Inventory Management System

Release Date: November 21, 2001 Prepared by: Thomas Bronack

Section Table of Contents
1. INVENTORY MANAGEMENT..............................................................................................4 1.1. INTRODUCTION TO INVENTORY MANAGEMENT......................................................4 1.1.1. DEFINITION..........................................................................................................4 1.1.2. SCOPE..................................................................................................................6 1.1.3. MISSION...............................................................................................................7 1.1.4. OBJECTIVES........................................................................................................8 1.1.5. FUNCTIONAL AREAS...........................................................................................9 1.1.6. INTEGRATED INVENTORY MANAGEMENT SYSTEM.......................................10 1.1.7. SMC DISCIPLINE INTERFACES.........................................................................11 1.1.8. INVENTORY MANAGEMENT DISCIPLINES AND INTERFACES.......................13 1.2. PROCESS DESCRIPTION...........................................................................................14 1.2.1. NETWORK..........................................................................................................14 1.2.2. SYSTEM..............................................................................................................14 1.2.3. INVENTORY MANAGEMENT PROCESS............................................................14 1.2.4. INVENTORY MANAGEMENT FLOW...................................................................16 1.3. PROCESS FLOW........................................................................................................17 1.3.1. 1. NON-CONTROLLED ACR ENTRY:.................................................................17 1.3.2. 2. CONTROLLED ACR ENTRY:..........................................................................17 1.3.3. IMPLEMENTATION OF INVENTORY MANAGEMENT........................................18 1.3.4. SYSTEM ENVIRONMENT...................................................................................18 1.3.5. NETWORK ENVIRONMENT...............................................................................19 1.3.6. DATA REQUIREMENTS FOR INVENTORY MANAGEMENT..............................19 1.3.7. INVENTORY MANAGEMENT DATA MODEL......................................................20 1.3.8. COLLECTING, MONITORING AND REPORTING DATA.....................................25 1.3.9. INVENTORY MANAGEMENT RECORD HIERARCHY.....................................25 1.4. DISCIPLINE RELATIONSHIPS....................................................................................27 1.4.1. BUSINESS FUNCTION INTERFACES................................................................27 1.4.2. SYSTEM MANAGEMENT INTERFACES.............................................................29 1.5. INVENTORY MANAGEMENT TOOLS.........................................................................30 1.5.1. ASSET MANAGEMENT AT THE SYSTEM TO SERVER LEVEL.........................30 1.5.2. INDUSTRY STANDARDS...................................................................................31 1.5.3. DOWNSTREAM NETWORK SERVER CONFIGURATION AND INVENTORY MANAGEMENT...................................................................................................................34 1.6. ROLES AND RESPONSIBILITIES...............................................................................36 1.6.1. INVENTORY MANAGER.....................................................................................36 1.6.2. INVENTORY CLERKS.........................................................................................36 1.7. PROCESS EVALUATION............................................................................................37 1.7.1. PRESENT SYSTEM WEAKNESSES...................................................................37 1.7.2. RECOMMENDATIONS FOR IMPROVEMENT....................................................37

Section List of Figures
FIGURE 1. ASSET MANAGEMENT PHASES AND OPERATIONS........................................................4 FIGURE 2: OVERVIEW OF INVENTORY MANAGEMENT FUNCTIONAL AREAS.........................19 FIGURE 3: OVERVIEW OF AN INTEGRATED INVENTORY MANAGEMENT SYSTEM................33 FIGURE 4: SMC DISCIPLINE INTERFACES ..........................................................................................45 FIGURE 5: INVENTORY MANAGEMENT SYSTEM - OVERVIEW OF PROCESS.....................118 FIGURE 6: INVENTORY SYSTEM FLOW DIAGRAM......................................................................131 FIGURE 7: INVENTORY MANAGEMENT DATA MODEL..............................................................221 FIGURE 8: INVENTORY MANAGEMENT RECORD HIERARCHY................................................325 FIGURE 9: ASSET MANAGEMENT AT THE SYSTEM TO SERVER LEVEL............................424 FIGURE 10: DOWNSTREAM NETWORK SERVER AND INVENTORY MANAGEMENT.........472

Inventory means goods and materials, or those goods and materials themselves, held available in stock by a business. This word is also used for a list of the contents of a household and for a list for testamentary purposes of the possessions of someone who has died. In accounting, inventory is considered an asset. In business management, inventory consists of a list of goods and materials held available in stock. Inventory refers to the stock of resources, that possess economic value, held by an organization at any point of time. These resource stocks can be manpower, machines, capital goods or materials at various stages. Inventory management is primarily about specifying the size and placement of stocked goods. Inventory management is required at different locations within a facility or within multiple locations of a supply network to protect the regular and planned course of production against the random disturbance of running out of materials or goods. The scope of inventory management also concerns the fine lines between replenishment lead time, carrying costs of inventory, asset management, inventory forecasting, inventory valuation, inventory visibility, future inventory price forecasting, physical inventory, available physical space for inventory, quality management, replenishment, returns and defective goods and demand forecasting. Balancing these competing requirements leads to optimal inventory levels, which is an on-going process as the business needs shift and react to the wider environment. Inventory management involves a retailer seeking to acquire and maintain a proper merchandise assortment while ordering, shipping, handling, and related costs are kept in check. Systems and processes that identify inventory requirements, set targets, provide replenishment techniques and report actual and projected inventory status.

Handles all functions related to the tracking and management of material. This would include the monitoring of material moved into and out of stockroom locations and the reconciling of the inventory balances. Also may include ABC analysis, lot tracking, cycle counting support etc. Management of the inventories, with the primary objective of determining/controlling stock levels within the physical distribution function to balance the need for product availability against the need for minimizing stock holding and handling costs

1.1.1. The reasons for keeping stock
There are three basic reasons for keeping an inventory: 1. Time - The time lags present in the supply chain, from supplier to user at every stage, requires that you maintain certain amounts of inventory to use in this "lead time." 2. Uncertainty - Inventories are maintained as buffers to meet uncertainties in demand, supply and movements of goods. 3. Economies of scale - Ideal condition of "one unit at a time at a place where a user needs it, when he needs it" principle tends to incur lots of costs in terms of logistics. So bulk buying, movement and storing brings in economies of scale, thus inventory. All these stock reasons can apply to any owner or product stage.

Buffer stock is held in individual workstations against the possibility that the upstream workstation may be a little delayed in long setup or change over time. This stock is then used while that changeover is happening. This stock can be eliminated by tools like SMED.

These classifications apply along the whole Supply chain, not just within a facility or plant. Where these stocks contain the same or similar items, it is often the work practice to hold all these stocks mixed together before or after the sub-process to which they relate. This 'reduces' costs. Because they are mixed up together there is no visual reminder to operators of the adjacent sub-processes or line management of the stock, which is due to a particular cause and should be a particular individual's responsibility with inevitable consequences. Some plants have centralized stock holding across sub-processes, which makes the situation even more acute.

