COM 0109.001 2016-2018 - Laserfiche WebLink

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Comparison of industry best practices to Department of Public Works Highway Maintenance Division's policies and procedures Figure 7 We compared Highway Maintenance inventory management policies and procedures to expected control procedures, to actual practices performed and found several deficiencies. Policies were inadequate We compared the County's written policies and procedures to industry best practices and identified several deficiencies: Establish accountability. Policies do not adequately address inventory accountability. A best practice for inventory record accuracy is 95 percent or better. Policies should require a measurable performance expectation for the overall physical count to ensure accountability for accurate and complete inventory and inventory records. Maintain segregation of duties. Policies do not require that a different person be involved in the actual physical custody of assets, processing and recording of assets, and the DPW Highway Maintenance Division Inventory Management: Audit Results 122 Were Actual Expected Practice Policies and Practice Procedures Performed? Complete? Establish accountability Inadequate Inadequate Segregation of duties Inadequate Yes Enlist knowledgeable staff Inadequate Inadequate Provide adequate supervision Inadequate Inadequate (provide instructions and training, review count sheets, ensure that all items are counted) Ensure inventory and inventory records are accurate and Inadequate Inadequate complete including: • Establish cycle/frequency counts (e.g., count monthly, quarterly, or annually and determine which items or locations to count); • Perform blind counts (e.g., counters do not know on -hand balances, have limited or no access to inventory system); • Ensure completeness of counts/execute physical counts; • Perform research (e.g., perform required research, refer discrepancies to management for investigation, complete research in timely manner); and • Evaluate count results (measure physical count to stock cards/records) Figure 7 We compared Highway Maintenance inventory management policies and procedures to expected control procedures, to actual practices performed and found several deficiencies. Policies were inadequate We compared the County's written policies and procedures to industry best practices and identified several deficiencies: Establish accountability. Policies do not adequately address inventory accountability. A best practice for inventory record accuracy is 95 percent or better. Policies should require a measurable performance expectation for the overall physical count to ensure accountability for accurate and complete inventory and inventory records. Maintain segregation of duties. Policies do not require that a different person be involved in the actual physical custody of assets, processing and recording of assets, and the DPW Highway Maintenance Division Inventory Management: Audit Results 122