1、Designation: E 2131 01Standard Practice forAssessing Loss, Damage, or Destruction of Property1This standard is issued under the fixed designation E 2131; the number immediately following the designation indicates the year oforiginal adoption or, in the case of revision, the year of last revision. A
2、number in parentheses indicates the year of last reapproval. Asuperscript epsilon (e) indicates an editorial change since the last revision or reapproval.1. Scope1.1 This practice covers the assessment of loss, damage, anddestruction (LDD) of property, assets, or material. LDD occurswhen such proper
3、ty is found to be missing, damaged, ordestroyed. Such discoveries often are made as a result of aphysical inventory, an analysis of material used, or routineaudits.1.2 Some occurrences of damage and destruction are theresult of natural disasters or other incidents beyond the controlof the company, a
4、gency, or institution, and are not subject tothe standards in paragraph 7. However, the reporting of suchinstances in accordance with paragraph 8 is still required.1.3 Some occurrences of LDD are a result of naturaldegradation or other incidents of fair wear and tear and are notaddressed as a part o
5、f this practice.1.4 Loss, damage and destruction, while three completelydifferent occurrences, are addressed as one in this standard. Forthe purpose of this standard, reporting and evaluating loss,damage and destruction are the same.1.5 Loss, damage and destruction are key aspects of riskmanagement.
6、 Projecting the possibility or probability of LDD,reporting and managing, and minimizing LDD is a critical andeconomic factor in the success of any endeavor.2. Referenced Documents2.1 Risk Matrix:DLAD 5000.4, Chapter 7.1, Contract Property Management,May 20002.2 Risk Management:The NPMA Standard Pro
7、perty Book, First Edition, July19992.3 Material Management and Accounting System(MMAS):242.72 and 252.242-7004 Department of Defense FederalAcquisition Regulation Supplement, January 1, 20003. Terminology3.1 Definitions of Terms Specific to This Standard:3.1.1 agencygovernmental agency, regardless o
8、f level(federal, state, or local).3.1.2 companyfor-profit organization.3.1.3 institutionnot-for-profit, non-governmental organi-zation.3.1.4 customer propertyproperty in the possession of anentity to which it does not have title, e.g., items received forservicing, repair or refurbishment, or items r
9、eceived for inte-gration into a higher assembly. Customer property does notnormally include assets under a lien, such as land, to which titleshould or could eventually pass to the entity.3.1.5 riskthe chance of loss, or the possibility of loss, orthe probability of loss or the uncertainty of loss, d
10、amage,destruction or theft that surrounds an asset.NPMA Standard Property Book3.1.6 risk managementunderstanding the underlying prin-ciples of risk, recognizing those instances where a risk existsand acting to control those risks based upon sound economicprinciples and practices. NPMA Standard Prope
11、rty Book3.1.7 high-risk propertythat property either regulated bylaw (e.g. pharmaceuticals, medical supplies, firearms andammunition, hazardous materials/waste) or in any way ispotentially dangerous to public health or security.3.1.8 Risk degrees and factors:3.1.8.1 high risksignificant, recurring L
12、DD, immediatecorrective action is required. More than a 5 % variance.3.1.8.2 medium risksignificant LDD which does not re-cur, or recurrent LDD of low value, corrective action isrequired. A 2 % to 5 % variance.3.1.8.3 low riskisolated, low value instances of LDD,continued monitoring is recommended.