1.1.2. [edit] Special terms used in dealing with inventory

Stock Keeping Unit (SKU) is a unique combination of all the components that are assembled into the purchasable item. Therefore, any change in the packaging or product is a new SKU. This level of detailed specification assists in managing inventory. Stockout means running out of the inventory of an SKU.[1]

De-coupling (Buffer stock that is held by both the supplier and the user) 4.) that will form part of a finished can.1. .4. and anything else (solder.e. ice cream for summer) 5. Inventories not intended for sale to customers or to clients may be held in any premises an organization uses. For example: 1.. Work in process. While the reasons for holding stock were covered earlier.materials and components scheduled for use in making a product.) that they do not intend to sell.4. Inventory examples While accountants often discuss inventory in terms of goods for sale. Such merchandise may not be produced anymore.returned goods that are salable.have left the factory but not arrived at the customer yet) 1. if uncontrolled. most manufacturing organizations usually divide their "goods for sale" inventory into: • • • • Raw materials . This may be vats of prepared food. Its finished good inventory consists of all the filled and labeled cans of food in its warehouse that it has manufactured and wishes to sell to food distributors .g.[edit] Manufacturing A canned food manufacturer's materials inventory includes the ingredients to form the foods to be canned. Typology 1.. Stock ties up cash and. Anticipation stock (Building up extra stock for periods of increased demand .also have inventories (fixtures. distributors'. It may also include finished cans that are not yet packaged into cartons or pallets. Pipeline stock (Goods still in transit or in the process of distribution . Buffer/safety stock 2.. it is the available inventory. empty cans and their lids (or coils of steel or aluminum for constructing those components). 1. .. service-providers and not-for-profits .1. glue. Cycle stock (Used in batch processes. Goods for resale . and wholesalers' inventory tends to cluster in warehouses. Retailers' inventory may exist in a warehouse or in a shop or store accessible to customers. organizations manufacturers. labels.goods ready for sale to customers. it will be impossible to know the actual level of stocks and therefore impossible to control them.3. supplies. filled cans not yet labeled or subassemblies of food components. The firm's work in process includes those materials from the time of release to the work floor until they become complete and ready for sale to wholesale or retail customers.• "New old stock" (sometimes abbreviated NOS) is a term used in business to refer to merchandise being offered for sale that was manufactured long ago but that has never been used.1. WIP . Manufacturers'.1. Finished goods .materials and components that have begun their transformation to finished goods. excluding buffer stock) 3. furniture. and the new old stock may represent the only market source of a particular item at the present time.

1. A case study of k-curve[4] benefits to one company shows a successful implementation. etc. i. this allows for inventory to be in proportion to expected short-term sales or consumption rather than to past averages. Typical Inventory Management techniques include Pareto Curve ABC Classification[2] and Economic Order Quantity Management. but unless there is a good understanding of the role of inventory and its perameters." that is. Excess inventory is suboptimal because the money spent to obtain it could have been utilized better elsewhere.1. a much more accurate and optimal outcome. Reduction and elimination of these inventory 'wait' states is a key concept in Lean[5]. both at the business overview and part number level. A more sophisticated method takes these two techniques further.2. The secondary goal of inventory proportionality is inventory minimization. Purpose Inventory proportionality is the goal of demand-driven inventory management. a company may wish to install a complex inventory system. Examples of case studies are very revealing.e. Many of the big MRP/and ERP systems do not offer the necessary inventory planning tools within their integrated planning applications. there is no "excess inventory. In such a case. and thereby closer to achieving the primary goal.) worth of inventory on hand across all products so that the time of runout of all products would be simultaneous. and an effective business process to support that. There are well-proven processes and techniques to assist in inventory planning and strategy. to grocery stores (retailers). By integrating accurate demand forecasting with inventory management. inventory that would be left over of another product when the first product runs out. the system cannot bring the necessary benefits to the organisation in isolation. Accurate demand forecasting also allows the desired inventory proportions to be dynamic by determining expected sales out into the future. Unnecessary inventory adds enormously to the working capital tied up in the business. . replenishment inventories can be scheduled to arrive just in time to replenish the product destined to run out first. and consistently show that the improvement of inventory management has two parts: the capability of the organisation to manage inventory. The primary optimal outcome is to have the same number of days' (or hours'. Too big an inventory reduction too quickly can cause a business to be anorexic. to the product that just ran out. while at the same time balancing out the inventory supply of all products to make their inventories more proportional. For example.2. and even perhaps to consumers through arrangements like factory stores and outlet centers. Principle of inventory proportionality 1. combining certain aspects of each to create The K Curve Methodology[3]. as well as the complexity of the supply chain.(wholesalers). and the way in which it chooses to do so.

Inventory proportionality minimizes the amount of excess inventory carried in underground storage tanks. the burgeoning need for financial reporting after 1900 created unavoidable pressure for financial accounting of stock and the management need to cost manage products became overshadowed. The dominance of financial reporting accounting over . Additionally.2. it was the need for audited accounts that sealed the fate of managerial cost accounting. these storage tanks have a maximum capacity and cannot be overfilled. in proportion to the sales of each grade. and differentiated from the "trigger point" systems where product is reordered when it hits a certain level.3. However. The motorists do not know whether they are buying gasoline off the top or bottom of the tank. 1. This application for motor fuel was first developed and implemented by Petrolsoft Corporation in 1990 for Chevron Products Company. The managers now needed information on the effect of product-mix decisions on overall profits and therefore needed accurate product-cost information. unwanted or stale. Those companies (especially in metalworking) attempted to achieve success through economies of scope . A variety of attempts to achieve this were unsuccessful due to the huge overhead of the information processing of the time. Roots The use of inventory proportionality in the United States is thought to have been inspired by Japanese just-in-time (business) parts inventory management made famous by Toyota Motors in the 1980s 1.2. each stored in dedicated tanks. Most major oil companies use such systems today. One early example of inventory proportionality used in a retail application in the United States is for motor fuel. so it is simply cash sunk (literally) into the ground. Finally. inventory proportionality is used effectively by just-in-time manufacturing processes and retail applications where the product is hidden from view. Excess inventory is not seen or valued by the consumer. In particular. the product is expensive. Applications The technique of inventory proportionality is most appropriate for inventories that remain unseen by the consumer.g. gasoline) is generally stored in underground storage tanks. Motor fuel (e. As opposed to "keep full" systems where a retail consumer would like to see full shelves of the product they are buying so as not to think they are buying something old. nor need they care.3. Inventory proportionality is used to balance the inventories of the different grades of motor fuel. High-level inventory management It seems that around 1880[7] there was a change in manufacturing practice from companies with relatively homogeneous lines of products to vertically integrated companies with unprecedented diversity in processes and products.the gains of jointly producing two or more products in one facility.Integrating demand forecasting into inventory management in this way also allows for the prediction of the "can fit" point when inventory storage is limited on a per-product basis.2.[6] 1.

