Attachment 04 - SDC HDOS SOP.pdf

REV 9/23

Service & Distribution Center Healthcare Distribution Operations Section

Standard Operating Procedures

SDC HDOS SOP 2

Date of Last Review: 3/2024

Department of Memorandum Veterans Affairs

Date: September 30, 2023

From: Supervisor, Supply Management Specialist, VA SDC, Hines, IL

Subj: Standard Operation Procedures (SOP) for Healthcare Distribution Operations Section

(HDOS)

To: Record

1) References:

VA Directive 7002 January 8, 2020; Logistics Management Policy

VA Handbook 7002 January 8, 2020; Logistics Management Procedures

VHA Directive 1761 December 30, 2020; Supply Chain Management Operations

2) Purpose: To define procedures for the Healthcare Distribution Operations Section of the SDC.

3) Scope: This SOP covers logistic operations in support of HDOS’ primary mission of distributing healthcare equipment.

4) Operations Overview: HDOS began distributing sleep APNEA machines and accessories to all

VA patients and VA Medical Centers in 2021. All machines and accessories are delivered to patients' home addresses or P.O. Box addresses on file. All APNEA machines can only be ordered by a medical professional. Accessories may be ordered by medical professionals or patients.

Eric Tharp

Chief, Service and Distribution Center (SDC), Denver Logistics Center (DLC), National Acquisition Center (NAC)

U.S. Department of Veterans Affairs

Building 37, Hines, IL 60141 https://dvagov.sharepoint.com/sites/SDCSOPandTraining/Shared%20Documents/Forms/AllItems.aspx?id=%2Fsites%2FSDCSOPandTraining%2FShared%20Documents%2FGeneral%2FReferences%2FVA%20Directives%2C%20Handbooks%20and%20Training%20Guides%2FVA%20Directive%207002%208%20Jan%202020%2Epdf&parent=%2Fsites%2FSDCSOPandTraining%2FShared%20Documents%2FGeneral%2FReferences%2FVA%20Directives%2C%20Handbooks%20and%20Training%20Guides https://dvagov.sharepoint.com/sites/SDCSOPandTraining/Shared%20Documents/Forms/AllItems.aspx?id=%2Fsites%2FSDCSOPandTraining%2FShared%20Documents%2FGeneral%2FReferences%2FVA%20Directives%2C%20Handbooks%20and%20Training%20Guides%2FVA%20Handbook%207002%208%20Jan%202020%2Epdf&parent=%2Fsites%2FSDCSOPandTraining%2FShared%20Documents%2FGeneral%2FReferences%2FVA%20Directives%2C%20Handbooks%20and%20Training%20Guides https://dvagov.sharepoint.com/sites/SDCSOPandTraining/Shared%20Documents/Forms/AllItems.aspx?id=%2Fsites%2FSDCSOPandTraining%2FShared%20Documents%2FGeneral%2FReferences%2FVA%20Directives%2C%20Handbooks%20and%20Training%20Guides%2FVA%20Directive%201761%2030%20December%202020%2Epdf&parent=%2Fsites%2FSDCSOPandTraining%2FShared%20Documents%2FGeneral%2FReferences%2FVA%20Directives%2C%20Handbooks%20and%20Training%20Guides

SDC HDOS SOP 3

Quarterly Review and Revision History Log

Effective Date of Initial Version: September 30, 2023

Date: Change (paragraph #) Author(s): Approved by:

FEB 2024 Appendix (Backlog Reduction Plan) Chanell Coleman Joshua Hendricker

MAR 2024 Training (3) Joshua Hendricker

Joshua Hendricker

APR 2024 Appendix (Inventory Prep Plan) Chanell Coleman Joshua Hendricker

July 2024 Review

SDC HDOS SOP 4

Table of Contents

Section Page

1. Mission Statements

a. SDC

b. HDOS

2. Manning

a. Organization Chart

b. Roles and Responsibilities

i. Supervisor

ii. Supply Management Specialist (GS-11)

iii. Supply Management Specialist (GS-9)

iv. Quality Assurance Specialist

v. Inventory Management Specialist

c. Contract Labor

i. Base Contract

ii. Current Year Task Order

3. Training

a. Required by VA staff

b. Links for Contractor and VA Staff Training

c. TMS

4. Facilities and Equipment

a. Security

b. Warehouse Layout

c. Safety

d. Cleanliness

e. Equipment

f. Internal Supply Requirements

i. Reporting

ii. Separation of Duties

iii. Quality Assurance Checks

5. Operational Functions

a. Records Management

b. Item Management

i. Adding New Item

ii. Updating Item

iii. Adjustments

iv. Safety Level Management

v. Buy On Demand Management

c. Purchasing and Vendor Relations

i. Separation of Duties

ii. Purchase Orders

iii. Amending Purchases Orders

d. Receiving Procedures

SDC HDOS SOP 5

i. Overview

ii. Procedures For Incoming Delivery Trucks

iii. Procedures For Receiving Receipts

iv. Procedures For Stocking Received Items

v. Warranty Stock Items

vi. Discrepancy Report Procedures

vii. Mail returns

viii. Auto Return Process (ARR)

e. Inventory Procedures

i. Overview

ii. Training

f. Filling Gravity Shelves

i. Overview

ii. Restocking Gravity Shelves

g. Order Fulfillment

i. Overview

ii. Picking Orders

iii. Building Station Stock Orders

iv. Picking

v. Bagging

vi. UPS

vii. Packing and Shipping Station Stock

viii. USPS

ix. Box Shipping

x. Freight Shipping

SDC HDOS SOP 6

1. Mission Statements

a. SDC

i. The Service and Distribution Center (SDC) provides enterprise-wide acquisition support, supply chain logistics management and execution, facilities management, and medical equipment maintenance services for the Department of Veterans’ Affairs.

b. HDOS

i. To improve the healthcare needs of those who serve our nation selflessly with a commitment to excellence. Our goal is to distribute quality medical supplies conveniently, efficiently, timely, all while improving veterans’ overall experience.