13、Less than a 2 %variance.DLAD 5000.44. Significance and Use4.1 LDD analysis can be an indicator of the adequacy of thecontrol and security exercised over the assets in the possessionof or under the cognizance of a company, agency or institution.Excessive LDD can indicate weaknesses in awareness ofcon
14、trol processes, physical security, procedures, and the like.1This practice is under the jurisdiction of ASTM Committee E53 on PropertyManagement Systems and is the direct responsibility of Subcommittee E53.04 onReutilization and Disposal.Current edition approved Jan. 10, 2001. Published February 200
15、1.1Copyright ASTM International, 100 Barr Harbor Drive, PO Box C700, West Conshohocken, PA 19428-2959, United States.4.2 LDD creates concerns regarding effectiveness and effi-ciency indicating a negative impact on profitability or mission.Excessive LDD increases risk, and indicates at least a potent
16、ial,if not real, weakness in procedures processes, and control.5. Procedure5.1 Upon discovering or determining LDD (e.g., vehicledamage, theft, negligence, misuse of property), report it assoon as possible, but not longer than 24 hours after theoccurrence. Report LDD to a cognizant functional area i
17、n thecompany or institution such as security.5.2 If the situation warrants, investigate LDD and prepare awritten report. Submit the report within 30 calendar days, whenpossible. If not all the facts have been established within 30days, prepare an interim report and submit it to the cognizantfunction
18、al area. (See Section 8.) A warranted situation shouldbe determined in accordance with paragraph 5.4 and Section 7.5.3 Investigate excessive LDD, analyze the cause(s), andimplement corrective action. Factors affecting the investigationinclude, but are not limited to, the circumstances surroundingthe
19、 LDD, the cost of repair or replacement, insurance consid-erations, necessary corrective actions, and any other factorsthat could affect a final disposition of the LDD.5.4 Examine LDD in the light of the type(s) of property orassets under consideration. For example, the LDD of capital-ized property
20、may merit more scrutiny than that of inexpensivematerial required for production. Likewise, inexpensive buteasily pilfered items may require more oversight than material,but less oversight than capital. Highly pilferable and expensiveitems, such as precious metal, may require more oversight thancapi
21、talized property.5.5 For Government accounting and in accordance withGenerally Accepted Accounting Principles losses or impair-ments must be recognized as they occur.6. Calculation of LDD Ratios6.1 Method 1: Overall PictureDivide the annual (fiscalyear) losses by the average mount of like property (
22、capital,material, or customer-owned) on hand (annual losses/averageamount of like property).6.1.1 For example, if the average monthly amount duringthe fiscal year of capital assets on hand is 10,000 line items at$140 million, and losses for the same year equal 100 items at$200,000, the loss ratio fo
23、r capital assets is 1 % line items and0.14 % dollars.6.2 Method 2: Instantaneous ViewCalculate LDD at theend of an inventory by comparing inventory results withrecords. Include this analysis as part of the inventory recon-ciliation process. This method can be applied to the varioustypes of material
24、inventoried, or to any one particular type oritem of inventory (such as a particular line item of material).7. Acceptable LDD Ratios7.1 This is a firm criterion, indicating that exceeding thethreshold is a cause for investigation:7.1.1 The acceptable LDD ratio for non high-risk Agency,Institutional
25、or Company owned property is 2 % ($ or quan-tity.)7.1.2 The acceptable LDD ratio for high-risk property is0%.7.2 The following are intended as guidelines against whichindividual policies and procedures may be modeled.7.2.1 Customer-owned PropertyThis property is in thecustody of or otherwise under t
26、he control or under thecognizance of a supplier (see 3.1.4). Such a situation could beas simple as an automobile service center or dry cleaners, or ascomplex as a multi-company effort to repair a very sophisti-cated item.An example of standards set for just such a situationappear in DLAD 5000.4, whi
27、ch defines risk assessment criteriafor defense contractors property control systems (see 3.1).These criteria, while subjective, are useful for evaluating LDD.DLAD 5000.4 also defines risk assessment criteria for physicalinventory results (see 3.1). Since LDD is most frequentlydiscovered as a result