Inventory turnover ratio (also known as inventory turns) = cost of goods sold / Average Inventory = Cost of Goods Sold / ((Beginning Inventory + Ending Inventory) / 2) and its inverse Average Days to Sell Inventory = Number of Days a Year / Inventory Turnover Ratio = 365 days a year / Inventory Turnover Ratio This ratio estimates how many times the inventory turns over a year. The second formula then creates the new start point for the next period and gives a figure to be subtracted from the sales price to determine some form of sales-margin figure. This is particularly true of accounting remains to this day with few exceptions. which relate to the accounting period: 1. So a factory with two inventory turns has six months stock on hand. so many things that can vary hidden under this appearance of simplicity that a variety of 'adjusting' assumptions may be used. This number tells how much cash/goods are tied up waiting for the process and is a critical measure of process reliability and effectiveness. . and the financial reporting definitions of 'cost' have distorted effective management 'cost' accounting since that time. Hence. they are also fraught with the danger of their own assumptions. These include: • • • • Specific Identification Weighted Average Cost Moving-Average Cost FIFO and LIFO. Cost of Beginning Inventory at the start of the period + inventory purchases within the period + cost of production within the period = cost of goods available 2. Manufacturing management is more interested in inventory turnover ratio or average days to sell inventory since it tells them something about relative inventory levels. There are. which is generally not a good figure (depending upon the industry). high-level financial inventory has these two basic formulas. Whilst these accounting measures of inventory are very useful because of their simplicity. whereas a factory that moves from six turns to twelve turns has probably improved effectiveness by 100%. Cost of goods available − cost of ending inventory at the end of the period = cost of goods sold The benefit of these formulae is that the first absorbs all overheads of production and raw material costs into a value of inventory for reporting. This improvement will have some negative results in the financial reporting. since the 'value' now stored in the factory as inventory is reduced. in fact.

but where it has. analysis and advice to enable the organizations’ service managers to operate effectively. 1. Two popular methods that normally exist are: FIFO and LIFO accounting (first in . attempt to minimize on-hand inventory and increase inventory turns. FIFO vs. To say that they have a key role to play is an understatement. It is also about understanding and actively managing risks within the organization and its activities. the accountants can help the public sector to change in a very positive way that delivers increased value for the taxpayer’s investment. FIFO regards the first unit that arrived in inventory as the first one sold.2. This goes beyond the traditional preoccupation with budgets – how much have we spent so far. LIFO accounting Main article: FIFO and LIFO accounting When a merchant buys goods from inventory. if not all.3. It should be steering the stewardship and accountability systems that ensure that the organization is conducting its business in an appropriate. of the key business processes within the organization. the value of the inventory account is reduced by the cost of goods sold (COGS). That means making the connections and understanding the relationships between given inputs – the resources brought to bear – and the outputs and outcomes that they achieve.1.first out. The ratio may not be able to reflect the usability of future production demand. Inventory management should be forward looking. LIFO considers the last unit arriving in inventory as the first one sold. 1.first out). Which method an accountant selects can have a significant effect on . how much do we have left to spend? It is about helping the organization to better understand its own performance. Business models. This is simple where the CoG has not varied across those held in stock. So often they are the litmus test by which public confidence in the institution is either won or lost. For commodity items that one cannot track individually. VMI and CMI have gained considerable attention due to the success of third-party vendors who offer added expertise and knowledge that organizations may not possess. Finance is connected to most. Role of inventory accounting By helping the organization to make better decisions. Vendor Managed Inventory (VMI) and Customer Managed Inventory (CMI). including Just in Time (JIT) Inventory. by ensuring that success is appropriately recognized in both the formal and informal reward systems of the organization.3. ethical manner. last in . It is critical that these foundations are firmly laid. then an agreed method must be derived to evaluate it. It can also help to incentivise progress and to ensure that reforms are sustainable and effective in the long term. The methodology applied is based on historical cost of goods sold. as well as customer demand.Inventory Turn is a financial accounting tool for evaluating inventory and it is not necessarily a management tool. Finance should also be providing the information. accountants must choose a method that fits the nature of the sale.

few problems arise. Due to LIFO's potential to skew inventory value. rightsize. or otherwise reduce their labor force. like materials and components. Workers laid off under those circumstances have even less control over excess inventory and cost efficiencies than their managers. machinery.3. For example. in turn. When (not if) something goes wrong. He defines inventory simply as everything the organization owns that it plans to sell. As long as similar actual and standard conditions obtain. Using LIFO accounting for inventory." He offers a substitute. which means that processes must operate at higher rates. Many financial and cost accountants have agreed for many years on the desirability of replacing standard cost accounting. 1.3. UK GAAP and IAS have effectively banned LIFO inventory accounting. In adverse economic times. Goldratt developed the Theory of Constraints in part to address the costaccounting problems in what he calls the "cost world. when labor comprised the most important cost in manufactured goods.4. due to the effects of inflation. that uses throughput (money for goods sold to customers) in place of output (goods produced that may sell or may boost inventory) and considers labor as a fixed rather than as a variable cost. This generally results in lower taxation. Standard methods continue to emphasize labor efficiency even though that resource now constitutes a (very) small part of cost in most cases. Increasing inventory requires increased production. Finished goods inventories remain balance-sheet income and book value and. however. and firms in several ways. even though s/he has no control over the production requirement or the problem. The manager appears responsible for the excess. workers. Throughput accounting recognizes only one class of variable costs: the truly variable costs. Standard cost accounting can hurt managers. which vary directly with the quantity produced. a company generally reports lower net income and lower book value. Standard cost accounting Standard cost accounting uses ratios called efficiencies that compare the labour and materials actually used to produce a good with those that the same goods would have required under "standard" conditions. and many other things in addition to the categories listed here. the process takes longer and uses more than the standard labor time.3. Instead of an incentive to reduce labor cost. standard cost accounting methods developed about 100 years ago. throughput accounting focuses attention on the relationships between throughput (revenue or income) on one hand and controllable operating expenses and changes in inventory on . They have not. 1. a policy decision to increase inventory can harm a manufacturing manager's performance evaluation. Theory of constraints cost accounting Eliyahu M. including buildings. called throughput accounting. Unfortunately. but labor-efficiency ratios no longer evaluate managers and workers. found a successor. on taxation. firms use the same efficiencies to downsize.

[8] In 2001. used with Parmesan cheese in Italy. archaeological evidence suggests that it was practiced in Ancient Rome. Obtaining finance against stocks of a wide range of products held in a bonded warehouse is common in much of the world.6. Banks also face problems in valuing the inventory. National accounts Inventories also play an important role in national accounts and the analysis of the business cycle. distressed inventory is inventory whose potential to be sold at a normal cost has passed or will soon pass. In certain industries it could also mean that the stock is or will soon be impossible to sell. for example. or inventory. 1. as collateral to raise finance.g. It is.4. and old newspapers or magazines. This is not a new concept. or have reached a date in advance of expiry at which the planned market will no longer purchase them (e. The possibility of sudden falls in commodity prices means that they are usually reluctant to lend more than about 60% of the value of the inventory at the time of the loan Inventory Management System The system integrates the idea to manage the inventory automatically. inventory report. the system can provide instant . 1.who have little or no control over their situations. meanwhile it can generate sales report. To users. etc. clothing that is defective or out of fashion. Distressed inventory Also known as distressed or expired stock. Some short-term macroeconomic fluctuations are attributed to the inventory cycle. this implies the existence of a reliable network of certified warehouses. Those relationships direct attention to the constraints or bottlenecks that prevent the system from producing more throughput. rather than to people .[10] Inventory credit on the basis of stored agricultural produce is widely used in Latin American countries and in some Asian countries.the other. It also includes computer or consumer-electronic equipment that is obsolete or discontinued and whose manufacturer is unable to support it.5. inventory credit is a potentially important way of overcoming financing constraints. Inventory credit Inventory credit refers to the use of stock. Examples of distressed inventory include products that have reached their expiry date. for example in developing countries where land title may be lacking. 3 months left to expiry). One current example of distressed inventory is the VHS format.[11] A precondition for such credit is that banks must be confident that the stored product will be available if they need to call on the collateral.25 billion due to duplicate orders [9]. Cisco wrote off inventory worth US $2. This is one of the biggest inventory write-offs in business history. 1. Where banks may be reluctant to accept traditional collateral.