2. Manning

a. Organization Chart

i. Full SDC Organization Chart

b. Roles and Responsibilities

i. HDOS fully supports NAC Separation of Duties Policy

ii. All HDOS personnel will follow all guideline, timelines, and procedures

iii. Supervisor

1. The Supervisor Position Description (PD) can be found here

2. Supervisor responsibilities will include but not limited to:

a. Weekly status updates to the Chief of Operations at the DLC and

SDC on the following:

i. Backorders

ii. Stock Shortage

iii. Machine Inventory

iv. Machine Due-ins

v. Average daily orders shipped

vi. Average daily orders dropped

vii. Fill Rate

viii. CPAP Adjustment Trends

ix. Inventory Value Report

x. Explanation of manual adjustments

b. Management and direction of staff (VA and Contracted)

c. Management of physical security in HDOS area

d. Continuous process improvement of all HDOS operations

e. Interpret and implement directives and guidance from higher authority

f. Perform routine audits on billing statements to ensure purchases are compliant with Federal Acquisition Regulations and local policies

g. Attend all pertinent meetings in person and on TEAMS

h. Annually inventory and update EIL according to VA Directive 7002 https://dvagov.sharepoint.com/sites/SDCSOPandTraining/Shared%20Documents/Forms/AllItems.aspx?id=%2Fsites%2FSDCSOPandTraining%2FShared%20Documents%2FGeneral%2FReferences%2FSDC%20org%20chart%2Epdf&parent=%2Fsites%2FSDCSOPandTraining%2FShared%20Documents%2FGeneral%2FReferences https://dvagov.sharepoint.com/sites/SDCSOPandTraining/Shared%20Documents/Forms/AllItems.aspx?id=%2Fsites%2FSDCSOPandTraining%2FShared%20Documents%2FGeneral%2FReferences%2FNAC%20Internal%20Control%20Matrices%2Epdf&parent=%2Fsites%2FSDCSOPandTraining%2FShared%20Documents%2FGeneral%2FReferences https://dvagov.sharepoint.com/:b:/r/sites/SDCSOPandTraining/Shared%20Documents/General/References/Position%20description/28025-0%20Supervisory%20Supply%20Management%20Specialist%20GS-2003-12.pdf?csf=1&web=1&e=TKdDp2

SDC HDOS SOP 7

i. Annually inventory and update SDCASSEI; serialized items not on the EIL

iv. Supply Management Specialist (SMS) GS-11

1. The SMS PD can be found here

2. SMS responsibilities will include but not be limited to:

a. Manage day-to-day operations of HDOS operations

b. Continuous process improvement of HDOS operations

c. Enforce rules and regulations of HDOS operations

d. Troubleshoot errors in HDOS operations

e. Provide customer service support

f. In absence of the supervisor, fulfill supervisor role

g. Forecast, request and monitor warehouse supplies

h. Provide weekly report of all manual adjustments

i. Provide technical advice, guidance, and assistance on supply operations to agency personnel

v. Supply Management Specialist GS-09

1. The SMS PD can be found here

2. SMS responsibilities will include but not be limited to:

a. Serve as a credit card purchaser for HDOS

b. Responsible for ordering all HDOS operating supplies

c. Establish and maintain supply accounting records

d. Delegated as ordering official of all products and supplies

e. Manage day-to-day operations of production line

f. Continuous process improvement of production line

g. Enforce rules and regulations of production line

h. Troubleshoot errors in production line

i. Provide customer service support

j. Analyze and forecast demand

vi. Quality Assurance (QA) Specialist

1. The QA PD can be found here

2. QA responsibilities will include but not be limited to:

a. Perform internal audit of inventory management processes

b. Audit contracted staff QA’s

c. Provide customer support

d. Oversee all manual adjustments

e. Track all damaged products and adjust inventory as needed

f. Manage the RMA process

g. Analyze and evaluate surveillance data to determine violations of the performance work statement

h. Ensure monitoring and routinely ensuring all goods are promptly and accurately received and recorded.

i. Promptly record all receiving procedures https://dvagov.sharepoint.com/:b:/r/sites/SDCSOPandTraining/Shared%20Documents/General/References/Position%20description/44149-0%20SUPPLY%20MANAGEMENT%20SPECIALIST%20GS-2003-11.pdf?csf=1&web=1&e=gn0tRJ https://dvagov.sharepoint.com/sites/SDCSOPandTraining/Shared%20Documents/Forms/AllItems.aspx?id=%2Fsites%2FSDCSOPandTraining%2FShared%20Documents%2FGeneral%2FReferences%2FPosition%20description%2F44150%2DA%20Supply%20Management%20Specialist%20GS%2D2003%2D09%20SDC%2Epdf&parent=%2Fsites%2FSDCSOPandTraining%2FShared%20Documents%2FGeneral%2FReferences%2FPosition%20description https://dvagov.sharepoint.com/sites/SDCSOPandTraining/Shared%20Documents/Forms/AllItems.aspx?id=%2Fsites%2FSDCSOPandTraining%2FShared%20Documents%2FGeneral%2FReferences%2FPosition%20description%2F44043%2DA%20Quality%20Assurance%20Specialist%20GS%2D09%20%2Epdf&parent=%2Fsites%2FSDCSOPandTraining%2FShared%20Documents%2FGeneral%2FReferences%2FPosition%20description

