Attachment_10a_-_1-CICP_IG_v2_6.pdf

FA252119RA007

(REF) FA2521-18-R-0024

RFP Attachment 10a

Government Furnished Materiel - Accountability

Contractor Inventory Control Point Implementation Guide

HAF / A4LR

Version 2.6

1 November 2017

DRAFT

FA2521-18-R-0024

Instrumentation Range Support Program

Attachment 10a

Revision History Version Date Summary of Changes

1.0 21 Apr 16 Initial draft

1.1 21 Jun 16 Functional Review Changes

2.0 5 Aug 16 Sponsor Review Changes and Cleanup

2.1 9 Sept 16 Addition of instructions to connect through DLA

DAAS

2.2 16 Nov 16 Clarification of Deemed Cost methodology

2.3 8 Dec 16 Updated 527R Materiel Due-In and Receipt

2.4 28 Feb 17 Changes to Receipt, Physical Inventory, Daily GFM-related activities and Start-up activities

2.5 7 Apr 17 Changes to Reconciliation and Logistics Reassignment (internally released version)

2.6 1 Nov 17 Changes to IT requirements and document format

Table of Contents

1. Background

2. Document Purpose

3. IT Requirements

4. Process and Procedure Requirements

4.1 Perform Materiel Receipt (link to Model)

4.2 Perform Materiel Issue of GFM (link to Model)

4.3 Perform Materiel Condition Code Change of GFM (link to Model)

4.4 Perform NSN Re-Identification and Assignment of GFM (link to Model)

4.5 Perform Physical Inventory of GFM (link to Model)

4.6 Perform GFM Data Reconciliation (link to Model)

4.7 Perform GFM Financial Reporting (link to Model)

4.8 Perform Logistics Reassignment for CICP Managed Materiel (link to Model)

4.9 Perform Daily GFM-Related Activities (link to Model)

4.10 Inventory Adjustment, Disposal and Condemnation Authorization

5. Start-Up Activities / Requirements

APPENDICES

Appendix A: Acronyms

Appendix B: Glossary

Appendix C: Process Models

Appendix D: Contextual Model

Appendix E: DLMS Transaction Guides

E1: 527R Materiel Due-In and Receipt

E2: 527R Receipt Acknowledgement

E3: 824R Application Advice (Reject Advice)

E4: 832N Price/Sales Catalog (Catalog Data Support)

E5: 846D Inventory Inquiry/Advice (Logistics Reassignment Storage Information Order/Reply)

E6: 846S (DZC) Inventory Inquiry/Advice (Logistics Reassignment Transfer and Decapitalization) ... 68

E7: 846S (DZD) Losing CICP Inventory Inquiry/Advice (Logistics Reassignment Transfer and Decapitalization)

E8: 846P Inventory Inquiry / Advice (Transaction History Request)

E9: 846R Inventory Inquiry / Advice (Location Reconciliation)

E10: 867I Product Transfer and Resale Report (Issue)

E11: 945A Warehouse Shipping Advice (Materiel Release Advice)

E12: 947I Warehouse Inventory Inquiry Advice (Inventory Adjustment)

Appendix F: DLMS Implementation

Appendix G: System Agreements with DLA DAAS

1. Background The Air Force implemented a method to deliver information technology (IT) capability as measured against the solution of the original problem that was brought forth by the end user. The Air Force identified the following problem:

“Air Force accountability is incomplete for contractor managed and possessed Air Force owned materiel (Operating Materials and Supplies / Spares). The Air Force is unable to track end-to-end, logistics and financial transactions; provide total asset visibility (TAV);

and report materiel inventory values accurately and timely. “

In 2013, the Air Force chartered the Government Furnished Materiel – Accountability (GFM-A) capability initiative to provide property accountability / control of contractor managed and possessed Air Force owned property (inclusive of materiel and equipment) through implementation of standard and integrated AF logistics and contractor processes (from receipt / acceptance through issue / disposition) IAW DoDM 4140.01, DoDI 5000.64 and Financial Improvement and Audit Readiness (FIAR) Guidance. The planned capability would establish and maintain accountable inventory records for government furnished property (GFP), within a government accountable property system of record (APSR), that reflects current quantity, status, location, condition and authorizing contract while establishing an audit trail to update and track end-to-end logistics and financial transactions.

The need came about due to the Air Force out-sourcing the management activities of certain weapon system unique materiel and equipment to commercial entities with the Air Force paying for the materiel as it is acquired by the commercial entity, thus making the materiel GFM. These contractual arrangements are categorized as, but not limited to, contractor inventory control point (CICP), contractor logistics support (CLS), contractor operated and maintained base supply (COMBS), interim contractor support (ICS), performance based logistics (PBL) and/or contractor supported weapon systems (CSWS). These arrangements are hereby referred to as “Contractor” or “CICP” hereinafter. There is no waiver for reporting of contractor managed and possessed property (Operating Materials and Supplies (OM&S) spares/assets and equipment).

Contractor managed and possessed government furnished property is but one type of government furnished property and is the sole focus of this capability initiative. The above problem statement does not apply to the other types of government furnished property as the AF has solutions in place for the reporting of logistics and financial data. Only Air Force owned property will be reported in the Air Force identified GFM-A Accountable Property System of Record (AF GFM-A APSR).

2. Document Purpose The purpose of this Contractor-Inventory Control Point Implementation Guide is to provide contractors and PMOs with technical details needed to establish, track, and report contractor managed and possessed government furnished property (inclusive of materiel and equipment) using or interfacing with the AF APSR. This relates to contractors who manage and possess AF owned assets, where the contractor is the inventory control point (source of supply) and must report all transactions according to AFI 23-101. The AF has selected the Defense Property Accountability System (DPAS) as the Accountable Property System of Record (APSR) for this AF initiative allowing the AF to financially account for this materiel and meet the DoD Financial Improvement and Audit Readiness (FIAR) requirements.