The solution was a GUI interface with end user in Visual Basic as front and ORACLE as back end DBMS. Thank you. • • • • • Control heavy routine business transaction Supply chain maintenance Fund maintenance Complex MIS Large Business Data An integrated software solution provided by us to them. Crystal Reports was used to display / view complex MIS as well as daily operational reports. since the system provides easy-to-use interface for users to see inventory levels.information about all inventory items. kindly send us your enquires through our Consulting Requisition form and we will reply accordingly. 1. Inventory Management . Therefore users who manage stock level can immediately solve any shortage problems. the system updates inventory constantly with the help of database management system running as the back end. Adoption of new technology helps management to transmit information over internet with no time. This gives a tool to management for making complex business decisions in less time span and ultimate result was cut in production and maintenance cost. By recording daily sales. Replacement of old software with new one and conversion of data to a world standard RDBMS (Oracle). Inventory Management System/ Supply Chain Management System World biggest Pan Masala Manufacturer wants a solution to control the following area. Cash flow / Fund flow maintenance has become easier now. System Architecture: For more information. ready to be exported in any file format. 1.

Exceptions List Generated Equipment is being Actively used Disposition = ‘R’ Re-deploy Equipment Work Order Pick-Up Inventory Compare to Master Inventory Y Warehouse Inventory Equipment is moved to new location Perform Services Service Order Disposition = ‘T’ Terminate Equipment Work Order Service Order Ready-to-Sell Inventory Purchase Order Release Form Finance Form Equipment is Sold or Disposed of Marketing & Sales End Archive Figure 1.1.1. Asset Management phases and operations Acquisition procedures are established to assist personnel in procurement of software and hardware products. a Master Inventory record is created to describe the newly added equipment and its . Rm 405 Bldg 2.1. Can be sorted by: Equipment Type. Termination. and Location Pick-Up List Equip. Once added to the environment.1. Definition Inventory Management is an enterprise-wide discipline concerned with the identification and tracking of Information Services (IS) hardware and software assets. Redeployment. Acquisitions require “Purchase Orders” to track and authorize the purchase. Disposition. Its main purpose is to ensure that proper justifications are performed and that financial guidelines are followed. Its three main areas of concern are: Acquisition.1. Rm 203 Bldg 1. Type: PC PC PC Disp: A R T Location: Bldg 3. 1. Introduction to Inventory Management 1.1.1. 1. Rm 501 Start Disposition = ‘A’ Acquire Equipment Purchase Order Install Equipment Add to Master Inventory Master Inventory N. while the actual installation of equipment is performed by the Infrastructure or Facilities Management Department.

To ensure the accuracy of the Inventory System. Inventory records can be used to calculate the resale price of existing equipment. Sound and Video Cards. Gramm-Leach-Bliley. or location. CD Drive. the old product is deleted from the original owner's budget and added to the new owner's budget. when planning for an upgrade / replacement or reduction in size. To that end...).).). while not adding too great a burden to company personnel. Should a product be moved in from its original owner. This scrapping process must be certified. The relative importance of the asset is added to the inventory record in a Criticality field (i.). etc. where 1 is "Most Critical") and the current status of the equipment is indicated via a status field (A=Active. so that legal and civil penalties are no longer the responsibility of the terminating firm but rather the scrapping organization. etc. data wipe. then a data wipe operation must be performed to insure that sensitive business. If equipment is being deployed from one person. D=Donated. Whenever equipment is being terminated (even if for donation to charities or employees) a data wipe operation must be performed to eliminate any sensitive information from the hard drive. etc.components (i.e. we . a 40 GB Hard Drive. Pentium IV PC with 512 MB or RAM. Criticality = 1-5. Like all data bases. T=Terminated. a 56 KB Modem and a 10/100 Ethernet Connection. Redeployment procedures are responsible for ensuring that assets are tracked when moved from one location to another and that budgetary considerations are adjusted as needed. HIPAA) Redeployment requests can generate transportation activity (pick-up and delivery of equipment). The Inventory Report can be used to inform buyers of your stock and obtain bids on the purchase of your surplus equipment. Based on this information the contingency planning specialist can plan asset recoveries needed to support critical business operations and the facilities management group can schedule work events associated with equipment status changes (i. personal and/or medical information has been deleted. or A to T.e.e. then the Inventory System is updated to reflect the new location and owner. and service activities associated with the device(s) being moved. from A to R. Additionally. to another. R=Redeploying. If data wiping procedures are not performed in accordance to Department of Defense standards. every effort must be taken to implement processes that maintain inventory data with a minimum work effort from personnel. facilities management activity (disconnecting device. inventory management update. then the company is open to legal and civil penalties as defined in a number of laws (i. reconnecting device. Floppy Drive. The Inventory System is maintained within a data base that ties an asset to its owner and defines the location where the asset resides. the Inventory System will only be effective if its information is kept current. or A to D. or replaced. a certified vendor must be utilized to insure that the computers components are disposed of in an environemtally friendly manner.e.. In this case. Sarbanes-Oxley. The owner's budget will be updated to reflect the asset termination and the asset will no longer be listed when location reports are generated. Termination is responsible for deleting the asset from the inventory when it is discontinued. etc..

or groups of components. Donated (D). Reports can be generated from the Inventory and Asset Management Systems that would project the amount of revenue that can be generated through the sale of surplus equipment. Financial records specific to a single component. . Data used to support configuration diagrams of the hardware and software components contained within specific locations. Inventory Management provides: Up-to-date information about data processing resources through the creation and archiving of records in a centralized repository. Component Status Indicators to identify a component as Active (A).suggest automated form tied to equipment status and criticality changes. or the entire data processing environment. or Terminated (T). with 1 being most critical). Redeployed (R ). Component Criticality definition (1-5. or to define the number of components that have a criticality rating of ‘1’ so that you can project the costs associated with maintaining duplicates of critical equipment at reovery sites. Service records for all components in the inventory. so that facilities management and business continuity planning can adjust their functions accordingly. Combining the two reports would allow you to reroute equipment being scheduled for termination to the Recovery Facility and eliminate the additional costs associated with purchasing duplicate equipment in support of recovery needs.

as needed to support the functional responsibilities of personnel within the finance and contracts management departments. Recovery actions must be implemented to safeguard critical assets. entered into the Inventory Management System. business. This process should be used to drive the facilities management department via form routing when components change status from active to redeploy. environmental.1. Asset criticality must be included with asset descriptive and financial information.2.1. An audit trail of activities associated with equipment status changes and associated actions must be maintained to certify actions and eliminate legal and civil exposures. Asset status must be included in the Inventory Management system. Scope The Inventory Management discipline encompasses all system and data network elements from the mainframe to the server level throughout the enterprise. All mainframe and data network based hardware and software assets must be identified and entered into the Inventory System. of scrap. so that the Recovery Management department is supplied with the information it requires. and industry requirements. terminate. and finally deleted. This section must describe the process by which assets are identified. tracked. donate. . All information needed by personnel to perform Inventory Management functions must be clearly described within this S&P Manual section. so that the component(s) can be serviced in adherence to legal.1. The Standards and Procedures Manual section relating to Inventory Management must be created and published.2. 1. Any changes to these environments must be reflected in the Inventory System. Financial and technical product information must be available through the Inventory System.

