Both   the   stock   points   and   NAVICP   perform inventory  control  tasks,  but  only  stock  points  actually maintain  an  inventory. IMs  at  the  NAVICP  are responsible  for  procurement  of  specific  items  and positioning of these items in stock points to satisfy worldwide demand. The IM centrally manages these items for the customers. The managers in the stock points are responsible for local inventory management to support local demands. The  NAVSUP  designates  ashore  Navy  stocking activities  (stock  points)  after  coordination  with  affected commands  and  activities  that  receive  support.  The  fleet commanders and type commanders designate afloat stocking  activities. The  NAVICP  provides  the  authorized  allowance  for repair  parts  and  equipage  requirements  to  ships, squadrons, or shore activities, Repair parts that are needed to support aviation weapons systems are listed in  the  activity’s  Aviation  Consolidated  Allowance List  (AVCAL)  or  Shorebased  Consolidated  Allowance List (SHORCAL). As a senior AK, you are responsible for  ensuring  that  the  items  in  stock  are  properly managed. DEFINITIONS Some  of  the  common  terms  used  in  inventory management  are  described  in  the  following  paragraphs. You should familiarize yourself with these terms. .  Bouncebacks—The  procedure  used  when  the stock point is notable to fill the requirement referred by the item manager. l   Classified   items—Materials   that   require protection in the interest of national security, Refer to the Department of the Navy information and Personnel Security  Program  Regulation,  OPNAVINST  5510.1. l   Consumer   level   of   inventory-An   inventory, regardless of funding source and usually of limited range and depth, held for the sole purpose of internal consumption. .  Controlled  inventory  items—Material  having characteristics  that  require  special  accounting,  security, or   handling.   These   materials   are   categorized   as classified  and  sensitive  items. .  Intermediate  level  of  inventory-An  inventory, regardless of funding source, that is required between the  consumer  and  wholeale  levels  of  inventory.  Its purpose  is  to  support  a  defined  geographic  area. Intermediate level of inventory may also be held for tailored  support  of  specific  consumer  organizations  or activities. l  Operating  site-Any  activity,  either  afloat  or ashore,  authorized  to  stock  in  a  retail-level  (consumer or  intermediate)  inventory. .  Pilferable  items—Materials  having  a  ready resale  value  or  application  for  personal  use  and, therefore,  subject  to  theft. .   Retail   inventory-Materials   held   below   the wholesale level in either consumer or intermediate inventories. l Retail inventory stocking activity-Any activity authorized to stock items in retail-level inventory. l Sensitive items-Materials that require a high degree of protection and control. Some examples of these   items   are   narcotics,   precious   metals, ammunitions, explosives, and so forth. .   Wholesale   inventory—Materials   under   the control of an inventory manager that are required to meet worldwide inventory requirements. MATERIAL  MANAGEMENT FUNCTIONS Effective  inventory  management  depends  upon personal  involvement  by  supply  managers  and supervisors in performing supply functions. Several material  management  functions  performed  in  different areas  in  supply  directly  affect  inventory.  These  include the  following  functions: l l l l l Allowance  list  maintenance Issue  processing Receipt  processing Physical inventory count and reconciliation Stock  record  maintenance FILES Several  files  are  used  in  inventory  management. Some  of  these  files  areas  follows: .   Material   files-Those   files   maintained   to manage items in stock or to record demand data. Under the  Supply  Uniform  Automated  Data  Processing System-Real   Time   (SUADPS-RT),   the   primary material file is the Basic Material File (BMF). 5-2