Section 3, IT Requirements describes two methods AF contractors can choose to implement the required tracking of GFM logistic events and the reporting of GFM to the AF APSR.

1. Receive and send DLMS transactions that have been identified using their existing IT system, or

2. Enter logistic events directly into the AF GFM-A APSR - DPAS

This implementation guide discusses processes and procedure requirements captured during the onset of the GFM-A project.

Section 4, Process and Procedure Requirements reviews each GFM-A process, links the processes to the Defense Logistics Management Standards (DLMS) transactions and includes the start-up activities/requirements that are necessary for a successful implementation.

Throughout the document there are Appendices with links that provide additional elements to assist the contractor and/or PMO with preparations to directly use or interface with the APSR.

3. IT Requirements The information technology requirements section reviews the CICPs IT requirements relevant to both methods to track logistic events:

• Contractors with an inventory management approach or system capable of sending Defense Logistics Management Standards (DLMS) transactions via the Defense Automatic Addressing System (DAAS) that will interface with the GFM-A APSR (DPAS); are referred to as a “Contractor Interfacing” user, and

• Contractors that enter transactions directly into the GFM-A APSR (DPAS) are referred to as a “Self-Service Module” user.

The following table describes the IT requirements and associates the requirement to the applicable party.

IT Requirement Applicable to:

IT Requirement Description Contractor

Interfacing Self-Service Module

1. The AF GFM-A APSR will account for all government owned property (inclusive of materiel and equipment) that has an assigned National Stock Number (NSN) (including both NC and ND numbers) or Part Number. For purposes of this document, we will refer to these by Stock Number from here forward.

x x

2. CICP logistics reassignment can only be done between a CICP and a DLA ICP, or between a CICP and an Air Force inventory control point (ICP). CICP can be the losing item manager (LIM) or the gaining item manager (GIM) in these cases. CICP cannot logistically reassign assets directly to another entity other than those mentioned; the CICP would first have to logistically reassign to DLA or Air Force.

x x

3. Contractor must have a Department of Defense Address Activity Code (DoDAAC), Source of Supply code (SOS) and Routing Identifier Code (RIC) before transacting in the AF GFM-A APSR.

x x

The contractor must have a unique RIC/DoDAAC for their inventory control point (ICP) and for each warehouse location.

Note: Since RICs will be phased out, the DoDAAC shall be what makes the combination unique.

a. “ED” DoD Activity Address Code (DoDAAC) and an associated Routing Identifier Code (RIC).

b. “EB” DoDAAC

* Without the ICP codes, contractors cannot account for their inventory in the GFM-A APSR (DPAS).

4. The Air Force will assign a unique RIC for the AF GFM-A program and a DoDAAC to each Program Manager that have CICPs (PMs will be assigned a FQ series DoDAAC). The communications routing identifier (COMMRI) will be associated to the GFM-A RIC for routing to the AF GFM-A APSR. Using the RIC and the DODDAC, DAAS will direct the Contractor Interfacing transactions to the AF GFM-A APSR.

x x

5. Contact the Air Force Program Manager to request the DoDAAC and RIC codes.

x x

6. Contractor will review DLMS Implementation Strategy Guide (See Appendix F) x

7. Contractor must have a system agreement with DAAS (Interface Control Agreement (ICA)) (See Appendix G) x

8. Contractor’s IT system must be DLMS compliant; including the capability to send and receive transactions in DLMS format.

Contractors must specify the version of the DLMS transaction in use when communicating with DAAS. Contractors must meet the minimum version of the DLMS transaction as listed in Appendix E of this document.

x

9. Contractor’s inventory management system technical managers must monitor the Enterprise Business Standards Office (EBSO) for Proposed DLMS changes (PDCs) and Approved DLMS changes (ADCs) that may impact the DLMS transactions referenced in this document.

a. Must monitor and react to changes to other DLMS PDCs and ADCs not referenced in this document.

b. Must update these DLMS transactions in their inventory management system.

c. Must coordinate with the AF GFM-A APSR and notify DAAS when updating to a new version of the DLMS transactions.

d. Must coordinate any DLMS changes with HAF/A4LR and the AF GFM-A APSR to reduce potential negative impacts to the AF GFM-A APSR.

x DRAFT https://www.dlmso.dla.mil/dlmso.asp

10. Contractor’s IT system must Interface through DAAS to AF GFM- A APSR, for both inbound and outbound DLMS transactions.

Frequency of transaction communication with DAAS is dependent on the needs of the contractor and AF GFM-A APSR but is expected to be at least twice a day for all contractors. The more transactions a contractor processes in a day, the more often they need to communicate with DAAS throughout the day.

x

11. Contractor will maintain auditable transaction history including when a transaction was entered and by whom for 75 months.

x

12. Contractor will abide by file size limitations for what can be handled by DAAS (~15MB limit) x

13. Contractor’s IT system must have system controls to achieve financial system audit readiness, including authorization and authentication controls, and user account management controls, that include segregation of duties, to comply with Federal Financial Management System Requirements.

x

14. Contractor will ensure logistic events are entered as quickly as possible after they occur but before end of day processing is run.

x x

15. Contractor will enter their required logistics events into the AF GFM-A APSR (DPAS) on the day they occur.

x

16. Contractor using their own inventory management system, will provide their transactions and images (copies) of their transactions, in DLMS formats, to DPAS via the Defense Automatic Addressing System (DAAS) on the day they occur.