SDC HDOS SOP 8

vii. Inventory Management Specialist (IMS)

1. The IMS PD can be found here

2. IMS responsibilities will include but not be limited to:

a. Oversee product location management

b. Responsible for receiving and inventory of all HDOS supplies

c. Liaise with shipping companies

d. Delegated as the receiving official

e. Audit contracted staff IMS’s

f. Conduct cycle counts

g. Analyze, evaluate, revise, or develop new inventory management systems

c. Contract Labor

i. Base Contract

1. Services requirement is to provide Material Handling services, and related warehouse services in support of the SDC warehouse operations located in

Hines, Illinois, and will result in a Blanket Purchase Agreement (BPA) issued against a General Service Administration (GSA) Federal Supply

Schedule (FSS) contract in accordance with FAR Subpart 8.405-3 Blanket

Purchase Agreements (BPA). The contractor shall ensure oversite of all contract workers in addition to providing sufficient material handlers to accommodate the varying services outlined in this PWS. Contractor shall have the capacity to add or drop labor categories within the defined minimum and maximum range for the respective labor categories specified.

These services are essential to ensure that the SDC achieves the agency’s core mission of caring for our nations Veterans.

2. HCI base contract can be found here

ii. Current Year Task Order

1. The current year task order can be found here

2. The SDC SOP has more details regarding the establishment and maintenance of the contract

3. Training

a. Required for VA Staff

i. FLG-100 Principles of Inventory Management.

ii. FLG-102 Intro to IFCAP and GIP

iii. FLG-105 Intro to Material Management

iv. FLG-211 Intermediate Quality Assurance and Risk Management

v. FLG-118 Forecasting and Inventory Management

vi. NFED 4614071 Preventing Identity Theft

b. Links for contractor and VA staff trainings:

i. Production Line Procedure

ii. Inventory Procedures

iii. Station Stock https://dvagov.sharepoint.com/sites/SDCSOPandTraining/Shared%20Documents/Forms/AllItems.aspx?id=%2Fsites%2FSDCSOPandTraining%2FShared%20Documents%2FGeneral%2FReferences%2FPosition%20description%2F44160%2D0%20Inventory%20Management%20Specialist%20GS%2D2010%2D09%2Epdf&parent=%2Fsites%2FSDCSOPandTraining%2FShared%20Documents%2FGeneral%2FReferences%2FPosition%20description https://dvagov.sharepoint.com/:b:/r/sites/SDCSOPandTraining/Shared%20Documents/General/References/HCI%20original%20contract.pdf?csf=1&web=1&e=3wh1lT https://dvagov.sharepoint.com/:b:/r/sites/SDCSOPandTraining/Shared%20Documents/General/References/HCI%20Year%20Three%20Task%20Order%20(current).pdf?csf=1&web=1&e=5Y50xw https://dvagov.sharepoint.com/:w:/r/sites/HDOS/_layouts/15/doc2.aspx?sourcedoc=%7B619661B0-597B-4680-8CFA-7D67685591F0%7D&file=Production%20line%20procedures%20.docx&action=default&mobileredirect=true https://dvagov.sharepoint.com/:w:/r/sites/HDOS/_layouts/15/Doc.aspx?sourcedoc=%7B3BD15786-BB6F-4351-ADF4-F0EFF992A9B1%7D&file=inventory%20procedures.docx&action=default&mobileredirect=true https://dvagov.sharepoint.com/:w:/r/sites/HDOS/_layouts/15/Doc.aspx?sourcedoc=%7BD1AB5014-E522-4781-B49B-41BEE94BE0D7%7D&file=Pulling%20procedure%20for%20station%20stock.docx&action=default&mobileredirect=true

SDC HDOS SOP 9

iv. Item Management

v. Registering Machines

vi. Order Separation Procedures

vii. Returns Room Procedures

viii. Forklift Training Forklift Check List, Forklift Operator Written Examination, and

Provisional Forklift License Checklist

ix. Purchase Orders

c. TMS

i. Annual requirements set by VA. All employees will maintain current with outstanding training requirements. Supervisors will ensure employees have completed assigned classes

ii. FLG-100 is a mandatory class for all HDOS employees and must be completed within six months of hiring. *Personnel must enroll in the Defense Acquisitions

University (DAU), under the Federal Acquisitions Institute (FAI) to register for FLG courses offered by the VA Acquisitions Academy (VAAA) Supply Chain

Management School (SCMS)*

4. Facilities and Equipment

a. Security

i. If inbound/outbound trucks have mechanical issues- secure area and let VA

Security know if operational hours will be impacted.

ii. Submit trouble tickets in the event dock doors are non-operational to SDC maintenance email group.

iii. All VA and contracted staff must correctly dispose of any paperwork that contains

PII. The locked grey receptacles are used to dispose of PII documents. The keys are managed by facility staff. PII bins are disposed of by licensed document shedding company. All certificates of destruction will be kept on file.

iv. VA staff must complete NFED 4614071 Preventing Identity Theft

v. The SDC will follow all instructions in NAC policy memo 003B6-20, Storage and

Disposition of personal papers and official records

vi. SDC address is:

1. Attention: VA SDC 1st Ave. North of 22nd Street Hines, IL 60141

vii. Hours of Operation:

1. SDC Hours are from 0600 hrs. - 1800 hrs.

2. Gates Lock at 1800 hrs.

3. Receiving Hours 0700 hrs. – 1430 hrs.

4. HDOS Hours are from 0600 hrs. - 1800 hrs.

viii. Points of Contact:

