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Package Marking, Packing List and
Invoice Data Requirements for EB Receiving & Invoicing
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Introduction
• Problem
• EB Receiving Process
• Package Marking / Packing List Data
• Invoice Requirements
• Action
• Conclusion
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The Problem
Package marking and packing list / invoice data errors
• Delays payment to our suppliers
• Adds non-value project cost
• Slows EB invoicing to the Navy
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The ProblemWhy is this a serious problem?
• EB is under pressure to reduce the cost of building submarines
• EB suppliers depend on prompt payment
• Every month millions of dollars of billing are delayed
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The Problem
• The Navy does not pay EB for material until we pay you
• Non value-added project cost are incurred
EB has strong incentive to pay vendors promptly!
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Topics
• Problem
• EB Receiving Process• Package Marking / Packing List Data
• Invoice Requirements
• Action
• Conclusion
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EB Receiving Process
• Requirements mandate that all material be positively identified throughout the shipbuilding process.
• EB uses a structured system (MRP II) to order, track and pay for incoming material.
• The EB supplier base includes thousands of suppliers.
• EB receives hundreds of deliveries each day.
• Our customer will only pay for material that is properly received and documented.
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Topics
• Problem
• EB Receiving Process
• Package Marking / Packing List Data
• Invoice Requirements
• Action
• ConclusionApproved for Public Release
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Package Marking / Packing List Data
Package Marking
• Required Data :– EB PO number and line item number
– EB Part Number
– Quantity and Unit of Measure• Same unit as shown within the P.O.
– Carton number
– Total number of cartons
– The packing list
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Package Marking / Packing List Data
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Package Marking / Packing List Data
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Package Marking / Packing List Data
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Package Marking / Packing List Data
• Mark each EB PO number 1” down from the top edge of the container : Make sure the EB PO is marked
When multiple POs or PO line item (POLI) numbers are shipped in a single container:
• Record each PO / POLI starting 1” from the top• Separate multiple PO line items shipped in same
container
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Package Marking / Packing List Data
Packing Lists
• Required Data :
– EB PO number and line item number
– EB part number
– EB part description
– Quantity and unit of measure• Same unit as shown within the P.O.
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Package Marking / Packing List Data
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Issues
• Packing slip is missing
• PO incorrect or missing– Supplier / distributor PO number used instead of
EB
• Part number incorrect or missing– Supplier / distributor part number used instead of
EB
• Material not separated / identified when shipped in one container
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Issues
• Unit of measure does not match PO
– For example, we order 1000 feet of pipe but supplier delivers 150 pieces
– Cannot receive / issue payment until we call you to obtain units conversion
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Consequences:
• Material can not be accepted
• Material can not be located
• Program incurs non value added cost
• EB may return the material
• Delays: ship’s construction; supplier payment
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Topics
• Problem
• EB Receiving Process
• Package Marking / Packing List Data
• Invoice Requirements• Action
• Conclusion
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Invoice Requirements• EB PO number• EB PO line item number• EB Part number• Quantity (unit of measure used
in the PO)
Master Pricing Agreements• Delivery Request number• Delivery Request Item Number
Units of measure must match the PO!
Clarify all pricing issues before submitting an invoice
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Topics
• Problem
• EB Receiving Process
• Package Marking / Packing List Data
• Invoice Requirements
• Action• Conclusion
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Action• Communicate these requirements to your shipping personnel
• Verify proper marking
• Assure that the packing slip & invoice are provided
• If necessary, use checklists to make sure EB requirements are met
• Emphasize correctly marking drop shipments
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Checklist• Container Markings
– Correct EB PO and item number marked
– All POs listed– Correct EB part number– Quantity & unit of measure– Carton number– All markings legible
• Multiple POs / container– All part numbers separated– All part numbers identified
as an EB part number, quantity, unit of measure etc.
• Packing Lists– Is attached to the carton– EB PO & line item – EB part number– Quantity, unit of measure
matches PO• Invoice
– EB PO & line item – EB Part number– Quantity (unit of measure
used in the PO)• Master Pricing Agreements EB
PO & line item – Delivery Request number &
Item number
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ConclusionCompliance:• Faster processing of
incoming material• Fewer phone calls and
faxes• Faster invoice turnaround• Lower cost to build
submarine
Non-compliance• Incoming material “on-
hold”• Production delays in
shipyard• Labor spent resolving
issues• Slower payment
All correct packing slip / invoices can be paid within 30 days
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