The contractor’s system will ensure these transactions are sent as quickly after they occur but before end of day processing is run. These transactions include:

a. Inventory accounting related transactions: 527R, 867I, 945A, 947I;

b. Other logistics transactions including; 832N, 846D, 846P, 846R, 846S

* More information about these transactions are included in each process section and in DLMS transaction appendices.

x

17. Contractor’s IT system must notify its users of transactions marked as “Error” (also known as rejected transactions) from

DAAS/AF GFM-A APSR (DPAS).

x

18. Contractors, as part of their End of Day (EOD) processing, must send DLMS transactions to report the daily transaction counts, as a method for validating all transactions are accounted for each day.

a. AF GFM-A APSR will notify the contractor’s system as soon as possible if a transaction is rejected. The AF GFM-A APSR will send transactions to DAAS every 15 minutes. The standard process for reporting rejected x transactions is via the DLMS 824R transaction set. The contractor’s system must notify the user who entered the rejected transaction. This is to prevent data reconciliation issues. The contractor shall update transaction with correct data and resend.

b. A transaction count happens when each transaction is processed within the system.

c. All DLMS transactions have their create date/time in Universal Time Converted (UTC) format. Per DLM

4000.25 Volume 2, it is to be executed as part of the

End of Day activities. When a contractor's system executes its end of day, it should report all of the daily activity. (Number of accountable transactions by type) to the APSR by using the last report date time (create date/time in UTC format of the prior DLMS 846P EOD Count. The APSR will count everything received since that time up to the current DLMS 846P EOD Count create date/time in UTC format. Similar activity would occur for the DLMS 846R End of Day, but in this instance, the report will contain Reporting C-ICP (RIC), Stock Number, Condition Code, Warehouse DoDAAC, Serial Number, UII, and Quantity.

19. Contractor shall research and resolve rejected transactions. x

20. New users must submit a DD Form 2875, User agreement and their recent Information Assurance Training Certificate for access.

If PMO delegates roles x

21. To access the system, a user must have a DoD issued Common Access Card or soft certificate issued by AF GFM-A APSR system administrators.

If PMO delegates roles x

Table 3-1, Contractor IT Requirements

4. Process and Procedure Requirements The GFM-A business processes and procedure requirements section exposes functions to include contractor responsibilities. The process models represent the designed state for GFM-A functions and requirements.

Document links have been included for this section to provide the reader with detail. Contractor responsibilities section provides accountability details related to the process and/or DLMS transactions.

The DLMS transactions are provided to connect the process and the logistical event to the DLMS transaction(s) necessary for inventory accountability.

The GFM-A team worked diligently with the EBSO (fka: DLMSO) to make changes to certain DLMS transactions required by the AF APSR. The following table lists the ADCs related to the GFM-A project.

The table below will assist the contractor with an association between the DLMS transactions and GFM- A processes. The contractor is responsible to monitor the DLMS website for updates/changes that may impact responsibilities. The DLMS website is http://www.dla.mil/HQ/InformationOperations/DLMS/ and the DLMS Implementation Conventions (IC) and ADCs can be found here.

http://www.dla.mil/HQ/InformationOperations/DLMS/

ADC DLMS ADC Description GFM-A Transaction Flows (Functions)

ADC 1224 527R

846P 846R 867I 945A 947I

Requirements for Air Force Government Furnished Property (GFP) Accountability including Identification of the Contractor Inventory Control Point (CICP), the Physical Location of Property, the Authorizing Procurement Instrument Identifier (PIID), Disposal Information in the Issue Transaction, and Enhanced Data Content in Inventory- Related Transactions (Supply/Contract Administration)

(1) GFM-A End of Day / Month

(2) GFM-A Issue or Disposal

(3) GFM-A Materiel Release Confirmation

(4) GFM-A Physical Inventory

(5) GFM-A Inventory Adjustment

ADC 1225 527R Revise DLMS 527R Receipt Transaction for Intra-Air Force Government Furnished Property (GFP) Accountability to Include Identification of the Contractor Inventory Control Point (CICP), Addition of Moving Average Cost (MAC), and Authorization to Use Latest Acquisition Cost (LAC) and Acceptance Date (Supply)

(1) GFM-A Receipt

ADC 1226 824R Revise DLMS 824R Reject Advice Transaction in Support of Intra-Air Force Government Furnished Property- Accountability (GFP-A) (Supply)

(1) GFM-A Reject

ADC 1227 832N Update DLMS 832N Catalog Data Support Transaction to Add Catalog Data Elements for Air Force Contractor Inventory Control Point (CICP) Use under Government- Furnished Property-Accountability (GFP-A) Capability Initiative (Supply)

(1) GFM-A Catalog Data Support

ADC 1228 846P

846R 945A 947I

Revise DLMS 846P Physical Inventory Request and 846R Location Reconciliation Request to Enhance End of Day/Reconciliation Process

(1) GFM-A End of Day

(2) GFM-A Physical Inventory

ADC 1230 527R

845R 867I 945A 947I

Revise Balance Affecting Transactions to Authorize Air Force Contractor Inventory Control Points (CICP) use of Batch Number, Serial Number, and Unique Item Identifier (UII) for Air Force Government Furnished Property (GFP) Accountability (GFP-A) (Supply/Finance)

(1) GFM-A Disposal

ADC 1232 846D

846S

Revision to DLMS 846D and 846S Logistics Reassignment Transactions to Support Government Furnished Property (GFP) Accountability during Logistics Reassignment between Air Force Contractor Inventory Control Points (CICP) and Air Force or DLA ICPs (Supply)

(1) GFM-A Logistics Reassignment

ADC 1238 527R Revise DLMS 527R Materiel Receipt Acknowledgement (MRA) and Disposition Services Turn-In Receipt Acknowledgement (TRA) Transactions to Allow Air Force Contractor Inventory Control Points (CICP) to Forward Transaction Images in Support of Air Force Government Furnished Property (GFP) Accountability (Supply)

(1) GFM-A Receipt

Table 4-1, GFM-A DLMS Transactions

Note: Contractors that will interface with other AF systems beyond the APSR may require more DLMS transactions.