1. Police: 911 https://dvagov.sharepoint.com/:w:/r/sites/HDOS/_layouts/15/Doc.aspx?sourcedoc=%7BDD9AEF73-0671-4727-877F-8CA55B5595DB%7D&file=Item%20management%20procedure.docx&action=default&mobileredirect=true https://dvagov.sharepoint.com/:w:/r/sites/HDOS/_layouts/15/Doc.aspx?sourcedoc=%7B5F04F7F0-060A-44FB-B084-B490829F1BD2%7D&file=Standard%20of%20process%20for%20machine%20registration.docx&action=default&mobileredirect=true https://dvagov.sharepoint.com/:w:/r/sites/HDOS/_layouts/15/Doc.aspx?sourcedoc=%7B27351880-21D7-4647-A4BC-66CEAABE0FB1%7D&file=order%20seperation%20procedure.docx&action=default&mobileredirect=true https://dvagov.sharepoint.com/:w:/r/sites/HDOS/_layouts/15/Doc.aspx?sourcedoc=%7BE923C4BE-26E5-485A-B720-E16D29B0278F%7D&file=Auto%20Return%20Process%20(AAR).docx&action=default&mobileredirect=true https://dvagov.sharepoint.com/sites/HDOS/Shared%20Documents/Forms/AllItems.aspx?id=%2Fsites%2FHDOS%2FShared%20Documents%2FGeneral%2FHow%20to%20instructions%2Fforklift%20check%20list%2Epdf&parent=%2Fsites%2FHDOS%2FShared%20Documents%2FGeneral%2FHow%20to%20instructions https://dvagov.sharepoint.com/sites/HDOS/Shared%20Documents/Forms/AllItems.aspx?id=%2Fsites%2FHDOS%2FShared%20Documents%2FGeneral%2FHow%20to%20instructions%2Fforklift%20written%20exam%2Epdf&parent=%2Fsites%2FHDOS%2FShared%20Documents%2FGeneral%2FHow%20to%20instructions https://dvagov.sharepoint.com/sites/HDOS/Shared%20Documents/Forms/AllItems.aspx?id=%2Fsites%2FHDOS%2FShared%20Documents%2FGeneral%2FHow%20to%20instructions%2Fprovisional%20forklift%20license%20checklist%2Epdf&parent=%2Fsites%2FHDOS%2FShared%20Documents%2FGeneral%2FHow%20to%20instructions https://dvagov.sharepoint.com/:w:/r/sites/HDOS/_layouts/15/Doc.aspx?sourcedoc=%7BAF6FACFA-2ACC-4D63-B9CF-B95C83D6EC2F%7D&file=Purchase%20Orders.docx&action=default&mobileredirect=true https://www.dau.edu/ https://www.dau.edu/ mailto:HinesBldg37Facilities@med.va.gov https://dvagov.sharepoint.com/:b:/r/sites/SDCSOPandTraining/Shared%20Documents/General/References/Storage%20and%20Disposition%20of%20Personal%20Papers%20and%20Official%20Records%20003B6-20%202023.pdf?csf=1&web=1&e=vsNWM8

SDC HDOS SOP 10

2. HDOS Supervisor 708-786-7764

3. Supervisor, Supply Management Officer 708-786-7720

b. Warehouse Layout

i. SDC building 37 is a 500,000+ square foot facility located in Hines, IL.

ii. HDOS warehouse layout consists of 50,000 square feet.

c. Safety

i. In the event of an actual emergency the following listed individuals are notified as soon as possible.

ii. Emergencies including Fire, Medical, and Police

1. 911

iii. Building Command Center VA SDC Director Suite, Room 143B

1. 708-786-7520

iv. Command Center BLD 37 VA Police Office Room 103 (non-emergency)

1. 708-786-7777

v. Emergency Control Manager, SDC COO

1. 708-786-7720

vi. SDC Facilities Management, SDC Building Engineer

1. 708-786-7845

2. 708-846-5322

d. Cleanliness

i. All employees are responsible for the overall appearance of the warehouse.

ii. All employees are responsible to ensure garbage is placed in the correct receptacle.

iii. The warehouse should be free of all debris from broken pallets and other packaging trash.

iv. Contracted personnel shall use the floor scrubber on a periodic basis.

e. Equipment

i. Heavy equipment to be always used in a safe and precautionary manner.

Under no circumstances are non-licensed employees/contractors to operate drivable machinery unless strictly under training environment.

1. Forklift:

a. At start of each day, Forklift Inspection Form will be completed by all operators and turned into shift lead.

b. Inspection records are to be maintained minimum for one month.

c. Report equipment readiness to be submitted to warehouse manager.

d. For all equipment defects, maintenance request will be submitted through the SDC Maintenance email mailbox.

e. Drivers must use horn at every row intersection.

SDC HDOS SOP 11

f. If pallet blocks drivers forward view, drivers must operate forklift backwards.

g. When driving forklift with no pallet, forks must be low and tilted down.

h. Forklifts may be parked only in designated areas.

i. Do not put pallets in emergency areas, exits or blocking doors.

j. No headphones or phone usage while operating forklift.

2. Floor Scrubber:

a. Floor scrubber is to be inspected before each use using the same inspection sheet as the forklift.

b. Floor scrubber to be returned to assigned location when not in use.

3. Shrink Wrap Machine:

a. There are 4 operating shrink wrap machines in building 37.

b. Shrink wrap materials are purchased through U-Line by the purchasing agent.

c. For non-responsive, damaged, and inoperable machines a

Maintenance ticket is to be submitted to facilities email group.

d. Facilities will conduct routine inspections, preventative maintenance, and calibrate machinery.

