SITXINV401
Control stock

This unit describes the performance outcomes, skills and knowledge required to process stock orders, maintain stock levels, minimise stock losses, manage stocktakes and maintain all documents that relate to the administration of any type of stock.

Application

This unit applies to the tourism, travel, hospitality and event industry sectors.

The unit is relevant to organisations where stock control is an integral and essential part of business operations, and where there are complex ordering and control issues to be considered. The unit is not appropriate for situations where stock management is very simple, such as controlling stationery supplies in a small office.

It applies to stock control personnel who operate independently, have responsibility for others and make a range of decisions on the overall administration of stock.


Prerequisites

Not applicable.


Elements and Performance Criteria

Elements describe the essential outcomes of a unit of competency.

Performance criteria describe the performance needed to demonstrate achievement of the element. Where bold italicised text is used, further information is detailed in the required skills and knowledge section and the range statement. Assessment of performance is to be consistent with the evidence guide.

1. Maintain stock levels and records.

1.1 Use stock control systems and equipment to administer all stock control and ordering processes.

1.2 Monitor and maintain stock levels to meet organisational requirements.

1.3 Monitor stock security and adjust procedures as required.

1.4 Inform colleagues of their individual stock ordering responsibilities.

1.5 Maintain records of stock levels and create reports according to organisational procedures.

1.6 Monitor stock performance, and identify and report fast or slow selling items.

1.7 Monitor and adjust stock reorder cycles.

2. Process stock orders.

2.1 Process orders for stock according to organisational procedures.

2.2 Maintain stock levels and record current accurate details.

2.3 Check and record incoming stock against purchase and supply agreements.

3. Minimise stock losses.

3.1 Regularly check the storage of stock and ensure its protection.

3.2 Identify, record and report stock losses.

3.3 Identify avoidable losses and establish reasons for them.

3.4 Recommend solutions and implement procedures to prevent future losses.

4. Follow up orders.

4.1 Monitor the delivery of stock to ensure agreed deadlines are met.

4.2 Liaise with suppliers to ensure continuity of supply.

4.3 Resolve routine supply problems or refer to appropriate person for action.

4.4 Distribute stock within the organisation according to required allocations.

5. Organise and administer stocktakes.

5.1 Organise stocktakes at appropriate intervals.

5.2 Allocate stocktaking responsibilities to staff and supervise the operation of the stocktake.

5.3 Produce accurate stocktake reports within designated timelines.

Required Skills

Required skills

communication skills to:

liaise with suppliers about deliveries and discrepancies

discuss reasons for stock losses with staff

provide clear directions to staff about their stocktaking responsibilities

critical thinking skills to analyse stock performance, and identify fast or slowselling items

literacy skills to:

read and interpret supplier purchasing agreements, purchase orders, records of incoming stock and organisational procedures

write detailed reports on stock levels, performance, losses and stocktakes

numeracy skills to calculate supplier costs and complex order costs, reconcile incoming stock and invoices against purchase orders, calculate complex details of stock on hand and stock losses and produce complex numerically based reports

planning and organising skills to efficiently order and maintain stock so that stock levels meet organisational requirements

problem-solving skills to identify reasons for stock losses, recommend solutions and implement procedures to prevent future losses

teamwork skills to direct staff on ordering responsibilities and supervise staff participation in stocktakes

technology skills to use:

a computer and keyboard

the system capabilities and functions of a stock control system

electronic equipment used for stock control.

Required knowledge

principles of stock control, including:

rotation and replenishment

product life cycle and maximising the use of all stock

checking for slow moving items

segregation of nonfood items from food items that have potential to cross-contaminate

for the specific industry sector:

different types of computer stock control systems used, their functions and features

electronic equipment used for stock control; their functions and features

stock security systems

types of storage and their suitability for different kinds of stock

methods to monitor and maintain stock levels

for the specific organisation:

relevant stock, including product life and storage requirements for specific goods

departmental or individual stock ordering responsibilities

full content of stock control and security procedures

sources of information on negotiated cost of supply, contractual arrangements and preferred supplier arrangements

full content of stock ordering procedures and documents

stock reorder cycles

stock level reports

stock performance reports

stock loss reports

full content of stocktake procedures, documents and reports

reasons for stock loss and damage and methods to control these.

Evidence Required

The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.

Overview of assessment

Critical aspects for assessment and evidence required to demonstrate competency in this unit

Evidence of the ability to:

order, control and administer continuous and efficient supply of a diverse range of stock

monitor and maintain stock levels over a stock life-cycle period which includes a stocktake

produce and distribute multiple and diverse stock control reports

complete stocktakes

integrate, into daily work activities, knowledge of stock control procedures

complete stock order and reporting activities within commercial time constraints.

Context of and specific resources for assessment

Assessment must ensure use of:

a real or simulated tourism, hospitality or event industry stock control environment where stock levels are monitored and maintained

computers, printers and stock control software systems currently used by the tourism, hospitality or event industry

electronic equipment used for stock control

a diverse and comprehensive range of tourism, hospitality or event industry stock items that are monitored and maintained

current commercial stock control procedures and documentation for the ordering, monitoring and maintenance of stock.

Method of assessment

A range of assessment methods should be used to assess practical skills and knowledge. The following examples are appropriate for this unit:

direct observation, using role plays, of the individual:

resolving stock delivery issues with suppliers

supervising the operation of a stocktake

projects and activities that allow assessment of the individual’s ability to:

process stock orders

monitor and maintain stock levels over a stock life-cycle period which includes a stocktake

review of reports prepared by the individual:

stock level

stock performance

stock loss

use of problem-solving activities so the individual can suggest methods for minimising stock losses

written or oral questioning to assess knowledge of the principles of stock control, procedures for stock management and stocktakes

review of portfolios of evidence and thirdparty workplace reports of onthejob performance by the individual.

Guidance information for assessment

The assessor should design integrated assessment activities to holistically assess this unit with other units relevant to the industry sector, workplace and job role, for example:

BSBWRT401A Write complex documents

SITXMGT401 Monitor work operations

SITXWHS401 Implement and monitor work health and safety practices.


Range Statement

The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.

Stock control systemsmay involve:

bin cards

imprest

integrated pointofsale systems

ledgers

stock control procedures, template documents and reports for:

ordering

levels

loss

performance

monitoring of quality

receipt

reorder cycles

rotation

security

stocktakes

valuation

wastage

storage requirements for different kinds of stock

use of :

electronic stock control equipment

stock control software systems.

Stock may include:

alcohol

cleaning agents and chemicals

customer travel products:

luggage labels

travel bags

travel wallets

tickets

vouchers

event supplies

food:

dairy products

dry goods

frozen goods

fruit

meat

poultry

seafood

vegetables

fuel:

aircraft

coaches

hire cars

vessels

general stores

housekeeping supplies

linen

merchandise

non-alcoholic beverages:

mixers

juice

soft drink

tea coffee

uniforms.

Process orders may involve:

any method of ordering:

electronic

email

on-line

telephone

face-to-face

placing an order for future delivery

purchasing goods face-to-face and taking immediate delivery.

Protection may involve:

avoiding cross contamination

correct application of humidity and temperature controls

correct ventilation

securing stock

storing stock in correct location and conditions to avoid damage

treating pest and vermin infestations.

Stock losses may involve:

inappropriate storage conditions

lack of rotation leading to product deterioration

overstocking

pests or vermin

theft.


Sectors

Cross-Sector


Employability Skills

This unit contains employability skills.


Licensing Information

No licensing, legislative, regulatory or certification requirements apply to this unit at the time of endorsement.