4.1 Perform Materiel Receipt (link to Model)

Process description (link to Contextual Model) For new acquisition, authorized personnel perform acceptance of GFM using DD Form 250, Material Inspection and Receiving Report. Contractor physically receives the item and receipt documentation; updates their contractor IT system and sends an image of the receipt transaction to AF GFM-A APSR via DAAS or self service module. AF GFM-A APSR receives receipt transaction and updates inventory balance. For new acquisitions, the contractor updates the valuation methodology and includes the new valuation in the receipt transaction update for new acquisition. The Air Force will use the Deemed Cost as the initial inventory valuation methodology and moving average cost (MAC) methodology will be used after the initial inventory valuation going forward. The contractor must value the materiel under their management and possession at historical cost using the MAC flow assumption. MAC will be calculated by the contractor’s system, on a perpetual basis, and provided to the AF GFM-A APSR. Refer to DoD Financial Management Regulation 7000.14-R, Volume 4, Chapter 4, May 2009 for the definition. See inventory valuation in Section 5 below. This scenario is also triggered by the contractor receiving materiel returns from a customer.

Contractor Responsibilities Responsibility Reference

1. The contractor shall provide item indicative details to the AF Program Manager when a new item is added to the contract. (Program Manager will enter item detail into the AF GFM-A APSR.)

Note: For interfacing programs, the Program Manager or their designee will load the new item (stock number) into DPAS before transactions can be passed.

This may be a manual input or electronic data load of all items approved on the contract.

GFM-A PMO

Implementation Guide

2. The contractor interfacing system shall provide transactions to AF GFM-A APSR through DAAS.

Or, The contractor shall enter transactions into the AF GFM-A APSR through use of the DPAS self-service module.

DLMS 527R

3. The contractor shall compute inventory valuation (i.e. DoD 7000.14-R) and enter valuation details into the AF GFM-A APSR.

DLMS 527R

4. The contractor’s inventory management system is the only system of record that stores all records in one place to calculate Moving Average Cost (MAC).

DLMS 527R

5. The contractor shall document the Latest Acquisition Cost (LAC) associated with the transaction in their inventory management system. (DoDI 5000.64).

DoDI 5000.64

6. The contractor shall systematically calculate the MAC in their inventory management system and convey the MAC and LAC in each receipt transaction.

DLMS 527R

7. The contractor shall enter item indicative changes to the AF GFM-A APSR.

Note: The DLMS 832N transaction will provide the item indicative detail for each item. Except for contract start up.

DLMS 832N

8. The contractor shall update transaction with correct data and resend if the receipt transaction is rejected (i.e. stock number or other information is invalid) by the AF GFM-A APSR.

DLMS 824R

9. The contractor shall provide Serial Number or Unique Item Identifier (UII) for serially managed or items that have been assigned a UII. Receipts for serially managed items without serial numbers, will be rejected by the AF GFM-A APSR.

10. The contractor shall provide the Batch Lot Number for items that are managed by Batch Lot Number.

Note: Each item in the AF GFM-A APSR will be set to either batch or serially managed.

DLMS 527R

11. The contractor shall notify the sending party of the materiel received, when the contractor receives the materiel from a government entity by generating a DLMS 527R to Ship To Address to allow for the closing of the in-transit.

DLMS 527R

(Receipt Acknowledgement)

Table 4-2, Contractor Responsibilities - Perform Materiel Receipt

Related DLMS transactions The DLMS transactions related to the process and procedure requirements for the above process area are linked below.

527R Materiel Due-In and Receipt 527R Receipt Acknowledgement 824R Application Advice (Reject Advice) 832N Price/Sales Catalog (Catalog Data Support)

4.2 Perform Materiel Issue of GFM (link to Model)

Process description (link to Contextual Model) Contractor issues, ships, or disposes an item and processes transaction within contractor’s IT system and sends an image of the transaction to AF GFM-A APSR via DAAS or self service module. The AF GFM-A APSR is updated to reflect the transaction making data available to the

AF.

For all issues, the contractor will transmit a (DLMS 867I) Issue notice to the AF GFM-A APSR.

The 867I will be used to reduce the on hand inventory and possibly establish an in-transit depending upon the Mode of Shipment cited within the Issue Notice.

When a shipment is associated with the issue, the Contractor will transmit a DLMS 945A to the AF GFM-A APSR to allow for the recording of the in-transit. After the customer receives the shipped materiel a receipt acknowledgement is sent to contractor. The contractor processes the receipt acknowledgement from the customer (527R Materiel Receipt Acknowledgement (MRA)) or from Defense Logistics Agency (DLA) Disposition Services (DS) (527R Turn-in Receipt Acknowledgement (TRA)) to close the in-transit.

To close the in-transit within the AF GFM-A APSR, the contractor will transmit an image of the 527R MRA or 527R TRA they received via DAAS. Contractors will follow DoD policy (DLM 4000.25, Volume 2, Chapter 10) for following up on delinquent in-transit transactions.

The AF GFM-A APSR will reflect inventory in three categories: available for issue, allocated or in-transit. Allocated means the item is designated for a customer or shipment, but not yet in-transit.