Mission The mission of an Inventory System is to provide a Central Asset Repository of information used to define assets and relate the asset to its. This information will provide personnel with data needed to support their job functions. To also perform the functions needed to adhere to legal. A report of equipment and their resale value can be used to aid in planning equipment upgrades and to reduce the “Total Cost of Ownership” associated with equipment. Additional vendor agreements may be required to support transportation and warehousing. 1. and complete tax documents. location. equipment service and reconfiguration requirements.1. Ventilation and Air Conditioning (HVAC) requirements. buyers. because they will have a listing of the assets contained within a location. business.3. Contingency Planning personnel will be able to develop recovery plans for mainframe and office assets contained within the Inventory System. while supplying many personnel with the information they need to perform their functional responsibilities. and scrap dealers. as well as power and floor space needed to support equipment listed in Asset Repository for a specific location. based on the assets relative importance (as stated within the Criticality field). . The Inventory System should be integrated within the everyday functions performed by personnel associated with entering and maintaining asset information.3. Financial Services will be able to budget for asset procurement.1. Surplus equipment may be utilized to support recovery operations. owner. Contracts Management will be able to negotiate vendor discounts and enterprise agreements. for example: Facilities Management will be able to plan Heating. data wipe services and products. Technical personnel will be able to resolve problems more quickly with the information contained within the Inventory System. environmental.1. depreciate assets over time. and relative importance. The system will reduce the effort devoted to asset management. and regulatory requirements associated with equipment redeployment and termination. if needed.

To provide training to personnel responsible for supporting the Inventory Management System. . while ensuring that service level commitments are achieved. Assist in managing the enterprise-wide inventory. To provide a full range of reports that will satisfy informational requirements.4.1. The objectives of Inventory Management are: To identify and track all data processing assets in an Inventory System Repository.1. update and deletion). 1. This process will: Ensure efficient and timely identification of vital corporate assets.4. Plan and control the proliferation of assets across the enterprise. Objectives The objective of Inventory Management is to manage the physical and logical properties of I/S resources and their relationship. To document the Inventory Management System within the Standards and Procedures Manual. To provide Inventory System access to all necessary personnel (data entry. Provide a common repository for asset protection. To define the process by which assets are identified and maintained in the Inventory System.1.

1. All of the functional areas listed above can utilize the information contained within the Inventory Management System's Central Asset Repository of information. it would be possible to obtain a listing of all "Most Critical" resources. .1.5. Through the use of reports generated from the Inventory Management System's Repository. by location and group. This report would then serve as the basis of a Business Recovery Plan. 1. the Recovery Management area could utilize inventory information to identify an assets criticality (especially when the asset's location and owner are identified within the Inventory Management System).5.” Finance Inventory Management Contracts Mainframe Mid-Range PC / LAN Communications Fixed Assets Hardware Software Facilities Vendor Financial Common areas of concern faced by each department Voice Data Network Figure 2: Overview of Inventory Management functional areas. Functional Areas. Additionally. The functional areas that interface with an Inventory Management System are: Inventory Management Departments “ Inventory Management is divided into many separate areas of responsibility.1.

.e. Volume Purchase Agreements. all requests must be via system connected terminal. software. Repository Reports Hardware. 1.1. The utilization of Inventory Management Systems to control the purchase and installation of assets can aid in the control of the business environment. they would call up the Inventory Management System screen associated with Acquisition. Figure 3: Overview of an integrated Inventory Management System. who also ensures that all asset guidelines are adhered to. Financial Management Financial profile of inventory is provided to Financial Management. or fixed assets such as furniture).1. . Fixed Assets. it is necessary to integrate it within the everyday functions performed by company personnel. To ensure accuracy of Inventory. who recommend purchasing techniques that will result in discounts (i.1.6. That is. while assisting in the assignment of personnel to perform asset related work functions. Inventory Management Process Flow USER USER User’s make requests for resources (either hardware. This methodology will result in a work-flow and asset management system. The same types of processes should be available for Redeployment and Termination of assets. by Location and Criticality All reports deemed necessary to support system and informational requests. then it could be possible for the inventory system to determine if the asset is already in surplus. Software. Inventory Management Inventory Control Management Inventory of assets is controlled by the Inventory Control Manager. Enterprise design agreements are validated by this person. when a user wants to order equipment or software. Should a user request the acquisition of a specific type of asset.. or specific vendors). Integrated Inventory Management System To successfully implement an Inventory Management System.6. or if it should be purchased under an existing Volume Purchase Agreement with a vendor.

.). Recovery Management (recovery planning for critical assets and sizing requirements for recovery facilities). 1. SMC Organization Systems Management and Controls (SMC) Batch Management Service Level Management Recovery Management Change Management On-Line Management Inventory Management EDP Security Management Problem Management Configuration Management Vital Records Management Capacity Management Performance Management Figure 4: SMC Discipline Interfaces .1. etc. DASD size.). testing.1. The disciplines interfacing directly with Inventory Management and their functional responsibilities are: Capacity Management (i. Change Management (version and release information. PC memory and speed.7. SMC Discipline Interfaces The Systems Management and Controls disciplines that will interface with the Inventory Management System are illustrated within the diagram listed below. Performance Management (speed and usage information). etc.1. benchmark. .e.7.

.SLR of user processing and service requirements). software.Service Level Management (Service Level Definitions . Configuration Management (hardware. etc.). version and release information. location. power. Problem Management (troubleshooting. pathway.). water.SLD's and Service Level Reporting . HVAC requirements. floor space. etc.

The ideal Inventory Management System should also: Provide financial information related to an asset.8.8.1. from Mainframe based to Data Network based.1. . Production Services. In each case. and Facilities Management. and Supply history information for the asset. Relate the asset to its vendor. Systems Software. Inventory Management disciplines and interfaces The Inventory Management function is responsible for tracking all assets. The Inventory Management System interfaces with the following departments: Finance. that are connected to the data center or data network.1. Contracts. Define the criticality of the asset. and Track the maintenance level of the asset. 1. the Inventory Management Systems must be able to: Identify the asset and its serial number. Associate the asset with its owner and location.

1. This discipline incorporates all hardware and software reconfigurations or updates.2.2. System Within the system area changes to the physical environment are systematically reported through the integrated change process.1.3. The following page contains an overview of the Inventory Management process. or perform product identification which is generally imbedded on PC-type products by the manufacturer. it is advisable that tracking be accomplished through the use of discovery type applications which monitor and interrogate asset changes automatically. 1.2. The vehicle used to control the Inventory Management discipline is Change Management. 1. Process Description The process of Inventory Management receives input from Systems Management Controls (SMC) disciplines and other functions within the I/S organization as well as other areas throughout the enterprise.2.2. Because the complexity of today’s networks makes tracking new acquisitions difficult. This type of tracking would capture vital product data (VPD). 1. Inventory Management inputs can come from either the Network or System area and can include a variety of input methods: 1.2.1. All inputs to the centralized data base will be subject to the change process.1. Without adequate Change Management the integrity of an Inventory Management process cannot be ensured.2.3.2. 1. Inventory Management Process . Network The Network area must account for new acquisitions installed into the configuration.2. These SMC disciplines and functions encompass both system and data network elements and feed the Configuration Management discipline. 1.2.

