Wayne State University

Aim Higher

Policies-8

8.1.6 Forms Inventory Maintenance

DESCRIPTION

To continuously meet the university's need for forms, a forms inventory system is necessary for those W.S.U. departments which store and distribute forms. This includes Central Stores, the vault at the Cashier's Office, the University Computing Center, and any other departments which store and/or distribute forms.

The benefits to the university of a Forms Inventory System are:

  1. Lower procurement costs due to the reduction in the number of RUSH orders.

  2. Avoidance of stock-out situations which impede W.S.U.'s daily operations.

Depending upon departmental needs and resources, forms inventory may be automated or manual. Regardless of the method used to maintain inventory, the objectives are to:

  1. Promote a continuous supply of forms.

  2. Avoid depletion of stock.

  3. Provide adequate leadtime (see APPM section 8.1.1, Leadtime for Ordering Forms) for ordering and production of existing forms without incurring a RUSH surcharge.

The system records receipt and disbursement of stock for each form and identifies the current balance, as well as the reorder level of inventory for the form. Forms which are at or below the reorder level are flagged for reordering by the distributing department.

Forms inventory may also be maintained manually by a periodic physical inventory of stock. The form is reordered when a minimum balance is reached. Another method is to use a flag or notice to reprint. This notice is inserted into the form's stock at a predetermined reorder level. When this notice is reached, the form is reordered.

Forms Reprint Notice, form 221, is available from Central Stores for use as the flag/notice if this method is chosen by a department inventorying forms. Instructions to maintain the forms inventory and to reorder are on form 221.

DEFINITION(S)

Reorder Level

The minimum balance of stock for a form which provides the necessary leadtime to replenish inventory before depletion of the stock. This can be estimated by determining average monthly usage multiplied by the required leadtime.

NOTE: The minimum balance or reorder level for forms which have peak periods, i.e. registration, is the volume required for that period.