facilitate other maintenance will not be reported as long as the same unit will be reinstalled on the same firewall. When  all  modules  are  removed  from  a  propulsion system,   the   propulsion   system   is   considered disassembled.  The  propulsion  system  is  placed  in  status code  90  automatically  and  requires  no  ETR  submission. The  ETRs  can  be  submitted  by  using  a  naval message or the on-line AEMS computer terminal. The ETRs  submitted  by  NAVAIR  reporting  custodians  use the   vertical   format.   The   ETRs   submitted   by COMNAVAIRLANT,    COMNAVAIRPAC,    and CNATRA use the horizontal format. See the examples of the vertical and horizontal formats in enclosure 2 of NAVAIRINST  13700.15. SUMMARY The goal of the supply organization is to provide all the  material  or  services  requested  by  the  customer(s). However,  to  accomplish  this  goal  requires  a  huge amount of money and storage space. The inventory management in the Navy use the projected customer demand to stock materials. Any items that do not have a projected demand are not stocked so that the available resources (time, money, space, and personnel) can be invested in items that have a high demand. Inventory management includes deciding what items and what quantity must be stocked for each item. Maintaining the items at the level that fully supports the customer’s needs is a challenge for any supply organization. A good inventory  management  includes  monitoring  of  all transactions that affect the quantity of material in stock. In  this  chapter,  we  discussed  the  functions  of  inventory managers  and  inventory  control  points. We   also   discussed   the   different   terms   and definitions  used  in  Navy  inventory  management.  The definitions for each term will help you understand the word or subject as it is used in the supply procedures. We discussed your responsibilities as a supervisor in managing the inventories. File maintenance is as important as doing any other functions in inventory management.  The  files  used  in  manual  or  automated procedures should always be properly maintained and kept current. Several  management  reports  must  be  completed, reviewed, or submitted. You should become familiar with all the management reports. You must know when the reports are produced, how to read them, and when they need to be submitted to higher authority. Most   importantly,   we   discussed   the   physical inventory requirement in the Navy. The purpose of the physical inventory is to keep the inventory records accurate. We discussed the different types and the frequency for conducting an inventory and the standard goals that should be met. We discussed the proceduresx for conducting physical inventory ashore and afloat. We discussed  the  procedures  from  the  preparation  for inventory  to  the  physical  count  reconciliation  and processing  the  adjustments. We discussed the inventory requirements during the relief  of  supply  officers. The  AKs  are  involved  in conducting inventory of general supplies, controlled equipage, and repairable (including MAMs and TBIs). We  discussed  the  special  inventory  items  such  as aircraft engines, material stored in other department’s spaces,  shelf-life  items,  and  so  forth.  You  should familiarize yourself with the procedures for managing these items. We  covered  the  procedures  for  conducting  the location audit and the required report of its completion. 5-26