Recovery Management New Acquisition Asset Re-Deployment Asset Termination Network Alert System Re-Configuration Data Center Record. .PROCESS INPUTS: Service Level Management. Hardware Record. R/O Inventory Repository Data Base System Management Assurance Process To Configuration Management R/W Reports On-Line Viewing Add / Delete / Edit Hard Copy. Problem Management. Capacity and Performance Management. Financial Record. Change Management. while the following illustration provides a Flow Diagram of the Inventory Process. Software Record. or via on-line Display Figure 5: Inventory Management System .Overview of Process The above provides an Overview Diagram of the Inventory Management process. Batch Management. Service Record. System Record. On-Line Management.

2. Inventory Management Flow SMC Disciplines Non-Controlled Entry Data Center Record ? Yes No Create Data Center Record Financials ? Yes No Generate Physical Inventory Reports Controlled Entry Unformatted Asset Request Generate Change Record System Record ? Yes No Create System Record Financial Record ? Yes No Create Financial Record Validate Data Elements Validate Data Elements Create Hardware Software Record Generate Financial Reports No Accepted ? Yes Formatted? Authorized? Yes Update Configuration Data Base No Features ? No Yes Create Features Record Close Change Record Does Config.1.4. 1.4.2. Change ? No Yes Generate Physical Configuration Reports Figure 6: Inventory System Flow Diagram .

Process Flow. Request forwarded to Change Control process for input as a Controlled ACR. ACR accepted and authorized. Non-Controlled ACR Entry: ACR received by any method other than the Change Control process. Problems documented and returned for resolution. Create financial records if appropriate.1. 1. 1. Create system record associated with the asset. Create data center record associated with the asset.2. ACR accepted and authorized.1. 2.3. Request is reviewed locally for acceptance. The process is entered as a Controlled or Non-Controlled Asset Change Request (ACR) as follows: 1. 1. Problems documented and returned for resolution. Confirm all necessary information is available about the asset. 1. Close the change record. Update Inventory Repository data base.2.3. . Review by all I/S organizations accountable for asset control. Create component record associated with the asset. Generate financial reports if appropriate. Create feature records associated with the asset. Generate physical inventory reports and distribute.3. Controlled ACR Entry: Validate all data elements are present in the Change Record. Generate physical configuration reports and distribute.3.

System availability is increased by eliminating the need for an IPL to change the hardware configuration.3. Enterprise Systems Connection (ESCON) Manager enhances user control and manageability in an ESCON architecture environment when changing ESCON Director (ESCD) configurations. Implementation of Inventory Management Efficient processing and operations management start with an integrated approach that links all facets of system management together. System Environment Today the system programmer can define hardware configurations for multiple MVS/ESA operating systems through Hardware Configuration Definition (HCD). Dynamic reconfiguration management allows the support organization to implement system configuration changes without interrupting system service. The changes are entered at a host processor rather than at the local ESCD consoles in the mainframe environment. or to change the software definition for devices. This process must embrace the following areas to be effective: 1. A lack of such data affects the other Systems Management disciplines ability to function. local configuration definitions and in some cases. discovery applications to arrive at inventory information. Updates to the inventory data base require . 1.1. control units.4. and data entry validity checking. 1. HCD and ECSON are highly dynamic tools that can effect configuration changes easily and swiftly. and channel paths.4. and provides the ability to effectively manage a large systems environment.3. Accurate inventory data is vital. The products and tools that comprise the Inventory Management System use data network definition information. while the system environment relies on the change process (which may or may not be fully automated) for accurate input. The automated element of inventory management monitors the enterprise-wide data network processing environment for change. HCD reduces complexity and shortens the time required to successfully define an I/O configuration by providing a panel-driven interface.3.3. there are no automation techniques currently in use which update the inventory data base. However. panel defaults. Each augments the other.3. This ability to dynamically reconfigure works in conjunction with HCD and allows the new system configuration to be implemented without interruption. Inventory Management is just one of the disciplines.3. Vital Product Data.

Data Requirements for Inventory Management To ensure a consistent. we recommend that you begin the initial steps for replacing much of the tedious work of entering and updating configuration data manually. Ethernet. it is important that these interfaces to HCD and ESCON be constantly monitored and proper change control exercised to maintain asset integrity. The technique commonly used to manage networks is to break up the larger networks into smaller. TCP/IP. These facilities are tailored for network operational use and contain information that is pertinent to hardware and software inventories (e. 1. we first define the lines. When dealing with large networks the immediate problems associated with the collection of asset information is enormous and therefore. This logic can be applied to other layouts as well. If the configurations are too complex. SNA.manual intervention.3. and any other network resources.3. It is our primary purpose to reduce the amount of manual work and the possible human errors typically found in current network configuration and asset management processes. subject to significant errors. Network Environment The complexity of the network environment requires an integrated set of facilities to store and display network configuration data for all network resources. a common data model must be built. The typical network is composed of many nodes extending to many different topologies. then connect these lines to the 3745 in another configuration. manageable units. 1. the technique presented here does not provide the Company with the complete automation process for the entire enterprise configuration.6.5. the system can become a collection of small configurations with no relationships established between each other. when defining a large 3745 network. you can proceed to manage several clusters from a higher node in the configuration hierarchy. 1. especially within the enterprise.g.. This allows for greater control and accuracy. as separate configurations.3. Therefore. managing the entire configuration does not necessarily have to be automated from the start. Vital Product Information). On the other hand.6. along with their drops. as described in the previous section. if the configurations are too granular. Although the industry direction is to automate network asset control as much as possible.5. 1. This will ensure a . therefore. centralized and integrated control. including the client/server arena. Rather. This includes OSI. they become impossible to manage or understand.3. Once the management of these clusters is underway. For example.

The figure on the next page shows the interrelationship between component records: 1. Inventory Management Data Model Inventory Management Data Model Data Center Record System Record Hardware Component Service Record Software Component Features Features Hardware Financial Record Software Financial Record Figure 7: Inventory Management Data Model . The structure illustrated in the next diagram allows the description of hierarchical relationships among data centers. or advise the responsible asset area of the missing data elements. along with information about their status and support data. a data base can be built which supports parent/child relationships.3.consistent reporting process to the inventory data base regardless of where the data is stored. By entering descriptions of the hardware and software system components. In the event of incomplete record information.7. components. and financial data. the inventory management area must re-solicit. 1. This reentrant approach provides a disciplined strategy to build a reliable inventory. systems.3.7. service organizations.

the system name. System Record This record contains information relative to each processing system within the processing center. 1. This record should contain the system names by LPAR. emergency phone numbers. This record should contain the name. and contact names. Software and hardware components can refer to this record. a financial type. . Hardware Components For hardware component records a consensus must be reached on the hardware types to be managed. 3. Maintaining service organization records is advantageous when a user is displaying a record of a failing component. operator names. support numbers. The software and hardware components. Product Number Serial Number. and a description. This record contains on-line information about the data processing centers. and system records will refer to this record. location. Generic device type. Hardware and software components can refer to this record. managers. 2. A hardware model record for each hardware type will be created and all common hardware components will be entered using this template. Hardware financial records contain a user financial id. Service Record This record contains the service organization’s data. prime-shift phone number. location codes. This record should contain the following information: Component ID. For software records the same information is required in addition to a license type record entry. 4. Data Center Record. off-shift phone number. 5. and contact phone numbers. Financial Record Helpful information in this record assists in warranty and service incidents. hardware and software representative’s name.The following items are required from asset sources to support an integrated Configuration Management approach. and a description of the service organization. location codes.

