreement  between  stock  and  stock  records, accurate  control  procedures,  evaluating  usage,  and anticipating  requirements. INVENTORY  CONTROL  PROCEDURES Some inventory procedures were discussed in an earlier   chapter.   In   addition,   inventory   control procedures  mean  providing  for  the  availability  of material, where, when, and in the kind and quantities required.  It  means  balancing  requests  against  available funds  and  purging  storerooms  of  stock  no  longer applicable to installed equipment or in unserviceable condition. It means knowing the best levels of supply to be maintained and developing a sound review procedure to  make  sure  supply  adjustments  are  timely  and accurate. INVENTORY MANAGEMENT SEGMENT Shipboard  material  inventories  are  divided  into  five segments  for  management  purposes.  These  five segments that are discussed in the following paragraphs are  operating  space  items  (OSIs),  repair  parts, consumables,  maintenance  assistance  modules (MAMs),  and  ready  service  spares  (RSSs). Operating Space Items OSIs are those items in the custody and under the management of various department heads aboard your ship. This type of material was designated OSI by your ship’s COSAL. Some of this material can require special inventory  control  and  can  be  designated  as  controlled equipage. Repair Parts Repair parts are in the custody of the supply officer when supply department storage space permits and are always  under  his  or  her  management. Consumables Consumables are in the custody of the supply officer when storage permits. You can carry a small amount of consumables such as cleaning supplies, various amounts of office supplies, and some paint. Stocked consumables (items carried as supply department stock) are managed by  the  supply  officer  whether  such  items  are  stored  in supply department spaces or in other department spaces. Remember,  you  need  the  approval  of  the  commanding officer  to  store  your  stock  in  another  department’s spaces. All nonstocked consumables are in the custody and under the management of the other department heads. Maintenance  Assistance  Modules MAMs are usually in the custody of the appropriate department  head  and  should  be  located  in  the appropriate operating and maintenance spaces under the subcustody  of  operating/maintenance  personnel. MAMs are replaceable modules required to execute an approved maintenance plan that calls for identifying the fault  of  a  failed  module  through  progressive  or  selective module   substitution.   MAMs   will   appear   in   your COSAL. When a MAM has replaced a bad one in the equipment, that department or work center is required to   submit   the   proper   paper   work   to   the   supply department  to  replace  the  one  actually  used. Ready  Service  Spares RSSs are repair parts that are in the custody of the appropriate  department  head.  These  repair  parts  and spares  are  designated  by  the  Hardware  Systems Command during maintenance engineering analysis to be  stored  in  or  near  certain  equipment  for troubleshooting  and  for  effecting  rapid  equipment repairs.  These  spares  will  appear  in  your  COSAL  and may also appear in section IIIA of your COSAL as items that you could stock if usage warrants as backup. BASIC OBJECTIVES Some of the basic objectives of inventory control procedures areas follows: 8-1

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