The document discusses inventory reconciliation processes and procedures. It provides an overview of reconciliation basics, the paperwork and reconciliation process, and contacts. Timely paperwork submission and prompt issue resolution are critical for staying current on reconciliations and avoiding costs. The goal is to reconcile all inventory locations monthly by having the operations manager resolve any issues within 5 business days of receiving the reconciliation report.

1. Prepared by Finance xxx xxx Training - Reconciliation’s -

3. Introductions

4. Reconciliation Basics

7. Timely Paperwork and prompt issue resolution are the 2 critical factors in staying current on reconciliation’s Paperwork Issue Resolution = $ $ $ $ $

8. Paperwork

10. Reconciliation Process Overview

11. Reconciliation Process Overview Day to Day Business Monthend Paperwork sent to Acct Accounting Reconciles Issues Forwarded, Resolved (Almost perfect world)

12. Types of Reconciliation Issues Day to Day Business Monthend Paperwork sent to Acct Accounting Reconciles Shrink Sales or Billing Receiving/Other Types Explanation Sales (Customer Billings) that should have been billed, but were NOT, by the warehouse, xxxxxx or both. When shrink is taken at a warehouse (via paperwork sent in to Acct), the Operation Manager needs to signoff on an SAR form to adjust inventory. Receivings that should have been processed, but was NOT, by the warehouse, xxxxxxx or both. Issues Forwarded, Resolved

13. Reconciliation Process Overview Day to Day Business Monthend Paperwork sent to Acct Accounting Reconciles Operations Manager shrink Billing Issues Accounting Recv/ Other ASC As part of the reconciliation process Accounting will determine where issues need to be forwarded

14. Accounting will forward issues using the Inventory Reconciliation Report via Email Illustrative Only Note that 2 of the 6 items on the illustration do not need to be resolved by the ASC The Reconciliation Process Assumes Issues are resolved by the ASC unless otherwise communicated

16. The schedule below lists the types of paperwork sent from xxx warehouse locations (OPIs) and the appropriate destination Fax to ASC then ASC Faxes to Agriliance Accounting Fax to ASC then ASC Faxes to Agriliance Accounting

17. Our Goal for issue resolution is with in 5 business days of receiving the Inventory Reconciliation Report OPI Paperwork ASC Issue Resolution = $ $ $ $ $

18. Contacts

19. Accounting Contacts X5167 X5331 X5419 X5187 X5336

20. OPI Procedures for Taking Shrink Involves OPI Involves OPI Involves OPI Involves OPI Reference Appendix A for an example of an Inventory Activity Report