Model. Owner. A typical software record should contain the following information: System (application runs on). Contract Type. For example. Component status. including maintenance levels. In some instances a hardware subcomponent record must be entered. Description. Component Criticality Component description. In a centralized Help Desk environment. License Type. Maintenance Vendor. 6. are maintained. Product Number Name. A software model record for each component contains an ID. maintenance level. Software Components For software component records a consensus must be reached as to what level of installed software will be within the scope of the asset data base. are we to account for all application software or just operating system software? The answers to these questions are linked to what kind of information the user support groups require to provide service to the client. Install Date. This provides up-to-date information to the Help Desk personnel about the user environment and adds greatly to their productivity. Renewal Date. This will allow subcomponents to be removed or moved from their hardware component or attached to another component. This record should contain a subcomponent status code and a description. Manufacturer. Vendor.Model. 3726. Serial Number. is the workstation (PC-based) software to be managed? If so. . 3727. external hard disks). Contract type. program type. all user application software. Location. A subcomponent can be thought of as a feature that can be a stand-alone component and has mobility in the inventory (for example. status and a description. Maintenance Level.

Feature Components Record This record identifies associated features and relates these features back to other records. but they make the entry of data easier by allowing the creation of component records from models that hold information common to a number of components (or subcomponents) of the same type. The model capability also provides the ability to build one or many relationships between model features and hardware or software components. Model Component Record The industry uses this type record as a productivity tool to greatly enhance the ability to build large data bases quickly with minimum data entry errors. . 8.7. Model records themselves do not hold configuration data. Features that are common to many components can be contained in a single model feature record that is referred to by many component records.

9. service.3. This allows you to establish connections as you create the records.3. 1. Hardware and software configuration maps. These four records are informational components. system. Collecting. Establish relationships between a component and any problem or change record in the data base. Monitoring and Reporting Data Once the inventory data base has been built it will be used to satisfy the following requirements Determine bypass and recovery procedures when a failing component has been identified. including but not limited to the following: Hardware or software components with related features. 1. and Service reporting for maintenance contracts. 2. Generate reports on specific configuration information.3. and also other components that are affected when a problem occurs. Determine the level of a component.8.9. Search for any components meeting specific characteristics. Monitoring and Reporting Data 1. 1. software). This means they must be created prior to creating the component records (hardware. warranty. It saves time because these records must be defined before they can be referenced in component records. Physical inventory by location.8. and financial records. Collecting Data The Record Hierarchy in the following diagram indicates that component records refer t data center. Inventory Management Record Hierarchy . such as all terminals in a network and the locations to which they are assigned.1. and invoice tracking.3.

Model Component Hardware / Software Parent / Child Relationship Component Hardware / Software Parent / Child Relationship Model Subcomponent Feature Model etc.Inventory Management Record Hierarchy Center. Service and Financial records must be created before you can reference them in the component records Center System Service Financial Hardware / Software Component Model Hardware / Software Component Direct You can create a component from a Model record Hardware Subcomponent Record link relationship to hardware component record. System. Feature Hardware / Software Parent / Child Relationship Connection Hardware / Software Figure 8: Inventory Management Record Hierarchy .

1. trends. Inventory Management provides input to Purchasing in terms of system and network standard asset information.1. Discipline Relationships To ensure the integrity of the process.4. The interface to these functions provides the foundation for strong Inventory Management practices. budget planning. This two-way interface occurs with the approval and submittal of billings for payment. 1. Business Function Interfaces Some of the more common business functions that interface with Inventory Management include: Purchasing This resource manages all information systems requirement identification through the procurement process.4. Accounts Receivable / Payable Department This function collects usage data and bills information System (I/S) expenses to the appropriate users. Security Department . and direction. Inventory Management provides an interface to Strategic Planning by providing insight into device migration patterns. Inventory Management must interface with multiple business and I/S system management functions. I/S Management Committees These groups investigate tools and services to provide policy information and translate that data into recommendations for I/S productivity improvements and services. 1. tracking of project costs. and other activities. Strategic Planning Committees These groups deal with long-range planning and the integration of I/S objectives with the business objectives of the enterprise. It supports accounting. 1.1. Inventory Management will provide input to these groups in terms of product standards and technology strategies. Inventory Management provides financial records as input to the Accounts Receivable / Payable process and vice versa. and the Strategic Planning Committees provide information back to the disciplines as well.4.4.

they must be compliant with the inventory process. Service Level Planning . To ensure accountability of such purchases. 2. provisions should be made for a periodic physical inventory of such groups to ensure a level of inventory integrity. 1.this area identifies the agreement between the I/S organization ad the user community that defines the level of service. User Support Groups Since these groups are responsible for their equipment acquisition. Client Support Services These groups define the services that will be needed to support the I/S clients within the enterprise. Tracking the acquisition of network and computer equipment at the local level can be difficult without their full participation. Within Services Management are two key areas: 1.This area provides a single point of contact for clients to request services and obtain resolutions for problems. Inventory Management provides input about device configurations and security interfaces to this functional area. 2. The service level agreement is also used to define policies for operations and performance management.This function manages the registration or enrollment of people and programs to access controlled I/S resources. . Help Desk .

Facilities Planning Required to participate in the Problem or Change process as they pertain to the physical environment and is accountable for any actions required to comply with the inventory management process. These disciplines and functions and the assumptions related to their tasks are listed below: Change Management Coordinates the various tasks performed in configuration change and testing across the data processing environment. . It is essential that this group provide input to Inventory Management and vice versa.4. and resolving inventory problems.1.4. System Management Interfaces The Inventory Management discipline is dependent upon various disciplines and functions within the enterprise in achieving its objectives. identifying.2. Any changes to the I/S environment that affect Inventory Management are input from this discipline. to ensure changes in physical asset configurations are noted. The Problem Management discipline will provide input to Inventory Management as problems arise that require changes to resolve conflicts. 1. Problem Management Assists the I/S organization in locating.2.

in some cases.1. Editing and browsing capability are available through an on-line menu driven. Asset Management at the System to Server Level The major components that provide the collection and reporting vehicles for Inventory Management from the system level out to the network server level include: VTAM and NetView VTAM and some specialized features of NetView are responsible for maintaining the necessary linkages to the physical asset. front-end that provides restricted security access. if necessary. It should be noted that in some cases conversion utilities have been written to convert these stand-alone environments into a data base file structure. Change.1. Centralized Data Bases All assets and their associated information are stored in a centralized data base. and Inventory Management and what techniques and tools were used to accomplish tasks in the two areas that follow. Inventory Management Tools Inventory Management uses network definition information.5. Vital Product Data (VPD). Those products which are specifically mentioned were approved by the vast majority of participants. 1.1. Network Configuration Application (NCA) / MVS NCA/MVS is a useful tool for migrating existing stand-alone (PC-based) inventory control data bases to host-based formats. Enterprise Physical Connection Tool (EPCT) . but do not specifically mention a product by name. 1. local configuration data bases and. whether it is within the system complex or out to the server level on the network. discovery applications in order to arrive at inventory information.5. The participants represented large corporations with an annual I/S budget of over $100M. We also list major Inventory Management functions that can be fulfilled by any number of products.5.5. 1. The survey solicited information about how they performed Problem. This security is provided through any number of host-based security packages. The following list of Inventory Management tools was accumulated after conducting a general survey of large corporations in the area.