28、of inventories, these criteria may well beapplied to LDD standards. Another example is that of aMaterial Management andAccounting System (MMAS), underwhich a 95 % inventory accuracy is required for an acceptableMMAS (see 2.3).7.2.2 ABC Type MethodThis method is a Pareto analysisperformed upon the pr
29、operty to determine value density in theinventory population. ABC does not stand for “Activity BasedCosting” in this context.7.2.2.1 The rule of thumb of the analysis is:7.2.2.2 80 % of the value of the property will be concen-trated in 20 % of the assets (the 80/20 role).7.2.2.3 The next 15 % (95 %
30、 of the total) of the value willbe concentrated in another 35 % (55 % of the total) of theassets.7.2.2.4 The last 5 % (100 % of the total) of the value will bein the remaining 45 % (100 % of the total) of the assets.7.2.2.5 When the analysis is complete, 80 % of the valuewill be concentrated in item
31、s that cost more than a certainamount, e.g., $100. Therefore, those items are assigned an “A”code. Likewise, items in the next 15 % of the distribution areassigned a “B” code. The remaining items are assigned a “C”code.7.2.2.6 Theory and practice dictate spending more time andeffort on the 80/20 rul
32、e, because that is where the greatest riskexists. For example, inventoryABC codes could be assigned asfollows:7.2.2.7 Inventory all “A” coded items 3 times per year.7.2.2.8 Inventory all “B” coded items 2 times per year.7.2.2.9 Inventory all “C” coded items 1 time per year.7.2.2.10 Assign ABC codes
33、to levels of effort dedicated toinvestigating the cause(s) of LDD. For example:7.2.2.11 Investigate “A” coded items for not more than 4hours or days or weeks.7.2.2.12 Investigate “B” coded items for not more than 2hours or days or weeks.7.2.2.13 Do not investigate “C” coded items, simply reportthe l
34、oss and adjust the records.8. Report8.1 Reporting LDD is a must. Following are two examplesof reporting, the first considers customer owned property in thepossession of another; the second, property belonging to thereporting entity.E21310128.2 Report the following information for customer-ownedprope
35、rty:8.2.1 Contract number and contractors name. (A “contractnumber” may be as simple as a claim check, or as involved asa multipage document dictating the repair of a very sophisti-cated item.)8.2.2 Description of item(s) lost, damaged destroyed, alongwith identification number(s).8.2.3 State whethe
36、r the item needs to be replaced or repairedand the cost to replace or repair the item. If actual cost isunavailable, provide a reasonable estimate.8.2.4 Date and time of incident, cause or origin of the loss,and damage or destruction.8.2.5 All known interests in commingled property of whichthe custo
37、mer properly is a part.8.2.6 Insurance, if any, covering the property.8.2.7 Actions taken to prevent any future incident.8.2.8 Any other pertinent facts relevant to determine liabil-ity and responsibility for repair or replacement.8.3 Report the following information for company, agencyor institutio
38、n-owned property:8.3.1 Description of item(s) lost, damaged, or destroyed,along with identification number(s).8.3.2 Cost of item and cost of repair, in instances of damage.If actual cost is unavailable, provide a reasonable estimate.8.3.3 Date and time of incident, cause or origin of the loss,and da
39、mage or destruction. (Root cause analysis).8.3.4 Insurance, if any, covering the property.8.3.5 Actions taken to prevent any future incident.8.3.6 Any other pertinent facts relevant to determinewhether to replace or repair. (Trend Analysis and Propertyclassifications).9. Summary9.1 This standard con
40、cerns loss, damage and destruction ofproperty not related to natural disasters or similar situationsbeyond the limits for which an agency, company or institutioncould reasonably be expected to prepare.9.2 The standard for loss, damage and destruction stated in7.1 above is a firm criterion, indicatin
41、g that exceeding thethreshold is a cause for investigation.9.3 The standards referenced in 7.2, 7.2.2.1 and 8 above areintended as guidelines against which individual policies andprocedures may be modeled.10. Keywords10.1 assets; LDD ratios; loss, damage, destruction (LDD);material; propertyASTM Int
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45、andards, at the address shown below.This standard is copyrighted by ASTM International, 100 Barr Harbor Drive, PO Box C700, West Conshohocken, PA 19428-2959,United States. Individual reprints (single or multiple copies) of this standard may be obtained by contacting ASTM at the aboveaddress or at 610-832-9585 (phone), 610-832-9555 (fax), or serviceastm.org (e-mail); or through the ASTM website(www.astm.org).E2131013