Contractor Responsibilities Responsibility Reference

1. The contractor’s interfacing system shall provide issue transactions to AF GFM-A APSR through DAAS.

Or, The contractor shall enter issue transactions into the AF GFM-A APSR through use of the DPAS self-service module.

Note:

• The contractor shall use DLMS 867I to report the issue.

• The contractor shall use DLMS 945A when an item is sent to a customer or item is moved from one location to another; an in-transit is recorded with a materiel receipt acknowledgment (DLMS 527R MRA/TRA) to close the in-transit. Issues on location do not require a 945A.

DLMS 867I and possibly a 945A

2. The contractor shall not decrement item from inventory when sending item to maintenance or AF Depot.

Note:

• The system the CICP is using should have a location defined to denote the inventory is out for repair for inventory purposes. The item will not be decremented from inventory. The CICP will retain accountability responsibility.

• If maintenance facility DoDAAC is tied to the CICP contract, then the contractor shall issue the repair item to the maintenance facility's DoDAAC. The item will be considered in-transit until the maintenance facility confirms receipt. After receiving the materiel receipt acknowledgement from the maintenance facility, the contractor shall receipt the item to reflect the location of the item using the DoDAAC of the maintenance facility.

• If maintenance facility DoDAAC is NOT tied to the CICP contract or maintenance facility does not have a DoDAAC, then the CICP will do an internal relocation.

DLMS 867I

DLMS 945A

3. The contractor shall track in-transit items using their inventory management system until the receipt acknowledgment is received.

Contractor’s IT System

4. The contractor shall provide/track in-transit shipment transactions to the AF GFM-A APSR.

Note:

• Use the Mode of Shipment data field in the DLMS 867I or 945A to identify which issues/shipments are subject to in-transit tracking.

• AF GFM-A APSR will immediately drop the materiel from available inventory and report the issue to the financial statement.

• AF GFM-A APSR will not establish an in-transit for DoD Mode of

Shipment X (Bearer, walk-thru (customer pickup of material)).

DLMS 945A

Mode of Shipment X will be used for local disposal and local delivery within the contractor.

5. The contract shall receive materiel receipt acknowledgement (527R MRA) or turn-in receipt acknowledgement for disposal (527R TRA) from customer or DLA Disposition Services (DS) to close in-transit.

Note:

Interfaced CICP will transmit an image of 527R MRA / 527R TRA to update in-transit balances in the AF GFM-A APSR.

Image will include the serial number or Unique Item Identifier (UII) for serially managed or items with UII. This may require the contractor to add these data elements to the image of the 527R MRA / 527R TRA.

Self service module users will enter the materiel receipt acknowledgement into AF GFM-A APSR.

DLMS 527R MRA

DLMS 527R TRA

6. The contractor shall follow up on in-transit items whose receipt acknowledgement is past due according to DoD policy

DLM 4000.25,

Volume 2, Chapter 10

7. The contractor shall send disposal request to the Program Management Office (PMO), for those disposals exceeding the thresholds identified in the contract.

PMO provides disposal authorization number to contractor.

The contractor shall include disposal authorization number in corresponding disposal transaction.

8. The contractor interfacing system shall provide disposal transactions to AF GFM-A APSR through DAAS.

Or, The contractor shall enter disposal transactions into the AF GFM-A APSR through use of the DPAS self-service module.

DLMS 945A

9. The contractor shall receive Plant Clearance Automated Reutilization Screen System (PCARSS) receipt acknowledgements for issues and disposals.

PCARSS

10. The contractor shall follow policies (DoD 4160.21-M) associated with the destructive testing process when an item is sent for destruction.

11. The contractor interfacing system shall provide item indicative detail change transactions to AF GFM-A APSR through DAAS.

Or, The contractor shall enter item indicative detail changes into the AF GFM-A APSR through use of the DPAS self-service module.

DLMS 832N

12. The contractor shall request the PMO to add item identification number (stock number) if the stock number of the item issue is not found in the AF GFM-A APSR in order for reporting to be completed.

Note:

After a new stock number is added to the AF GFM-A APSR, a beginning balance must be entered before processing an issue, ship or disposal transaction.

The AF GFM-A APSR will reject an issue, ship or disposal transaction if the transaction quantity exceeds the current balance in the AF GFM-A APSR. The AF GFM-A APSR will generate a rejection notification to the contractor if this occurs.

13. The contractor shall send only in-transit categories and associated codes authorized for AF use.

DoDM 4140.01 Vol

Table 4-3, Contractor Responsibilities - Perform Materiel Issue

Related DLMS transactions The DLMS transactions related to the process and procedure requirements for the above process area are linked below.

527R Materiel Due-In and Receipt 527R Receipt Acknowledgement 832N Price/Sales Catalog (Catalog Data Support) 867I Product Transfer and Resale Report (Issue) 945A Warehouse Shipping Advice (Materiel Release Advice)

4.3 Perform Materiel Condition Code Change of GFM (link to Model)

Contractor processes condition code change of GFM and updates inventory balances by condition code in contractor inventory system. Inventory balance change due to condition code changes that are reported and updated in the AF GFM-A APSR via DAAS or self-service module.

Contractor Roles and responsibilities Responsibility Reference

1. The contractor shall update materiel master records in their system whenever the materiel’s condition code requires a change.

2. The contractor shall send only condition codes that are authorized for AF use. Confer with the government PM to determine the Supply Condition Codes that are valid for use

DLM 4000.25-2

DLM 4000.25

3. The contractor interfacing system shall provide condition code change transactions to AF GFM-A APSR through DAAS.

Or, The contractor shall enter condition code change transactions into the AF GFM-A APSR through use of the DPAS self-service module.