4. Weigh Scales:

a. For non-responsive, damaged, and inoperable scales, a

Maintenance ticket is to be submitted to facilities email group.

b. Facilities will conduct routine inspections, preventative maintenance, and calibrate machinery.

5. Cardboard Compactor:

a. All personnel are to read the compactor user manual before operating compactor.

b. Load only cardboard, no plastic or metal.

c. Firmly pull safety gate down by the handle, do not slam gate.

d. Push green button to start compactor.

f. Internal Supply Requirements

i. Reporting

1. Logistic Reports

a. Logistics Inventory Metric (LIM): The LIM report is used to acquire data to fill DLC Cycle/Inventory Count sheets for the warehouse when conducting periodic counts of warehouse stock or Wall-to-Wall Inventories (End of Year). Part Number, Item

Name, Location, Unit of Issue, and Minimum Issue.

b. Inventory Evaluation Report (IER): An IER report is used by the

Logistics Team to observe current quantity on-hand, daily average use, and number of days on-hand. This report is also

SDC HDOS SOP 12

used when conducting cycle counts of warehouse stock or Wall-to-Wall Inventories (End of Year).

c. Transaction Register Report (TRN/ITR): LMS use this report to find warehouse errors to include receiving, pulling, shipping, stocking, and erroneous adjustments from cycle counts or Wall-to-Wall Inventories. The report can also be used to ensure Stock

Value is Properly being tracked and deducted. This report shows the history of any given product within the DLC system.

d. Backorder Detail Report (BDR): This report is done the first working day of every week and is used by LMS to acquire updates on items that are Past-Due, and the warehouse has zero in stock.

e. Backorder Source Report (BSR): This report shows orders based off Veteran, inventory status, quantity, and when the order was placed to allow Logistics Management Specialists to find where any mis-connect happened within the ordering process or DLC between systems.

f. Demand Report (DMD): This report is used to acquire data on sales, how many orders, and how much money each line has sold over the chosen range of dates. Vendors use this report to forecast the stock of their inventory.

g. Fileman: The key take-away from the Fileman report is that it is

100% customizable. It can contain any information within the sub-sections of Vista pertaining to DLC product.

ii. Separation of Duties

1. HDOS fully supports NAC Internal Control Metrix

iii. Quality Assurance Checks

1. The QA Specialist will inspect the items for picking accuracy, as well as to ensure the S/R Clerk followed all established instructions.

2. Should any errors be present; the QA Specialist will inform the S/R Clerk and ensure they are corrected.

3. All issues will be logged by the QA Specialist. This log will pass on to supervisory staff to be held in record.

5. Operational Functions

a. Records Management

1. All standards of record management can be found here and shall be adhered to by all assigned personnel.

b. Item Management

i. Adding New Items https://dvagov.sharepoint.com/sites/SDCSOPandTraining/Shared%20Documents/Forms/AllItems.aspx?id=%2Fsites%2FSDCSOPandTraining%2FShared%20Documents%2FGeneral%2FReferences%2FNAC%20Internal%20Control%20Matrices%2Epdf&parent=%2Fsites%2FSDCSOPandTraining%2FShared%20Documents%2FGeneral%2FReferences https://www.ecfr.gov/current/title-36/chapter-XII/subchapter-B

SDC HDOS SOP 13

1. When an updated Attachment G (AG) is received. The changes are to be done according to the date of activation (included with AG). These items are to be added NLT 1 week (5 Working Days) Prior to the Activation Date.

2. Items are to be added into VISTA using VISTA Menus, GUI, or combination of both along with PSTAT. Items are added to the systems then deactivated with PSTAT until the item is active according to the contract date.

a. If the date of activation is during the input of an item into the system, then the item shall be activated upon creation.

b. If the date of activation is after the input of an item, then the LMS will deactivate the item upon creation and re-activate on the appropriate date according to the contract/AG.

ii. Updating Items

1. Refer to “Adding New Item”

2. If an AG is received with an update to any aspect of an item these changes will be made on the activation date.

a. Exception: If the activation date is immediate or prior to the date the document was received then the item update will be done right away and activated.

iii. Adjustments

1. When a discrepancy is identified, an adjustment needs to be made within 3 hours to maintain ordering integrity through VA Systems and ensuring

ROES remains accurate. This is also done to avoid a “Warehouse Refusal” that would place the order/orders to the back of the Queue.

2. If the research into the discrepancy yields no answer at the 3-hour mark, the adjustment will be made with a “Justification” of “Inconclusive Findings”.

This will be a place holder until the correct justification is found. When the correct justification is found, the LMS will notify a Lead or Supervisor within their workgroup to approve the adjustment and edit the justification to reflect the correct outcome.

3. For all other adjustments refer to “Inventory Adjustment Policy & Standard

Operating Procedures 14 March 2016”

iv. Safety Level Management

1. Each SMS is responsible for performing a check and maintaining proper safety levels for all items monthly. SMS are to maintain at least 30 days of revolving stock.

v. Buy On Demand (BOD) Management

1. Currently Buy On Demand is not an option at the SDC’s HDOS. For more information, please contact DLC’s Program Specialist at (303) 215-5278.

c. Purchasing and Vendor Relations

i. Separation of Duties

1. The SDC will follow the above NAC policy.

SDC HDOS SOP 14

2. The Supply Management Specialist (SMS) will be tasked with the creating and submitting orders.

3. The Inventory Management Specialist (IMS) will be tasked with receiving and inventorying orders upon arrival at the warehouse.

ii. Purchase Orders

1. Purchase Orders (PO) will be created at least three times a week for each major vendor. These PO’s will be created first thing in the morning to allow

Fiscal the proper amount of time to process all the orders.

