St. Michael’s Laundry Annual Inventory Process

1. St. Michael’s Laundry Annual Inventory Process

2. St. Michael’s Laundry is responsible for maintaining the University’s $461K bed/bath and table linen inventory. Responsibilities include: cleaning, maintenance/repair (when possible) and replacement (keeping accurate par levels ensuring uninterrupted service to departments). We are administrators of the linen purchasing account, however, new/replacement linen purchased is charged to the University linen account – (not the laundry budget).Annually each June the laundry conducts a physical inventory of each type of linen. The inventory process takes 5-6 FTE’s approximately 2-3 eight hour days. A physical inventory is conducted at approximately 35 departments who utilize University owned linen.

3. 2 weeks prior to the inventory – a letter is generated to each department advising them of the inventory day, the last day for linen orders and the last day for soiled linen to be picked up (from that point on – the department is responsible for counting all linen left in the department until inventory is complete and we resume normal pickups and deliveries). • TO: Linen Rental Customers • From: Saint Michael’s Laundry & Dry Cleaning • Date: May 19, 2005 • Subject: Yearly Linen Inventory On Wednesday, June 15, 2005 Saint Michael’s will conduct our Yearly Linen Inventory of all University linen. We hope that with this advance notice you will have time to call about any questions you may have. There will also be a brief reminder letter sent out the week before inventory. Janet Roempagel will again be the coordinator this year, and will be aided by a team of three employees. If you have any questions concerning the counting, storage, and use of the University linen please contact her at 631-4226. Our goal is to do this as quickly and efficiently as possible, with the least amount of disruption in your schedule. Thank you in advance for you help and cooperation. Michael J. Klosinski Janet S. Roempagel Director St. Michael Laundry Store Room Coordinator

4. Approx. 1 week before inventory, the linen storeroom coordinator generates an inventory count sheet for each department according to their linen ordering history (only listing types specific to their needs). The departments could be given as many as 40 forms (one for every occupied room). We schedule a date for the department to do the physical inventory – they are instructed not to use the form before the specified day. Notre Dame Fire Department Room Number _________________________

5. On inventory day – the inventory team arrives and takes physical counts of each storeroom. The storeroom coordinator provides inventory control tags to the team (2 part tags). The team counts the linen and leaves 1 part of the tag with the linen and keeps the 2nd part (should major discrepancies arise – a team member will return to the facility and re-check the count and check the number on the inventory tag).

6. The storeroom coordinator uses an inventory workbook (designed by Audit & Advisory Services). On this Tag Listing worksheet (a pivot table), each linen item is assigned an inventory #. The coordinator enters the total item count into the item # line.

7. The Tag Control work sheet discloses number of tags (or count sheets) issued for each department.

8. Departments are charged back for damaged linen (typically discovered during the soil sort process). Damaged linen is described as: damage to linen that is easily recognizable misuse of linen such as burns, holes (caused by tugging while removing pins, staples, nails, table legs, etc.) excessive candle wax, intentional stains (such as ink/cleaning solutions/shoe polish, etc.) and mildew – linen should be scheduled for return immediately after use (especially colored linen that we cannot treat with whiteners). Damaged Linen & Ragouts

9. Ragouts are kept track of each month by the storeroom coordinator. Ragouts are described as: linen that shows wear as a result of meeting it’s normal life expectancy. When the production crew sees a piece of linen that shows significant wear – they bring the linen item to the coordinator. The coordinator retains the item until the end of the month and then removes the total items from inventory. St. Michael’s is charged for any linen removed from inventory – regardless of the reason.

10. The Location Count Analysis worksheets aids in calculating total inventory

11. Part of the inventory workbook is the Location Profile Sheet – this sheet aids in giving the inventory taker pertinent information about what type of linen they will be counting, where the linen can be found and who the department contact is.

12. The final workbook is sent to Audit and Advisory Services for final calculation.The workbook is then sent to the laundry director for final review/adjustments. After final approval – Audit & Advisory Services generate a standard charge form and the laundry budget is reconciled accordingly.