Note:

The AF GFM-A APSR will reject a condition code change transaction if the transaction quantity exceeds the current balance in the AF GFM-A

APSR.

DLMS 947I (DAC)

The AF GFM-A APSR will generate a rejection notification (DLMS 824R) to the contractor if this occurs.

The contractor shall provide serial number or Unique Item Identifier (UII) for serially managed or items with UII.

Note: The AF GFM-A APSR will reject transactions if item identification number is not found, information is invalid, or quantity does not exist for the corresponding condition code change.

4. The contractor shall not use a condition code change to move an item into a repair facility. See section 4.2 contractor responsibility # 2 for more information.

Table 4-4, Contractor Responsibilities - Perform Materiel Condition Code Change

The DLMS transactions related to the process and procedure requirements for the above process area are linked below.

832N Price/Sales Catalog (Catalog Data Support) 947I Warehouse Inventory Inquiry Advice (Inventory Adjustment)

4.4 Perform NSN Re-Identification and Assignment of GFM (link to Model)

PMO adds the new stock number into the AF GFM-A APSR or it is added via the contractor’s system cataloging transaction (DLMS 832N). Once the new item indicative details is known to exist, the contractor will update the items that need to be updated with the new item identification. Inventory balance change due to stock number re-identification changes are reported and updated in the AF GFM-A APSR via DAAS or self-service module. For example, changes can be the result of a modification of an item to a new stock number or the change from a NC or ND number to NSN.

Contractor Responsibilities

Responsibility Reference

1. The contractor shall provide item indicative details to the Program Manager for entry into AF GFM-A APSR, if re-identified or reassigned NSN is a new item.

832N

2. The contractor shall update materiel master records in their system whenever the materiel’s item identification is changed.

3. The contractor interfacing system shall provide stock number re-identification transactions to AF GFM-A APSR through DAAS.

Or, The contractor shall enter stock number re-identification transactions into the AF GFM-A APSR through use of the DPAS self-service module.

Note:

This occurs when a modification to an NSN is performed; decrease occurs on the old NSN, and an increase on the new NSN (partial balance).

DLMS 947I

The contractor shall provide serial number or Unique Item Identifier (UII) for serially managed or items with UII.

4. The contractor shall send condemnation request to the PMO, for those condemnations that exceed the threshold identified in their contract, IF item cannot be modified to new configuration. (PMO provides authorization number to contractor).

The contractor shall include authorization number in corresponding condemnation transaction.

5. The contractor interfacing system shall provide condemnation transactions to AF GFM-A APSR through DAAS.

Or, The contractor shall enter condemnation transactions into the AF GFM-A APSR through use of the DPAS self-service module.

Note:

• For condemnations performed on site, use the DLMS 867I (where mode of shipment is X, bearer walk-through.

• For condemnations performed off site, use the DLMS 945A.

DLMS 867I

or DLMS 945A

Table 4-5, Contractor Responsibilities - Perform NSN Re-Identification and Assignment

Related DLMS transactions The DLMS transactions related to the process and procedure requirements for the above process area are linked below.

832N Price/Sales Catalog (Catalog Data Support) 867I Product Transfer and Resale Report (Issue) 945A Warehouse Shipping Advice (Materiel Release Advice) 947I Warehouse Inventory Inquiry Advice (Inventory Adjustment)

4.5 Perform Physical Inventory of GFM (link to Model)

The PMO may direct the contractor to perform periodic physical inventories in accordance with the contract terms or unscheduled physical inventories if the contractor fails data reconciliation (section 4.6) or if directed from a higher authority. The AF PMO will notify the contractor to conduct physical inventories using the DLMS 846P transaction set. The contractor will report the results of the inventory using the DLMS 846R transaction set. Upon reconciliation of the inventory by the AF PMO, and if required by contract, the PMO will approve any required inventory adjustments. After receiving any required approval notices from the AF PMO, the contractor will add or remove the item(s) from the inventory master. This change in the inventory master will be reported to the AF GFM-A APSR through DAAS or the self-service module using the DLMS 947I transaction set.

1. The contractor shall perform blind physical inventory of items according to the schedule set forth in their contract.

Contract DLM 4000.25, Volume 2, Chapter 6.

2. The interfacing contractor shall receive requests for a physical inventory to be conducted from the AF Program Management Office (PMO) via the AF GFM-A APSR via the DLMS 846P transaction set.

Or, The contractor (Self Service Module) shall check AF GFM-A APSR daily for notification of physical inventory requests.

DLMS 846P

3. The contractor shall perform an unscheduled physical inventory upon request according to contract terms.

Contract DLM 4000.25 Volume 2, Chapter 6

4. The contractor will validate elements such as, the item identification number, unit of issue, supply condition code and inventory quantity during the conducting of a physical inventory.

5. The contractor shall send inventory adjustment request to the PMO, for those adjustments exceeding the thresholds identified in the contract.

The PMO provides authorization number (document number), assigned by the AF GFM-A APSR, to contractor.

The contractor shall include the authorization number in corresponding inventory adjustment transaction.

Contract

6. The contractor shall abide by the expected inventory completion date, provided by the PMO, when reporting on the requested physical inventory.

Note:

The physical inventory completion date is based upon contractual terms between the contractor and program office.

The physical inventory completion date must be within the timeframe to conduct a physical inventory specified in the DLMS (MILSTRAP) procedures.

DLMS 846P

Contract

DLMS (MILSTRAP)

procedures

7. The interfacing contractor will report the results of the Physical Inventory via the DLMS 846R transaction set upon completion of the physical inventory.