2. PO’s may be created more than three days a week if needed.

3. IPR’s are not to be approved via Control Point Official (CPO) menu by their creator (Employee who signs the final PO). They can be approved within

Accountable Officer (ACC) menu by any authorized personnel.

4. Reach out to a Lead or Supervisor for more guidance if needed.

iii. Amending Purchases Orders

1. If an amendment is needed for a Purchase Order, the LMS will do the proper research to annotate the correct justification and/or comments before sending the amendment to Fiscal for approval.

2. Amendments consist of:

a. Editing a line item (Qty, Price, Contract #, etc.…)

b. Deleting a line (Line Removal from PO). Once removed, the LMS

“MUST” remove the “Post Due in” from VISTA after Fiscal approves the amendment.

c. Editing the Delivery date.

d. Changing a PO’s Status (Partial Order Received, Complete Order

Received).

e. Canceling a PO Via the “Authority” Line.

i. Line items must be deleted prior to cancelling PO. If lines items are not deleted prior to cancellation, due-in will not be updated and reorder information will be inaccurate leading to incorrect ordering quantities.

3. Proper Research includes: (Determining why the PO needs to be amended).

a. Attachment “G” update.

i. Vendor to provide attachment “G”

ii. Attachment “G” includes contracted unit of issue, pricing, reference numbers and all items important information.

b. Partial Order/ Cancelation (Vendor cannot provide the rest of the product, completing a partial PO)

c. Delivery Date (Vendor’s Purchase Order wasn’t approved until the following day)

d. Deleting a Line (discontinued product/ order mistake)

4. Reach out to a Lead or Supervisor for more guidance if needed.

d. Receiving Procedures

SDC HDOS SOP 15

i. Overview

1. Receive all incoming trucks, ensuring that product material arrives in good condition. (QA)

2. Receive product into VISTA. (Inventory)

3. Attach location tag and re-stock all shelves into correct locations.

(Inventory)

4. Assist with pallet breaking down, if necessary.

5. Receive all PO Receipts using the IFCAP menu in Vista by the next business day.

ii. Procedures For Incoming Delivery Trucks

1. DO NOT ENTER delivery trucks (small packages) to assist driver in unloading when receiving.

2. Immediately inspect packages for damage.

a. DO NOT SIGN BOL (Bill of Lading) until all material is inspected and accounted for. NOTE damage details on BOL in section labeled: “FREIGHT SUBJECT to INSPECTION.” Have the

DRIVER make note with SIGNATURE. On occasion, driver will make CLAIM number after contacting their dispatch. (QA)

3. If product is DAMAGED, such as: WET, CRUSHED, POOR QUALITY

CONDITION, annotate and determine whether to ACCEPT or REFUSE shipment.

4. UPS Ground delivers between 7 am and 3 pm CST, with packages that need to be sorted.

a. Unload product. (HCI) (QA will observe and inspect as product comes off truck)

b. RS (Return Shipments) go to return racks, by day of receipt, in outer vault.

c. Once all returns are collected, QA Specialist will initiate investigation of reason for returned item(s) and work with PC to find a resolution.

5. Sign for all packages, then move pallets to proper locations. (HCI)

iii. Procedures For Receiving Receipts

1. Locate and review all packing slips.

a. For ALL orders, retrieve a SCREEN PRINT copy of the PO from

VISTA for the verification process, and staple to the original pack slip from the shipper.

i. Open IF menu in Vista (IFCAP).

ii. Select DIS (Purchase Order Display).

iii. Follow each prompt:

1. Select Station number (791//) then press ENTER.

2. Type PO number of items being received (example:

D11111).

3. Purchase order will appear on the screen, Press

ENTER until last item and screen says “END OF

SDC HDOS SOP 16

DISPLAY—PRESS RETURN OR ENTER ‘^’ TO

HALT:”

iv. Using the Mouse, Highlight the Screen from “End of

Display” back to the Beginning of the PO at the start of the display.

v. Right Click the Mouse and Print (Ensure correct printer is selected by checking your settings).

2. Verify all products on each PO ensuring all part #’s, UOM (Unit of

Measure, example: package, each, box) quantities and items match packing slip as well as screen print.

a. PO Screen Print will break each product down into LINE ITEM 1, 2, 3, etc.

b. Once item is accounted for, attach a STICKY NOTE to identify the LINE ITEM #, or mark the line item on the product’s case.

c. If a Discrepancy – REFER To: DISCREPANCY REPORT

PROCEDURES

3. Once all verification has been completed, receive PO into system in the following manner:

a. Open IFCAP menu in Vista (IF).

b. Select the REC (Receipt of Purchase Order).

c. Follow each prompt:

i. Select Station number (always 791//) Press Enter.

ii. Enter PO number (enter the Purchase order number you are working on, example: D11111).

iii. Purchase order will appear on the screen and ask if you want to review purchase order (always NO//) Press Enter.

iv. Date (always Today//) Press Enter.

v. Line Item – when prompted, select A to automatically bring up line items one at a time, or select S to enter each line item separately.

4. Receive in each line item and quantity according to what physically came in. This quantity should match the venders packing slip.

a. If the vendor did not ship a line item, press Enter to skip to the next line item.

b. DO NOT ENTER 0 (If 0 is entered, it will record the input and change from partial order received to order complete).

