Asset, Attractive Items and Inventory Management
Document Currently Under Review
Current Status: Sent For Approval - with Sponsor 5 February 2019
The University has a significant investment in its fixed assets, portable and attractive items and inventory. The Financial Management Act 1994 establishes the framework under which the University must operate to ensure that this investment is properly managed, controlled and recorded.
This Policy applies to all property defined as a fixed asset, portable and attractive items and inventory. All staff who purchase, acquire, dispose of, use, keep and/or manage/allocate these assets and items. Portable and attractive items are purchased by University funds, irrespective of the funding source for the acquisition or the settlement method, and includes property gifted or donated to the University.
The University maintains a central record of fixed assets within the Finance Directorate. A record of assets and their values is required to:
a. provide information to operational units as to the assets under their control;
b. provide information for management decision-making purposes;
c. provide information for external reporting purposes; and
d. enable the University to calculate depreciation and losses/gains on the sale of assets to allow us to comply with Australian Accounting Standards.
This central record of Fixed Assets is commonly known as the Asset Register, which lists such details as description of the asset, its location, cost, and current depreciated amount, accumulated depreciation, its estimated useful life and serial number.
The fixed assets of the University are classified under the following headings:
a. land (all land purchased, donated, leased or held on trust eg: Crown Land or land held by the Minister or
Department is recorded). Land acquired without cost is recorded at valuation (at the date of acquisition);
b. buildings and infrastructure (car parks, roads and underground services);
c. Library collection (comprises books, manuscripts and tapes etc.);
d. works of art (include paintings, sculptures and tapestries) and precious objects (includes items of historical significance);
e. vehicles (includes sedans, utilities, buses and grounds vehicles);
f. leasehold improvements;
g. Furniture and fittings, plant and equipment and computer equipment;
h. Integral plant (Includes buildings and inclusions such as ducted air-conditioning, electrical and plumbing installations.
Each Portfolio, School or Section will maintain a local Portable and Attractive Items Register to record the receipt, movement and disposal of non-consumable items of a portable and attractive nature. Control over and safe custody of a "Portable and Attractive Item" remains the responsibility of the Portfolio/School or Section who makes the purchase decision and the Associate Director Financial Accounting & Systems, within the Finance Directorate.
The local register will record the following information:
- Date of Purchase
- ID Number
- Description of Item
- Serial Number
- Responsible Area
- Assigned Custodian
- Cost (GST Exclusive)
- Disposal Date
- Disposal Method
Inventory Control - The Finance Directorate along with Portfolios, Faculties and Sections must nominate a staff member who is responsible for conducting and coordinating local stocktakes. Stocktakes in each Portfolio, School and Sections should be conducted on an annual basis, with the exception of FedUni Living where a rolling stocktake is to be conducted throughout the year.
Effective stock control produces the following outcomes:
- Assess the performance of products
- Monitor and limits wastage
- Maintain stock in good condition
- Monitor customer preferences
- Maintain stock security
- Delegations- Contract, Financial, Staffing and Tender Policy
- Purchasing, Procurement Policy and Procedures
- Inventory Control Register (Finance only)
- ICT Asset Disposal Process
- Asset Register (Finance Only)
- Portable & Attractive Items Register
- Assets on Loan Register
The Associate Director Financial Accounting & Systems is responsible for the development, compliance, monitoring and review of this Policy. He/She is are also responsible for putting in place systems and procedures to correctly account for the fixed assets of the University and for maintaining the Asset Register.
Each Portfolio, School or Section will maintain a local Attractive Items Register to record and receipt movement and disposal of non-consumable items of a portable and attractive nature. This register will be subject to an annual review by the Finance Directorate.
Stock and Inventory control within the FedUni Living Directorate will be co-ordinated by the Director and the Associate Director, Financial Accounting & Systems.
All University staff who are involved in the purchasing, disposal, using, keeping, allocation and/or management of Portable and Attractive items are responsible for maintaining an up- to- date knowledge of this Policy and its Procedures, to ensure the University can comply with legislative obligations regarding the holding and disposal of University property.
Although Portable and Attractive items are assigned to a custodian, the item remains the property of the University at all times.
The Asset, Attractive Items and Inventory Management Policy will be communicated throughout Federation University via:
|Title||Location||Responsible Officer||Minimum Retention Period|
|Asset Disposal Form||Finance||Chief Operating Officer/CFO||7 years|
|Portable & Attractive Item Register||Finance||Chief Operating Officer/CFO||7 years|
|Inventory Control Register||Finance||Chief Operating Officer/CFO||7 years|
|Asset Acquisition Form||Finance||Chief Operating Officer/CFO||7 years|
|Register of Asset on Loan||Finance||Chief Operating Officer/CFO||7 years|