Note: The DLMS 846R transaction set will cite the Document Number the AF PMO cited in the DLMS 846P Physical Inventory Request.

Or, DLMS 846R

The self-service module user will report the physical inventory results directly into the AF GFM-A APSR.

8. After obtaining any contract required AF PMO approvals, the interfacing contractor shall process inventory adjustments reporting them to the AF GFM-A APSR via the DLMS 947I transaction set.

Note: The PMO provides the authorization number (document number) to be used by the contractor in reporting the Inventory Adjustment.

Or, The self-service module user will enter inventory adjustments directly into the AF GFM-A APSR.

DLMS 947I

9. The contractor may have post reconciliation actions that were identified during the Physical Inventory that was conducted.

When item indicative data discrepancies are revealed, the contractor will update the item indicative data and report those updates to the AF GFM-A APSR via the DLMS 832N transaction set.

When items are discovered that are no longer considered usable/repairable, the contractor shall record the change in condition code via the DLMS 947I transaction and initiate the action to dispose of the materiel in accordance with the contract.

Upon disposition, the contractor will report the action via the DLMS 867I/945A transaction set.

When the contractor identifies items that have been received from the supplier, but not yet posted to inventory, the contractor will post the receipts to inventory and report the action via the DLMS 527R transaction set.

DLMS 947I

DLMS 867I/945A

10. The interfacing contractor shall provide the Date Of Last Inventory (DOLI) to the AF GFM-A APSR for each physical inventory.

Or, The self-service module user will enter the Date of Last Inventory (DOLI) directly into the AF GFM-A APSR

DLMS 947I

Table 4-6, Contractor Responsibilities - Perform Physical Inventory

Related DLMS transactions The DLMS transactions related to the process and procedure requirements for the above process area are linked below.

527R Materiel Due-In and Receipt 832N Price/Sales Catalog (Catalog Data Support) 846P Inventory Inquiry / Advice (Transaction History Request)

846R Inventory Inquiry / Advice (Location Reconciliation) 867I Product Transfer and Resale Report (Issue) 945A Warehouse Shipping Advice (Materiel Release Advice) 947I Warehouse Inventory Inquiry Advice (Inventory Adjustment)

4.6 Perform GFM Data Reconciliation (link to Model)

Process description (link to Contextual Model) In accordance with DoD Supply Policy procedures, the Air Force will conduct End of Day and End of Month reconciliations between the AF GFM-A APSR and the contractor’s inventory management system. As part of the contractor’s End of Day close-out procedures: 1) The system will report the number of inventory affecting transactions generated and sent to the AF GFM-A APSR for that day via the DLMS 846P transaction set, and 2) The system will report inventory balances by Stock Number / Supply Condition Code for all Stock Numbers that had activity for that day via the DLMS 846R transaction set. Upon receipt of these transaction sets, the AF GFM-A APSR, will perform a reconciliation to ensure the contractor’s inventory management system and AF GFM-A APSR are in sync. In the event the reconciliation identifies a discrepancy, the AF GFM-A APSR may request the contractor’s inventory management system provide history transactions for the records that are non-matching via a DLMS 846P transaction set. Upon receipt of a DLMS 846P transaction set that is requesting history, the contractor’s inventory management system will transmit the specific transaction sets being requested. They will mirror the original transaction set, except that they will be denoted as a History Transaction.

For the End of Month reconciliation, the contractor’s inventory management system will report inventory balances by Stock Number / Supply Condition Code for all Stock Numbers that have a balance via the DLMS 846R transaction set. Upon receipt of the transaction sets, the AF GFM-A APSR, will perform a reconciliation to ensure the contractor’s inventory management system and AF GFM-A APSR are in sync. In the event the reconciliation identifies a discrepancy, the AF GFM-A APSR may request the contractor’s inventory management system provide history transactions for the records that are non-matching via a DLMS 846P transaction set. Upon receipt of a DLMS 846P transaction set that is requesting history, the contractor’s inventory management system will transmit the specific transaction sets being requested. They will mirror the original transaction set, except that they will be denoted as a History Transaction. *Note:

Self-service module users (CICP’s data) will have their data internally reconciled with the AF PMO’s data. Any discrepancy found will be reported to the APSR’s Helpdesk for resolution.

Contractor Responsibilities Responsibility Reference

1. The interfacing contractor shall provide end of day transaction counts to the AF GFM-A APSR.

Note:

The DLMS transaction sets to report counts on are: 527R (Receipts), and 527R (Materiel Receipt Acknowledgements), 867I (Issue), 947I (Inventory Adjustments), and 945A (Materiel Release Advice).

The interfacing contractor shall include a count of the Materiel Release Advice count which represents the number of Materiel Release

DLMS 846R

Confirmation (MRC) and Disposal Release Confirmation (DRC) transactions sent by the contractor during the day or month being reconciled. The interfacing contractor shall transmit the sum total for the combined MRC and DRC transaction as a single value.

EOD activity contains no specific transactions. They are counts of the accountable transactions as defined by DLM 4000.25.

2. The interfacing contractor shall provide end of day inventory balances for the stock numbers; condition codes, ownership with activity that day to the AF GFM-A APSR.

Note: For Serially managed or Batch Lot managed materiel, the on hand inventory will be reported at the detail level (Serial Number / Batch Lot Number).

DLMS 846R

3. The interfacing contractor shall provide end of month inventory balances for the stock number; condition code; ownership for all items managed by the contractor to the AF GFM-A APSR.

Note: For Serially managed or Batch Lot managed materiel, the on hand inventory will be reported at the detail level (Serial Number / Batch Lot Number).