5. Once all quantity amounts are entered and you are ready to receive;

type in and enter your electronic signature. This will complete and finish the PO and transmit any backorders that are in the system.

a. If your electronic signature does not work for any reason, you must delete the receiving report and repeat the process, ensuring your electronic signature works before exiting VISTA.

6. After electronic signature takes, VISTA goes through the receive process, “QUEUE ON DEVICE” prompt will let you know PO is received.

SDC HDOS SOP 17

7. Once PO is received, print LOCATION TAG for each item to put away into the correct stock location.

a. Open IFCAP menu in Vista (IF).

b. Select the CRD (Warehouse Receiving Cards).

c. Follow each prompt:

i. Select Station number (always 791//) Press Enter.

ii. Enter PO number.

1. Screen will display a review of vendor info and line item details. Enter through, until you see “Is this the one you want ?” press ENTER for “Yes//”.

iii. Date (always Today//) Press Enter.

iv. At the next prompt select A to automatically Print All Line

Items from the PO. MATCH UP TAGS with LINE ITEM #’s

ON STICKY NOTES.

1. If multiple tags are needed for the same products, choose S(Select) and C (Choose).

2. If printing individual tags, type in the line item and press ENTER.

3. Confirm item; enter the amount of tags needed.

4. QA will confirm accuracy of receiving report by comparing packing slips to VISTA entries.

iv. Procedures For Stocking Received Items

1. Do not stock until each line item on the PO has been received and has a location TAG.

a. Pallets will have a location tag on all four sides.

b. Dates received will be written on pallets next to tag.

c. Individual cases/boxes will have a location tag.

d. Items left in overstock will have a location tag.

i. This shows that the item has been received into the system and is ready to be stocked.

2. All locations are marked by Location.

a. Pay attention to locations when stocking, if things do not match up bring it to a supervisor’s attention.

3. Rotate items to maintain first-in, first-out. Put the newest items in the back, as well as to the left. The older items must be towards the front and to the right.

4. Product with location tags ready for stocking

a. Once product is received and the correct location tag is attached, it is put into location.

5. All items received should be stocked within 2 hours of acceptance

6. If items do not fit in their location, they need to be returned to overstock.

Ensure a location tag is assigned to the item(s).

v. Warranty Stock Items

SDC HDOS SOP 18

1. Currently Items with Warranty are not carried at the SDC’s HDOS. For more information, please contact DLC’s Program Specialist at (303) 215-

5278.

vi. Discrepancy Report Procedures

1. If you receive a wrong item, shortage, overage, defective item, or no PO number on any package, a discrepancy will be written.

2. All discrepancies must have a discrepancy report form, original packing slip and screen print out.

3. For all discrepancies:

a. Original goes into the receiving bin.

b. Copy one put in discrepancy box for appropriate item manager to pick up.

c. A second copy is needed for overages or items that are placed on the discrepancy shelf.

vii. Mail returns

1. Sort all mail and divide into proper area.

2. Complete warehouse returns from patients and clinics.

3. Re-ship all necessary packages.

viii. Auto Return Process (ARR)

1. All packages containing stock items must be returned for credit.

2. Follow steps below for returning items to stock:

a. Log-in to VISTA.

b. Select warehouse menu option ARR.

c. Enter item name under ‘inventory product item name.’

d. Enter quantity being returned.

e. Enter date returned, (defaulted to today’s date.)

f. Determine if item is in condition to be re-sold. Select yes or no.

g. Identify source of return by selection, patient or station.

h. Enter appropriate name of patient or station.

i. Verify it is correct patient/station and order.

j. Determine the reason for return. Typically, located on outside of package by label.

k. Select appropriate reason from drop-down menu.

l. Enter additional information about reason if necessary.

m. Determine if item should be added back into inventory based on condition of item (enter yes or no).

i. If ‘yes’ is selected, item will be added back into inventory.

ii. If ’no’ is selected, communicate with the appropriate item manager for a determination of what to do with item.

n. If item was retuned into inventory, place in correct location.

e. Inventory Procedures

i. Overview

1. All cycle counts/inventories will be in accordance with the following:

a. VA Handbook 7002, Logistics Management Policy, January 8, 2020.

SDC HDOS SOP 19

b. VA Directive 7002, the report of survey is the required method used to obtain an explanation of the circumstances surrounding the loss, damage, or destruction of government property.

2. All inventory adjustments exceeding $4,999.00 require a Report of Survey per DLC’s “Requirement for Reports of Survey” memo dated May 1, 2023.

ii. Training

1. For all SDC inventory procedures, please see training guide HDOS

Inventory Procedures SOP.

f. Filling Gravity Shelves

i. Overview

1. Forklift drivers will backfill all gravity shelves and locations under the mezzanine.

2. All items secondary locations will be marked on gravity shelves.

ii. Restocking Gravity Shelves

1. Forklift drivers are responsible for ensuring correct product is being loaded on gravity shelves.

2. Forklift drivers will initial all cases backfilled on gravity for accountability purposes.

3. Overstocking or stagging is strictly prohibited.

4. Forklift drivers are to immediately notify VA Management items with wrong location.

g. Order fulfillment

i. Overview

1. Accurate and prompt shipping of small to large machine orders for VA

Hospital facilities and individuals.

2. Precise registration of machines with the correct veteran or facility information place orders at correct workstation for processing.

3. 100% QA review of all machine orders, with thorough attention to detail regarding shipment size, shipping labels, and palletizing of larger orders.

ii. Picking Orders

1. Ensuring orders are accurately picked in both item and quantity.

2. Maintaining a continuous pace to ensure timeliness of order fulfillment.

3. Exercising care as to not damage product at any point in the picking process.

4. Verification of shipping information to enhance accuracy of delivery.

5. Additional picking information and considerations

a. Items are arranged on gravity shelves by alphanumeric location, beginning with a letter denoting the area of shelving the item is located, followed by a numerical value which specifies exactly where on the shelving the item is placed.

b. Packing slips will clearly state the item name, quantity, stock number, and location.

