EOP 40-11
Special Retail Programs
December 2014
Foreword
Special Retail Programs EOP 40-11
This Exchange Operating Procedure (EOP) tells all levels of Army and Air Force Exchange Service (Exchange) management how to perform special retail programs, as directed by Exchange headquarters (HQ). Proper management of these procedures and the information stated will ensure uniform handling of these programs in exchanges worldwide. The Merchandising Directorate (MD) must approve any deviations. A copy of this directive will be readily available for reference purposes at every retail facility. Additional copies (or pertinent chapters) should be kept in other areas, as needed. This directive supersedes EOP 40-11, dated June 2011, and all changes.
THOMAS P. OCKENFELS Director of Staff OPR: MD
2014 Significant Changes
Special Retail Programs LOCATION Chapter 2 Courtesy
SIGNIFICANT CHANGE Reference to WBL/CRISP courses –updated— to LEX Paragraph 3-2d (How Customers Can Submit Feedback section) – Removed
Chapter 3
Paragraph 3-6 (Signing section) – Removed
Customer Comment Program
Paragraph 3-7a-b (Execution section) – Removed Figure 3-2 –Updated
Chapter 4 Target Marketing
Chapter 5 We Price Match! Program
Figure 4-1 –Removed New sections: • Definitions • What Stores Do and Do Not Match • Questionable Price Matches • Disclaimer • Reports – MD We'll Match It Price Match Report • Training • 14-Day Price Guarantee Paragraph 5-40 (Frequently Asked Questions section) – Removed Paragraph 5-41 (Frequently Asked Questions section) – Answer to question concerning Military discounts – clarified/expanded Paragraph 5-51 (Accountability section) – revised: “The Main Store Operations Manager and Branch Managers should be appointed by the GM to control all aspects of the program.” Figure 5-3 – Removed
Chapter 6 Customer Rain Check Instant Substitution
Chapter 7 Meet Your Manager Program
Original Chapter 8
Chapter 8 Call Boxes & Customer Service Pagers
Paragraph 6-2b (Policy section) Redemption period (for an item with a Rain Check POS receipt) is now 30 days in CONUS and 60 days in OCONUS. Paragraphs 6-9 through 6-11 – new Paragraph 7-2c Added to Exchange staff members: Express Managers, Branch Managers, Services Business Managers Removed: Shoppette Managers, Garage Managers Paragraph 7-6 • “Atlanta Forms and Pubs Warehouse” – is now – “Vmag” • Contact name and email address for signing information – updated The "Mystery Shopper Program" chapter was removed due to the discontinuation of this program in November 2013.
Paragraph 8-1 (Purpose and Applicability section) – removed
EOP 40-11 Significant Changes – 1
LOCATION
SIGNIFICANT CHANGE Revised sections: • Policy Associate Responsibility New section: Take-A-Ticket “Hot Items” – Black Friday Weekend
Chapter 9 Take-a-Ticket Program
Paragraph 9-2 (Policy section) – new final sentence: “Items in Outdoor Living and PowerZone can utilize the Take-A-Ticket program.” Paragraph 9-5 – new: “The Take-A-Ticket program tickets can be created at store level using Web dSign.”