In the EOD/EOM reconciliation if an out of balance occurs, DPAS will identify the missing transaction from the transaction history (DLMS 846R).

DLMS 846R

4. The interfacing contractor may receive a request for transaction history that indicates a reconciliation failure from the AF GFM-A APSR. History will only be requested for those specific stock numbers that were identified in the reconciliation failure.

Examples of reconciliation failures include:

• Mismatched of transaction counts.

• Mismatched asset management data (balances or condition codes).

DLMS 846P

5. The interfacing contractor shall perform research, analysis, and corrective actions necessary to correct reconciliation failures.

The interfacing contractor will monitor DAAS activity for failed transactions, correcting them and resubmitting within 2 business days.

The interfacing contractor shall correct reconciliation failures not later than five business days from notification by the AF GFM-A APSR of an out of balance condition that is unrelated to transactions that failed DAAS validation.

The interfacing contractor shall resend ‘missing’ transactions to AF GFM- A APSR when it is determined that the root cause of the out of balance was the result of missing transactions.

DLMS 947I DRAFT

The interfacing contractor shall reverse any incorrect transactions and send corrected transactions to the AF GFM-A APSR when the root cause is determined to be a problem with the data contained in a transaction.

Table 4-7, Contractor Responsibilities - Perform GFM Data Reconciliation

Related DLMS transactions The DLMS transactions related to the process and procedure requirements for the above process area are linked below.

846P Inventory Inquiry / Advice (Transaction History Request) 846R Inventory Inquiry / Advice (Location Reconciliation)

4.7 Perform GFM Financial Reporting (link to Model)

Process description (link to Contextual Model) The AF GFM-A APSR provides the financial and logistics transactions, which contains the inventory valuation, to the financial and accounting system designated by SAF/FM.

Contractor Responsibilities Note: The contractor has no direct interaction with the Financial Reporting Process; the AF GFM- A APSR will aggregate the transactions and send the financial reporting data to the accounting system. To correct the financial reporting data, the contractor processes a logistics transaction in their inventory management system and provides to the AF GFM-A APSR.

Responsibility

1. The contractor shall receive notifications from the PMO to validate inventory valuation after completing initial data load and initial receipt transactions to ensure proper valuation.

2. The contractor shall validate inventory valuation after completing initial data load and initial receipt transactions to ensure proper valuation.

3. The contractor shall continue to submit Chief Financial Officer (CFO) report to PMO until contractor is added to AF GFM-A APSR.

4. The contractor shall complete end of month procedures to:

Ensure all transactions occurring in the current month are properly recorded within that month.

Ensure all items are recorded in proper condition codes.

5 The contractor shall complete fiscal year (FY) close-out procedures to:

Ensure all transactions occurring in the current year are properly recorded within that year.

Ensure all items are recorded in proper condition codes.

6. Resolves all open reconciliation failures prior to FY end.

Table 4-8, Contractor Responsibilities - Perform GFM Financial Reporting

Not applicable

4.8 Perform Logistics Reassignment for CICP Managed Materiel (link to Model)

Contractor managed materiel may be logistically reassigned from the contractor to the Air Force or DLA. When this occurs, the contractor will report the change in inventory data/balance and management responsibility changes to AF GFM-A APSR. Inventory data, management responsibility, inventory balance, and condition changes are reported and updated in the AF

GFM-A APSR. THE INFORMATION PROVIDED HERE IS NOT ALL INCLUSIVE OF THE

LR PROCESS. This is only the information that pertains to AF GFM-A APSR. Contact your program office and AFMC/A4R for more information on logistics reassignment.

All consumable and reparable (non-consumable) items require management oversight and control to ensure uninterrupted supply support, logistical accountability and financial accounting during the transition period. Items with Supply Condition Codes listed below do not transfer on the effective transfer date. In those instances when the items do not transfer, the contractor will retain accountability and must continue to report the items to AF GFM-A APSR until disposal or change to acceptable Condition code and accountability transfers to Gaining Item Manager (GIM). The following categories and Supply Condition Codes apply:

Note:

1. Consumable managed items with supply condition codes (SCCs) of F, H, J, K, L, M, P, Q, R, S, or V.

2. Non-consumable items in SCCs G, H, J, K, L, M, P, and Q.

The following diagram walks the reader through the Logisitics Reassignment process from a Losing Item Manager (LIM) to a GIM identifying the DLMS transactions needed to add and remove inventory from the contractor’s inventory management system and the AF GFM-A

APSR.

Diagram 1 – Logistics Reassignment Process

Responsibility Reference

1. The contractor shall verify that any items that are not Stock listed by

NSN prior to a Logistics Reassignment will be stock listed by NSN.

DoD 4140.26-M DLM 4000.25 Volume 2, Chapter 9

2. The LIM Contractor will respond to GIM requests for relocation of materiel by shipping the materiel to the requested Storage Activity prior to the effective date of the transfer.

Note:

The LIM contractor will retain responsibility for item management of all items when a warehouse relocation is processed prior to the effective date of the transfer.

In these instances, the LIM Contractor will provide the AF GFM-A APSR with DLMS 867I/945A transactions for the losing location, and DLMS 527R for the gaining location to denote a change in location of the materiel. See Sections 4.1 and 4.2 of this guide.

DLMS 867I

DLMS 945A

DLMS 856S

3. The interfacing contractor shall process the DLMS 846S, 846D, and 947I on the Effective Transfer Date (ETD) and report the logistics reassignment transactions to the AF GFM-A APSR.

Or, The self-service module user will enter the logistics reassignment transactions directly into the AF GFM-APSR.

The contractor shall provide the serial number or Unique Item…