Office of Materials Management
 

CENTRAL SUPPLY CHAIN SERVICES
POLICIES & PROCEDURES

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General:

The Procedures Contained Herein Describe the Internal Central  Warehouse Management Procedures.  The same procedures are also used in the Perioperative, IR and Hospital Inventory/PAR programs. 

  1. The Central Warehouse stocks product that are frequently used; office, data processing, janitorial, laboratory and medical supplies which are used by more than one department, or are used on a repetitive basis by one department. 
  2. The Central Warehouse uses the Materials Management System to control stock at all levels, including the Hospital PAR program.. 
  3. Orders placed to the Central Warehouse are requisitioned using the Material Management Web Ordering System. Billing is also handled through this system.
  4. The Warehouse has been evaluated several times over the last several years by independent consultants.  All reports have shown the Warehouse as very efficient and a state-of-the-art operation.  The reports have also shown that the Warehouse  represented a major cost savings to the University of Connecticut Health Center. 

                               More than 90% of all medical product used by the Hospital and Clinics 
                                              can be found in the Central Supply formulary.

Catalog: 

  1. A complete warehouse catalog will be maintained in the Material Management Web Ordering System.
  2. The catalog will be developed once annually in the month of July. 
  3. The designated Materials Manager will maintain and update the catalog on a regular basis as required. 

Stock Items: 

  1. Stock items will be reviewed annually in April to determine retention for the coming year. 
  2. Working together with the University Director of Materials Management and the Value Analysis Team (VAT), the Materials Supply Chain Manager shall approve all additions/removals. 

Access Policy: 

  1. The Central Warehouse will be operated as a closed store, whereby, customers are excluded from the store area except on an approved or escorted basis. As stated previously, orders can be placed through the Materials Management Web Ordering System.

Pricing Policy: 

  1. A nominal distribution fee will be added to the weighted average cost of the item. This fee covers any shipping, handling and other direct or indirect costs which may have been incurred.  

Logical Unit Of Measure: 

  1. The unit of measure shall be the standard pack size used by the majority of departments.
  2. Items may be broken down to less than standard pack size, but should be kept to a minimum. 
  3. Items such as forms may be established as a standard pack to facilitate easier delivery and inventory. 

Damaged Goods Policy: 

  1. Damaged goods received from the vendor or returned from a department will be returned to the vendor for credit or replacement.

Filling Orders: 

The following applies to filling orders for the Central Warehouse: 

  1. Orders are generated by the user through the Material Management Web Ordering System.
  2. Two copies of requisitions (pick-tickets) will be printed by the Materials Data Control Coordinator. 
  3. The Storekeepers will fill the order and complete the requisition by indicating that the order has 
    been filled. 
  4. Any discrepancies will be noted on the requisition. A copy of the requisition will be provided to the user and 
    the second copy returned to the Materials Data Control Coordinator for billing purposes. 

 
Billing:

  1. Billing for goods sold will be accomplished daily as they occur. 
  2. Billing is automatically accomplished as the requisitions are issued in the Materials Management System.
  3. While billing is done daily, feeds to FRS are halted on the 20th of each month.  Feeds for billing from the 21st through the end of the month are resumed on  the 1st business day of the following month. 

  4. Payment Purposes Only (PPO):   Product that is brought in by a vendor or Physician and Materials Management is notified after the fact to have the product paid for or product that is received without prior approval from Materials Management or the VAT will be known as a PPO. 

 

Inventory Control: 

Inventory control shall be maintained by use of the Materials Management Systems. The Warehouse Materials Supervisor or his/her designee shall maintain the system, control entries and make adjustments. The following procedures will be followed in controlling the Central Warehouse Inventory.

  1. Central Warehouse items will be controlled by stock numbers assigned by the Materials Data Control Coordinator.
  2. Purchases of warehouse items will be entered into the Materials Management System by the Warehouse Materials Supervisor as they occur. 
  3. Adjustments to the Materials Management System can be made to correct errors in posting, provide credits for returned goods and record damaged goods. Adjustments to compensate for overages/shortages will only be made with the approval of the Assistant Director of Materials Management. 
  4. Weekly Cycle Counts will be conducted by the Materials Manager and Warehouse Materials Supervisor on not less than 20 warehouse items per week. Complete inventories will be conducted at the end of the fiscal year in the month of June. All counts will be inspected by the Director and/or the Assistant Director of Materials Management (Finance Officer). 

Inventory Expiration Procedures: 

Expiration dates on inventory product will be verified during: 

  1. Daily inventory review and ordering
  2. PAR Replenishment
  3. Review of requisitioned items
  4. Weekly Cycle Count check
  5. Annual inventory performed in the month of June

 

Annual Inventory Procedures: 

  1. An inventory will be conducted annually during the month of June. 
  2. The inventory will be supervised by the Director and/or Assistant Director. 
  3. All inventory will be frozen at a pre-designated time and will remain frozen until released by the Director. 
  4. Designated teams acting independently of each other will conduct the inventory. Both teams will use the Inventory Count Form generated by the Materials Management System to record their count. 
  5. Counts will be compared against the Materials Management System by the Director and Assistant Director. If the two counts do not agree on a given item, then a recount of that item will be taken by the Warehouse Materials Supervisor. 
  6. Upon completion of the physical inventory, the Assistant Director will complete a Stock Value List. The Assistant Director will certify that the report is true and accurate and submit the reports to the University Director/Operations Manager for Materials Management. 
  7. The University Director/Operations Manager for Materials Management shall submit the report to Finance.