Asset Management at the System to Server Level Creates Configuration Drawings NCS / MVS EPCT Centralized Asset Data Bases NetView VTAM NETVIEW AUTOBRIDGE * Alert / Problem Reporting Creates Configuration Drawings Data Base Repository for all Assets (Mainframe through Data Network) VPD CMDS Collect Data Status Monitor .5.SC31-6124) .EPCT is a useful product for building configuration data bases and producing physical and logical diagrams. However. these integrated products must interface to the tools listed below to facilitate the automation ad centralization of an asset management data base repository.4 (Planning and Reference Guide .Secondary Connection Figure 9: Asset Management at the System to Server Level 1.5. and Inventory Management into a common.Primary Connection S . Change. VTAM Version 3. Industry Standards Centralized Inventory Data Base Repository The industry uses any number of system management products which integrate the entry of Problem.VTAMLST Remote Controller * Serial Number * Type / Model P Remote Terminal * Serial Number * Type / Model 3174 Remote Controller S * Automated / Manual Bridge to Info/Man P . 1.2.2. The figure below illustrates the usage of these tools within the process. centralized data base repository.

Status Monitor Function Collects status information about SNA resources such as hardware data (from VTAMLST) and reports to a centralized data base.SC344336) A component that provides a set of application-to-application interfaces that will provide an effective means of connecting NetView to external data bases. Network Configuration Application/MVS (NCA/MVS) Version 1 (User’s Guide . It provides for collection of information about equipment.4 is a telecommunication access method that works in conjunction with MVS/ESA Version 4 to support non-disruptive addition of channel-connected communications controllers and SNA cluster controllers.Resource Object Data Manager The Resource Object Data Manager will provide services that enable systems and network management. Enterprise Physical Connection Tool (EPCT) (User’s Guide .VTAM Version 3. NetView Ver.SC31-6149) Network Configuration Application/MVS is a configuration application for use on an MVS platform. NetView Bridge Adapter (NetView Bridge Adapter Reference . 6. NetView Autobridge Version 1 (User’s Guide . 2 Rel.SC34-4318) NetView Autobridge will allow the flow of configuration and change data from NetView to a centralized Data Base Repository. has the ability to create configuration representations for components in all types of network topologies. 4. circuits and software. and allows for creation of abstracts to represent relationships of components. These services will be used to create configuration drawings of the asset data base.SC34-4336) Network Manager which will provide: 1.SC230546) This DB2-based asset collection and physical drawing product will provide the capability to draw physical and logical topologies of system and network complexes. 3 (User’s Customization Guide . 3. A utility function transforms this data into the format required by the Resource Object Data Manager Facility in NetView Version 2 Release 3 for graphic views. The facility is used by NetView’s multi-vendor graphic enhancement and automation platform. 5. RODM . 2. EPCT is a locally developed .

application written by the ISSC Corporation in C Language and provides browsing an editing capability on-line. This product can be ordered as an PRPQ through the IBM Corporation. .

5.3.INTERSOLV LANFOCUS . The products listed below are seeing some industry penetration and promise to be viable tools in the coming months ahead. Most host-based products require an additional layer to bridge beyond the server level.1. Downstream Network Server Configuration and Inventory Management The following figure illustrates a downstream view of Network Configuration and Inventory Management.VTAMLST Centralized Configuration Data Base NETVIEW VTAM INDUSTRY PENETRATION PVCS . PVCS Configuration Builder Series (Product of INTERSOLV Corporation) The PVCS series covers all key functional areas for configuration management: Version Management.IBM Machine Serial Number Model / Type WAN SERVER Automation Stops at the Server Level AUTOMATED MANUAL This Layer Requires Additional Software To Support Configuration Management Figure 10: Downstream Network Server and Inventory Management Asset management below the server level has not been widely implemented throughout the industry today.5. 1. WAN environments have their own unique challenges. . Downstream Network Server and inventory Management Data Base Repository VPD DMDS Collect Data Status Monitor .3.

LANFocus Management / 2 (Product of the IBM Corporation) This family of products provides System Management principles to LAN attached workstations having OS/2 and DOS installed. Rebuild an entire system when any component is changed without having to remember complete relationships about elements of the system. The products provide a platform which includes a programming interface for the creation of system management applications. performance management. release Management. graphic or binary files. . and configuration management. text. and Report Generation. These functional areas are available across all types of files including source code. or documentation files. This includes applications which address the disciplines of problem management. or component of a system at any time and prevent inadvertent errors and code changes with version management. With PVCS Series development teams can: Recreate a system.Build Management.

6.6. Information is data entered.1. . Inventory Manager Responsible for maintaining the Inventory in a current and accurate state. or entered via automated tools.6. 1.1. If automated tools are used.6.2.6. Interfaces with Systems Management disciplines and Financial department. Roles and Responsibilities 1. 1. Role is responsible for both mainframe and network resident devices and software components. Inventory Clerks Responsible for maintaining the Inventory Data Base Repository and for guarantying the information contained within the Repository is accurate and in a current state. 1.2. 1.6.1. then clerks must be knowledgeable in program products used as a tool.

7. because Inventory Management is performed by many various groups (i. Utilize a “Criticality” indicator to relate assets and their criticality for disaster recovery purposes.1. mainframe. 1. etc. communications. Utilize Automated Tools and Front-end to the Inventory Repository. Lease and Contract Maintenance.1..2.7. Integrate the Inventory Repository with the everyday asset functions performed by personnel. Formulate a committee to investigate methods for improving Inventory Management and implement the most rewarding suggestions from the committee.7. When migrating to a centralized repository. redeployment. by type and costs.7.7. Asset Redeployment. or termination of assets will have to accomplished through the automated system. Process Evaluation 1. so that any acquisition. 1. such as: Asset Acquisition. 1.2. A consolidation of these data bases into a centralized Inventory Repository should be planned. .).e. etc. Asset Termination. automated tools and interfaces should be developed. data network.7. 1. Volume Purchase Agreements. This will allow for reports that list all most critical resources for a specific location. This will reduce the effort presently performed by personnel and guaranty the accuracy of the Inventory repository. Present System Weaknesses There is presently no Centralized Repository for asset information. Recommendations for Improvement Create a Centralized Repository of Inventory information.1.

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