Page 68 - DMGT553_RETAIL_STORE_MANAGEMENT

Unit 4: Store Opening and Closing

The receiving package documentation initiates the payment process, as accounting staff uses Notes
this documentation to reconcile against the purchase document and supplier invoice. This
documentation also provides the material necessary for the buyer to perform any post-award
activities, including closing out the purchase or conducting follow up activities with the supplier
regarding outstanding or incorrect deliveries.
Failure to provide all required documentation and follow all related policies and procedures
ultimately delays supplier payments unnecessarily and could result in the department paying
late payment penalties.
Inspecting is an act of examining goods that have been delivered to determine conformance to
what was ordered via the purchase document. In some cases, the acquisition may require
specialized skills or expertise in examining the goods to determine conformance.

Example: Completing an inspection or performance test, the department provides the
supplier a notification letter confirming that the inspection/test has occurred, the equipment
passed the inspection/test and the department accepts the product.
Departmental receiving and/or designated staff (dependent upon the goods received and whether
or not staff with specialized expertise is necessary), should, upon acknowledging receipt of an
order, conduct an inspection for the following minimum conditions:
Verify that what was ordered conforms to purchase document documentation (Statement
of Work, specifications, attachments, etc.), including the product description, model, brand
and product numbers.

Verify the quantity ordered against the quantity shipped or delivered.
Inspect for damage or breakage.
Check for operability/functionality.
Confirm instructions regarding special handling or packaging were followed.
Verify that the unit of measurement count is correct (e.g. if the unit of measurement on the
purchase document is one dozen, count 12 in the unit package).
Verify that delivery documentation (packing slip, certifications, etc.) is acceptable.
Verify that packaging integrity is preserved (no leakages, damages, etc.).
Verify that perishable items are in good condition and expiration dates have not been
exceeded.
Inspections should be completed within a reasonable amount of time. If a department knows
that the inspection will not be immediate, then the purchase document must provide when the
inspection will occur and how it will be accomplished.
Departments determining that the supplier will inspect the goods on the state’s behalf (this may
occur in shipments to multiple field locations and where set-up and/or installation services are
required), will describe in the documentation what activities will be performed. Documentation
may include a standard installation checklist for the supplier to complete and provide to a state
representative upon completion of the tasks. Departments are advised to document all inspection
results and provide the results to the department procurement office for filing within the
procurement file.
The document should, at a minimum, identify what action was performed, who was in attendance,
both department and supplier personnel by name and title, when and where the inspection
occurred, and the inspection results. Documentation shall be retained within the procurement
file.

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