HHS Materiel Management (Supply) Review Guide - Exhibit 4-2
Scoring Summary
The scoring summary provides an assessment of the overall quality of the materials management (supply) activity.
A score of 100 is the maximum that may be achieved.
The findings described in sections IV and V of the review report summarize any weaknesses found by the reviewers in the management and operation of the materials management (supply) activity.
Points are assigned to each finding based on the extent to which the related weakness adversely impacts the ability of the materials management (supply) activity to maintain effective management control, perform essential functions in an effective and efficient manner, and implement the applicable government-wide, HHS, OPDIV and local policies and procedures.
The reviewers will determine the overall score by subtracting from 100 the cumulative number of points assigned to the findings.
The categories of findings and the number of points assigned to each category are as follows:
Finding Points
Category 1 - Critical Weaknesses 50
Category 2 - Administrative Weaknesses
A) Moderate Impact 5
B) Low Impact 2
CATEGORY 1 - Critical Weaknesses:
Critical weaknesses, individually or collectively, are so serious and/or wide-spread that they undermine the integrity of the management control system and will cause the materials management (supply) activity to be rated as substantially below standard. Examples of these findings may include the lack of accountability for and control of the materials management (supply) inventory; failure to document and monitor materials management (supply) transactions; failure to maintain an audit trail; failure to conduct inventories; and failure to safeguard supplies.
The reviewer will subtract 50 points for each finding documented under this category. In addition, the weakness must be considered for possible classification as a Material Weakness under the Federal Managers Financial Integrity Act, pursuant to the criteria set forth in Part IV, Alternative Management Control Reviews.
CATEGORY 2 - Administrative Weaknesses:
A) Moderate Impact
This category consists of weaknesses that while representing inefficient or wasteful practices and/or a potential for the loss, damage, or destruction of supplies is not likely to cause a loss of management control over the materials management (supply) activity. Examples of these findings may include failure to establish and monitor performance standards; ineffective or untimely processes for the screening and disposal of excess stock; failure to provide training; lack of adequate separation of responsibilities; and, the lack of effective procedures for rotating stock.
The reviewer will subtract 5 points for each finding determined to have a moderate impact on the quality of the materials management (supply) activity.
B) Low Impact
Weaknesses which do not threaten the management control of the materials management (supply) activity and do not meet the criteria for Moderate Impact as described above are considered to have a low impact on the overall quality of the materials management (supply) activity. Examples of these findings include failure to designate an accountability officer in writing; failure to provide appropriate space (location, layout, size) for the materials management (supply) facility to support efficient operations; lack of procedures for customers to notify the materials management (supply) activity of damaged shipments; and failure to file accurate or timely reports.
The reviewer will subtract 2 points for each finding determined to have a low impact on the quality of the materials management (supply) activity.
Overall Score
The Scoring Summary for the materials management (supply) activity is included in the report. The overall rating is determined by the following scale:
Numerical Rating Verbal Rating
0-59 substantially below standard
60-69 below standard
70-79 meets standard
80-89 exceeds standard
90-100 substantially exceeds standard
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