Inefficient Inventory and Warehousing Practices
This audit sought to evaluate the City’s current inventory management practices related to warehousing, including the use of technology to quickly track inventory by location, and maintain accurate, up-to-date inventory records. We also conducted a follow up review on issues noted in a 2010 audit of Citywide Fixed Assets and Equipment. This prior audit found that departments did not properly account for equipment in the City’s systems; furthermore departments did not update fixed assets and equipment inventory records in a timely manner when equipment was acquired, transferred or salvaged. These problems resulted in inaccurate and unreliable asset tracking systems. Several items costing $938,000 were not located, and departments had not conducted required physical inventories of equipment.