Chapter 10 Customer Identification
Chapter 11 Associate Attire Program
Annex 11A Name Tags
Figure 9-1 –was removed Page 10-3 (Chapter 6 of AR 215-8/AFI 34-211[I] section) – new "Note": “In lieu of a letter of authorization, some installations may provide agents with an agent ID card or pass.” Inserts from AAR 215-8/AFI 34-211(I) – Patrons, Privileges, and Identification –Removed New section: Ordering Information • Removed: Why Standardized Attire? Section Paragraph 11-6 (Issue Information section) • 11-6e – updated 11-6f – new Paragraph 11-7 (Pants and Skirts section) – new sentence: "Cargo pants are recommended and provide extra pockets for storage." nd
rd
Paragraph 11A-2 (Associate/Manager Name Tags section) – 2 and 3 sentences, concerning the Imprint Plus name badge supplies website and validation code – new Throughout the chapter – the words “coupon book” were deleted New section: The Enlisted Recognition Program
Chapter 12 Recognizing Excellence Paragraph 12-7d (Procedures section) is new: “Award winners who are recognized at the Air Force or Army level (i.e., Air Force 12 Outstanding Airmen of the Year or Army Soldier[s] Program of the Year) will receive a $500 Gift Card from Exchange HQ on behalf of the SEA. A letter signed by the Chief of Staff of the Air Force or Army must identify the winners.” Paragraph 14-9 (Contents section) – Oracle item numbers and supplier names updated
Chapter 14 Dressing Room Policy and Procedures
Paragraph 14-11b (Security section) “detectives” – are now – “Safety and Security associates” Paragraphs 14-11c – 14-11e Material concerning the prevention of shoplifting – added Paragraph 15-3 (Authorized Alterations section – Military Uniforms) "Defense Supply Center Philadelphia (DSCP) – is now – "Defense Logistics Agency Troop Support (DLATS)
Chapter 15 Alterations Policy and Procedures
Paragraph 15-4a and 15-4b Price of sport coats/blazers – changed from $100 to $90 Price of trousers or pants, excluding jeans – changed from $28 to $29.99 Paragraph 15-6 (Alterations Certificate) "DSCP" – is now – "DLATS" Paragraph 15-10a – new sentence concerning local EUCT adding access to MCS portal
EOP 40-11 Significant Changes – 2
LOCATION
SIGNIFICANT CHANGE New section: Navy Exchange Gift Card Removed: International Financial Cards section Paragraph 16-1 (Purpose and Applicability section) 16-1a (Exchange Gift Card) – updated 16-1c (Exchange Merchandise Card) – LDU information updated Paragraph 16-3 (Features section) – New tender methods: • Marine and/or NEX Gift Card • Stored Value-EZ Pay • Unit Charge Paragraph 16-6 – The words “and/or Verifone” – new Paragraph 16-7 – The words “Exchange Protection Plan” – new Paragraph 16-8 rd “Vanilla Visas (3 Party POSA Cards)” – added to list of items that cannot be purchased using a Gift Card
Chapter 16 Exchange Gift Card Program
Paragraph 16-10 (The Exchange Gift Card section) – new verbiage: “must swipe the magnetic strip" – and – "Scanning the UPC will not activate the gift card." Paragraph 16-13 – clarified that to dispose of Exchange Gift Card, it should be cut up. Paragraphs 16-14 through 16-20 Exchange Gift Card Promotions section – revised Paragraph 16-27 (The Merchandise Card) – new Paragraphs 16-32 and 16-33 (Controlling Exchange Gift Cards section) New "Accountability Notes" and Issue Menu/expense account data Page 16-16 (Exchange Gift Card Promotion Spreadsheet and Accountability section) New mandatory accountability control information Paragraph 16-35h – time period for maintaining completed spreadsheets/receipts – changed from "90 days" to "one year." Paragraph 16-39 (Online Denominations section) – new gift card denominations: $45, $75 Paragraphs 16-42 (Execution) through 16-44 – updated Paragraphs 16-45 and 16-46 (Ordering) – new
Chapter 17 Commercial Gift Card Program
Chapter 18 Exchange Protection Plan
New chapter New sections: • Exchange Protection Plan Goals Exchange Protection Plan Best Practices Expanded/revised: Additional Exchange Protection Plan Benefits Figure 18-2 –removed
EOP 40-11 Significant Changes – 3
LOCATION
SIGNIFICANT CHANGE All sections concerning firearms – deleted
Chapter 19 Critical Item Control
Paragraph 19-2f (Policy section) – new: “Recent changes of the critical item dollar limit to $500 will not affect the iPad. ALL iPads will be recorded as critical items, and this includes the $489 16 GB Wi-Fi iPad.” nd
Chapter 20 Shuttle Program
Chapter 21 Home Delivery Service Program
Chapter 22 Merchandise Assembly
Paragraph 19-7a – 2 sentence: “detectives” – are now – “Safety and Security associates” Throughout chapter: “parent and subordinate main stores” – are now – “primary and secondary main stores” This chapter was totally revised. There are now four home delivery service options (previously – three). Sears Home Delivery is the new addition. New sections: • Merchandise Assembly Invoice Processing • Helpful Links • Bike Helmet Safety Tag • Execution Paragraph 22-8 (Signs section) rd th 3 and 4 sentences – new Paragraph 22-9 (Responsibility for Assembly section) – updated References to DoDI 1330.09, Armed Services Exchange Policy, and DoDI 1330.21, Armed Services Exchange Regulations – added to chapter Paragraph 23-2 (Policy section) – new sentence: "All command requests to remove cigarettes from the main stores and Express must be worked with HQ." Paragraph 23-5, concerning temporary promotional offers/coupons – updated Paragraph 23-7 – updated, to include reference to Family Smoking Prevention and Tobacco Control Act and new subparagraphs.
