CHAPTER 10 STOCK CONTROL The primary function of any supply organization is to ensure the availability of material to support the needs of its customers. To accomplish this function, supply must manage all material in stock continuously and judiciously. This chapter provides information about stock control afloat. However, some of the procedures described may also apply to stock control ashore. The implementation of computer systems to gather and analyze supply data has made inventory manage- ment easier to accomplish. There are several kinds of computer systems used throughout the Navy. Aboard ship, the AK working in stock control will most likely use computer systems. These computers use the Shipboard Uniform Automated Data Processing System (SUADPS) and Naval Aviation Logistics Command Management Information System (NAACOMIS) procedures. Personnel assigned to stock control afloat should attend the SUADPS-RT and NALCOMIS training. This training will help personnel become familiar with the procedures for processing different transactions and reports. Stock control uses different methods to perform inventory control functions. In mechanized activities, stock control uses several kinds of reports in managing stock items. Thee computer produces the mechanized reports used by stock control or supply personnel. The person requesting the report can select any of the optional criteria provided by the computer system to produce the specific report. The person requesting the report fills out and submits the request form to the systems coordinate. The systems coordinator will include the request for the report in the planning calendar. Supply personnel can use the mechanized reports to analyze various situations in stock posture and to check completed transactions. As an AK, you must be able to perform stock control functions. The AK working in stock control is responsible for maintaining stock records, conducting inventory, or maintaining files. Personnel working in stock control must be familiar with the procedures used by other divisions in supply because all supply personnel performing receipts, stowage, or issues generate transactions that affect records in stock control. While in stock control, you will come in contact with certain supply terms used in inventory management. You must familiarize yourself with these terms. SUPPLY AND STOCK MANAGEMENT TERMINOLOGY The first step in learning stock control procedures is to become familiar with the terminology used throughout the various levels of supply and stock management. The following texts describes some of these terms. Average Endurance Level— The quantity of material normally required to be on hand to sustain operations for a stated period without augmentation. It is the median between the safety level and stockage objective; that is, safety level plus one-half of the operating level. Carried Items— This term refers to items in stock For example, those items that the supply department maintains stock records showing current on-hand balances. Consumption Document— This form is used to effect, record or report issues of material. Consumption occurs upon issue of material regardless of when it was used. Demand/Quantity— The quantity of an item requested and issued regardless of the number of requests involved. This term is synonymous with the term usage. Demand-Based Item (DBI)— The same definition as peacetime operating stock (POS) items. Direct Turnover (DTO)— This term refer to material ordered from sources external to the ship or station. Immediately upon receipt, supply personnel turnover the material to the using department or squadron. Such material is required for immediate or planned use. Frequency of Demand— The number of requests (hits) that an item experiences within a given time frame. For example, if there are five requisitions processed for an item within the given time frame, the frequency of demand is five. The total quantity 10-1