SDC HDOS SOP 20

c. These slips will be sorted by item location and destination address type prior to picking. This is to not cross UPS orders with USPS orders.

d. Individuals will be responsible for signing the bottom of packing slips for QA accountability.

e. Any issues with orders are to be brought to VA staff for final clarification.

iii. Building Station Stock Orders

1. When pulling station stock orders, be deliberate in the sorting and registration of orders.

2. All orders must be pulled from packing slip and not summary sheet.

3. Pulling items from station stock packing slips:

4. Ensure the correct model number of machine (e.g., 39000, 39001, etc.) is being pulled with the correct order number. Also confirm before registration that the correct machine is matched with the correct order number and patient information.

5. Pull the required machine from the rollers in the machine staging area.

Begin registering machines in order according to packing slip. Be sure to also denote which machine is for which individual by labeling the outside of the respective machine box.

6. For smaller orders, place the single machines or the boxes of machines on the conveyor and ensure those orders then have the necessary accessories picked. Pickers of accessories need to be doubly sure the packing slip they are picking for matches the machine they are gathering accessories for.

7. For bulk orders, place the multiple boxes on a cart and then also ensure the necessary accessories are picked.

8. Do not place more than one station stock order the same cart. To reduce the possibility of errors, pickers will need to utilize a single cart per order to create a conspicuous separation of all orders.

9. Once the S/R Clerk has completed an order in full, they shall verify there is no patient information visible on the outside of any shipping boxes, and there is not any erroneous address information for any other facilities.

10. Be sure to INITIAL and write the date/time on any packing slip, ensuring as much accountability as possible for each order.

11. QA will check 100% of orders and can address any pulling errors with team members.

iv. Picking

1. Packing

a. The S/R Clerk will identify the item to pick using the location on the packing slip (e.g., A11, B22, C33, etc.).

b. Upon identifying that location and item, the S/R Clerk should confirm the correct stock number of the item (e.g., 37299, 39202, 36851, etc.).

SDC HDOS SOP 21

c. Item quantity should now be verified by the S/R Clerk, with any excesses reported to VA staff for adjustment.

d. The condition of the item and its packaging should also be inspected, to ensure it is not damaged or expired.

a. The S/R Clerk will now initial the bottom of the packing slip to confirm all steps were completed properly.

b. Following this, the item(s) and the packing slip will be placed in a tote and sent down the conveyor to the QA Specialist.

v. Bagging

1. Fulfilled orders will now pass on to the bagging machines, whereupon the S/R Clerk assigned there will scan the QR Code on the bottom left of the packing slip. This will auto-populate the shipping information into

UPS WorldShip, as well as print a bag with the necessary postal information.

2. The S/R Clerk should also scan the same QR Code into the Vista terminal to process the order.

3. Once the bag is printed, verify the destination address matches the packing slip, as well as proper alignment of the printed label to ensure proper delivery.

4. Upon placing the items into the bag, ensure that the required feedback/return form is included.

5. Ensure the bag is properly sealed and not overfilled. Some larger orders will require more than one bag, and the correct procedure should be followed to ensure the order is bagged correctly.

vi. UPS

1. Verify that product you are packing corresponds to appropriate order sheet.

1. For station stock – verify priority, place in bulk shipment area:

a. Routine and Priority orders are shipped UPS ground

b. Emergency are shipped next day air

2. Verify labels and packing slips match product being shipped.

vii. Packing and Shipping Station Stock:

1. All station stock international orders will be shipped via UPS.

2. Scan label into UPS barcode screen.

3. Verify that correct country is entered and update if needed.

4. Enter Phone Number from Vista. If unavailable enter (303) 273-6200.

5. Ensure that item description is entered into ‘Customs Documentation

Tab.’

6. Click box under ‘Description of Goods’ and select commodity group.

7. Once verified, click ‘Process’ to generate label.

8. Two labels will be printed for all international orders.

a. Ensure that both are placed on package.

9. All international orders will be placed on next day air cart

SDC HDOS SOP 22

viii. USPS

1. All P.O. Box deliveries are shipped via USPS as UPS does not deliver to

P.O. Box. Addresses.

2. All USPS shipments processed using Vista

3. All orders are scanned only once (one scan is needed for PRO and creating shipping labels on bags.

ix. Box Shipping

1. All machines are shipped in boxes after being registered to patients/stations.

2. Machines are highest priced items in HDOS inventory

3. All machines require verification by Quality Assurance.

4. Machine orders containing accessories and will require verification by

Quality Assurance.

x. Freight Shipping

3. All station stock orders are shipped via UPS or LTL.

4. Emergencies ship UPS next day Air.

5. Communicate with supervisor for larger orders that could be sent next day air.

6. Large orders will be sent LTL.

7. Priorities ship UPS Ground.

8. Routines ship UPS Ground.

9. When packing, make sure to verify each stock number and quantity as you are putting it into the box.

10. Place packing slip in box after all items ordered.

11. Use packing material, (example: paper or air pouches) for the safety of items being sent.

12. Generate UPS label in following manner:

13. Open UPS world ship.

14. At bottom right, select your assigned profile from the profile drop down menu.

15. At top of UPS, select ‘Import/Export Data.’

16. From this menu, select ‘VA_PAP.’ This will bring up a secondary scanning screen.