Inventory Management & Warehouse Management Data Collection & Validation UNON, UNEP & UN-Habitat



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Inventory Management & Warehouse Management Data Collection & Validation UNON, UNEP & UN-Habitat

3. High Level Plan: Jan April 2014 January 2014 Definition: Operational Inventory Holding Entities Plants Storage Locations February 2014 Mapping Preparation: Preparation of Tool Tool Hosting Set Up Mapping Kick Off Storage Locations Validation Legacy Data Collection Definition of Data Focal Points March 2014 Mapping Execution and Analysis Mapping (Priority for one UNHQ and one UNON office) Mock Sample data based on mapped records April 2014 Enrichment

4b. Inventory Storage areas in the Warehouse Structure Above is for illustrative purposes based on information provided to date. Users can make decisions as to where inventory is stored in the warehouse during mapping

4b. Inventory Storage areas in the Warehouse Structure Above is for illustrative purposes based on information provided to date. Users can make decisions as to where inventory is stored in the warehouse during mapping

7. Data Template for loading to mapping tool Unique Identifier in legacy system Description of the item as in legacy system Quantity is optional for mapping but is required for the future Unit Price is optional for mapping but is required for the future Current location For medical supplies, rations, ammunition and in some Liquor cases, if items are batch managed, a batch number is to be indicated. Bar Code Label for Non Expenable Property that is in stock

Inventory Mapping Deliverables Map legacy item description to Material Master record description Map legacy item to Umoja organizational structure (Storage Location, Warehouse, Storage Type, Storage Section) Confirm Material Master Characteristics impact on Legacy Record & vice versa Material Master / Legacy Records serialization requirement Material Master / Legacy Records batch management requirement Identify gaps in Material Master Identify gaps in legacy records

8. Legacy Systems Entity Legacy System Expendable stock items Legacy System non expendable in stock items BCP (Business Continuity Planning) JMS (Joint Medical Service) ICTS (Info and Tech Comm Services) FMTS (Facilities Management and Transportation) MPAU (Mail and Pouch and Archives Unit) PMU (Property Management Unit) SSS (Safety and Security) CPS (Conference Planning Service) UNEP UN HABITAT

9. Upcoming Deadlines: February 21?: Lotus Notes Tool Hosting February 21: Focal Points Finalization by Inventory Holding Entity. February 21 28 : Submission of legacy files by Organizational Entity for mapping based on priority February 24 March 14: Mapping of High Priority Inventories (sample data to be used for Mock Conversion) March 14 March 31 st : Mapping of Lower Priority Inventories.

BACK-UP SLIDES

1. Introduction to Umoja Logistics Within Logistics, Umoja will act as both a financial as well as Equipment and Inventory Management solution. The full scope of Umoja will implement both an Inventory Management as well as a Warehouse Management solution. Transit Location (Virtual) Inventory Management (IM) Warehouse Management (WM) Enables the recording and tracking of materials on a quantity and value basis, at the storage location level Includes planning, entry and documentation of stock movements (Goods Receipt, Goods Issue, physical stock transfer, transfer posting and physical inventory verification) Reflects the structure of a warehouse and monitors the allocation of storage bins and any transfer transactions within the warehouse Enables the user to view the flow of materials using advanced put away and picking strategies Note: The remainder of this course will focus on the Umoja Inventory Management Foundation solution.

2. Umoja Logistics Structures for Inventory Management Umoja standardizes the concepts of plant and storage location. A plant is the location where materials are produced, purchased, stored, inventoried, shipped, received and valuated or from which services are provided. A storage location reflects the inventory owned by a particular Funds Center in a plant. It also reflects the geographical locations that fall within the same plant. One Funds Center can therefore have multiple storage locations. No two Funds Center can share the same storage location. Plant Peace Keeping Mission Special Political Mission OAH RC HQ * Plants for Cluster 3 are under revision Storage Location Storage Location Plant-specific physical location Site where goods are physically received and/or stored Site where Requisitioner controls inventory SAU for PK mission Budgeting Section for HQ/OAHs 11

3. Umoja Logistics Structures for Warehouse Management Inventory Management (IM) Storage locations are location based. Processing of Goods Receipts and Goods Issues must reference a particular storage location that holds the Quantity view of a material in a warehouse Warehouse Management (WM) WM is implemented in particular plants to facilitate the management of physical space. The actual Physical Location of the material within the warehouse is managed under the WM structure Plant A Plant B IM Sloc 0001 Sloc 0002 Sloc 0003 Sloc 0001 Sloc 0004 Warehouse 001 Two storage locations can be linked to one warehouse to separate ownership. For example, MRP run (even if the materials are stored in the same areas). Some storage locations are not linked to any warehouse. They represent separate areas, that are not divided into bins. Warehouse 002 WM

4. Recap of all Logistics Structures Plant Key Term Storage Location Description A location where materials are produced, purchased, stored, inventoried, shipped, received and valuated, or from which services are provided A location that reflects inventory owned by a particular Funds Center in a plant. It also reflects geographical locations that fall within the same plant Definition Required for All Inventories Warehouse Storage Type Storage Sections and Bins A Warehouse is a Physical Structure that houses Inventories held by multiple storage locations and enables the control of the physical space where the inventories are held at the bin level. A Storage Type represents a logical or physical grouping of materials within a Warehouse Structures. Storage types can be based on the nature of the physical space in the warehouse (shelves vs bulk) or on the type of commodities (IT vs Security..). All Materials stored in a warehouse are stored at the BIN level which represents an actual unit of space in the warehouse (could be a floor space, a shelf etc..). Storage Sections represent a grouping of bins that can help categorize different areas within the Storage Types where bins are grouped. Definition Required only For Warehouse Managed Inventories Note: All Inventories will have to be converted against a predefined Logistics Structure. Plants and Storage Locations have to be defined prior to loading all inventories and Inventories will be loaded with reference to these defined structures.

5. Definition of Operational Inventory for Umoja Under Review Inventory in Stock: all IPSAS reportable Financial Inventory, all items centrally managed in a UN Warehouse Structure, all items kept in stock by specific offices for Delivery of Services to other UN entities (ex Facilities unit stocking building materials for provision of maintenance for buildings..) or, Distribution to other entities (ex IT equipment delivered by IT units to other departments/offices..) Inventory in Umoja will be used in the future for planning purposes, management of safety stocks, reorder points etc Inventory in transition: In addition to above, items that do not follow the Operational Inventory definition above might be reflected as Inventory for a period of time before being issued for consumption for the following reasons; Items under Inspection: all items that require Quality Inspection prior to acceptance Items in Transit: all items that are Received into the UN Supply Chain prior to delivery Note: The Final Scope of financial Inventories is being reviewed by the relevant policy holders and the official guidance is pending issuance.

6. High level Umoja Project Plan Under Review *Detailed on next slides

7. High Level Timeline for Preparation of Inventory Data Collection January 2014 Definition: Operational Inventory Holding Entities Plants Storage Locations February 2014 Mapping: Material Master Mapping to legacy Material Master Definitions March 2014 Data Collection/Gap Analysis: Data Collection for Mock Load Mapping legacy records to collection templates Identification of Data Gaps

8. Inventory Data Collection and Conversion Plan Under Review Step 1: Define Operational Inventory Holding Entities 10 Jan 10? Feb 2014 10 Jan 17 Jan DM-FCSD, ECA-HQ, UNON HQ 10 Jan: Issue Template 17 Jan: Validation to be completed by offices 17 Jan 24 Jan UNHQ Offices Defined as Inventory holding based on UNHQ Survey Results (OICT, DSS, DPI,OCHA HQ etc..) 17 Jan: Issue Template 24 Jan: Validation to be completed by offices 27 Jan 10 Feb? Country Offices (OCHA, UNEP, UN-Habitat, ECA Regional etc..) 27 Jan: Issue Template 7 Feb: Validation to be completed by offices *Exercise could be repeated if Operational Inventory Definition is Expanded or additional offices are defined after exercise completion

9. Inventory Data Collection and Conversion Plan Under Review Step 2: Define Umoja Logisitcs Structural Elements 6 Jan 6 Feb 2014 Survey to be issued to all Departments with Field Offices To identify candidate offices for Plant Definition 15 Jan: Issue Survey 24 Jan: Survey Finalization and submission by offices 7 February: Analysis complete and Plants Defined in Umoja 20 Jan 20 Feb 2014 Finalize Plant and Storage Location Definitions Ongoing Exercise Storage Locations are finalized and defined as Operational Inventory Holding Entities are defined from earlier slide in coordination With offices

10. Inventory Data Collection and Conversion Plan Under Review Step 3: Mapping Legacy Records to Umoja Material Master Records 6 Jan 2 Feb 2014 Guidance on Mapping of Legacy defined Records to Material Master 2 Feb : Umoja to issue guidance to offices to start the exercise of mapping Legacy records to Material Master Records 3 Feb 21 Feb 2014 Offices Mapping and Validating Material Master Records 10 February: Offices finalize and submit perliminary mapping/define issues 10 17 February: Follow up between Umoja and offices to finalize 17 21 February: Finalization and Validation of Mapping by the offices

11. Inventory Data Collection and Conversion Plan Under Review Step 4: Data Collection, Gap Analysis and Enrichment Excercise 24 Feb 31 Mar 2014 24 February: Umoja Issues data collection templates with finalized logistics Structures and validated Mapping 24 February 31 March: Offices to validate their data in relation to the conversion Templates, identify gap. 1 April 30 April Data Cleansing and Enrichment by offices * Note a Mock load of Inventory Data is planned in March 2014 (candidate entities will be chosen based on readiness for conversion). * Preproduction dress rehearsals will be planned for end of April/early May.

12. Inventory Data Fields Inventory Conversion Templates will be issued in February 2014 Key data fields required to load Inventory Data into Umoja are below. Key fields have been integrated within the IPSAS Inventory collection templates: Requirement Logistics Structural Reference Material Master Record Stock Type Quantity on Hand Unit Price Batch Information Bar Code Description / related fields Plant Storage Location Warehouse (if applicable) Storage Type (if applicable) Storage Section (if applicable) Bin (if applicable). Definition of above dimensions is ongoing till the end of January Mapping will be conducted throughout the month of February to map Legacy Inventory Records to Material Master Records. Inventory will be loaded against the respective Material Master Records Unrestricted, Blocked, In Quality Inspection Quantity on hand at the time of collection Reflects IPSAS tracked valuation for IPSAS inventory items or last available price for non IPSAS relevant inventories Batch number and Expiration Date are required for Material Master Records in need of batch management Bar Code Label is required for all Material Records that are serialized (tracked) for each item reported in Inventory

1. Conversion Approach for Fixed Asset, Inventory and Equipment Expendables and non Expendables in Stock No Expendables in stock and in use with all relevant information Conversion of Financial Fixed Assets Conversion of Inventory Equipment records created for relevant inventory items Conversion of Equipment Records Enrich Equipment Record created from Inventory load Yes Does bar code match an item in inventory Link Equipment to Fixed Asset Record Yes Does bar code match fixed asset record?