Chapter 23 Tobacco Products
Paragraph 23-13 – new sentence: "These guidelines apply only to non-ASAP facilities." Paragraph 23-14 (Tobacco Pricing – CONUS) – updated Paragraphs 23-15 and 23-16 – new sentences: "Do not display cessation products in the tobacco department." "The Exchange will follow FDA laws which dictate the rules for the display of tobacco products in the stores."
Chapter 24 Sale of Alcoholic Beverages
Chapter 25 Selection, Display, and Selling of AdultOriented Material
Paragraphs 23-19 through 23-23 (to include Tobacco Fixture Replacement and Repair Guidelines) – new Paragraph 24-10a – "Form 1100-003" & "101R, Techniques of Alcohol Management" – new Paragraph 24-12 (Procedures section) – new: “Alcohol miniatures must be displayed within the cashier’s line-of-sight.” Paragraphs 25-3a (Prerecorded DVD/Video Movies) and 25-4a (Prerecorded Music) "in collaboration with our vendor partner," "store demographics" – new text Paragraph 25-4b (Prerecorded Music) – location on Vmag to download signs – new
EOP 40-11 Significant Changes – 4
LOCATION
SIGNIFICANT CHANGE
Chapter 26
Paragraphs 26-14a and 26-14d (Pesticide Spills section) Storing, Displaying, and Text added concerning requirement to provide emergency eyewash stations/kits. Handling Pesticides
Chapter 32 You Made the Grade & New section: Other Reward Programs Other Reward Programs Chapter 34 Paragraph 34-8e (Responsibilities section) – new: “Ensure vendors understand Exchange policy concerning the removal of promotional or giveStore Visitation Authoriz'n for Vendors away merchandise from the facility.” Paragraph 35-8g (Procedures – Customer Purchases section) Chapter 35 "from the coverage monitor in Kronos" – new text Identifying and Figure 35-2, Sample Associate Purchase Policy – updated Controlling Merchandise Sold Paragraph 35-29b (Use of Fragrance Testers section) – updated
Chapter 37 MWR Commercial Sponsorship and Donations
New section: Your Dollars at Work!
EOP 40-11 Significant Changes – 5
Special Retail Programs Table of Contents Chapter 1
Page Do the Right Thing! ............................................................................................................ 1 - 1 Purpose and Applicability ............................................................................................... 1 - 1 Program ......................................................................................................................... 1 - 1 General Manager Action ................................................................................................ 1 - 1 Facility Management Action ........................................................................................... 1 - 5 Associate Action............................................................................................................. 1 - 6 Manager on Duty............................................................................................................ 1 - 8 Figure 1-1 1-2 1-3 1-4 1-5 1-6
2
Do the Right Thing! Poster Do the Right Thing! Pocketsize Cards Do the Right Thing! Breakroom Standards Do the Right Thing! Corporate University Web-Based Learning Courses Customer Service WBL Essentials
Courtesy .............................................................................................................................. 2 - 1 Purpose and Applicability ............................................................................................... 2 - 1 General .......................................................................................................................... 2 - 1 Initial Approach .............................................................................................................. 2 - 1 Checkout Courtesy......................................................................................................... 2 - 2 Handling Difficult Customers .......................................................................................... 2 - 2 Telephone Courtesy ....................................................................................................... 2 - 3 Training .......................................................................................................................... 2 - 3 Store Closing Announcement ........................................................................................ 2 - 3 Figure 2-1 The Exchange is You
3
Customer Comment Program ........................................................................................... 3 - 1 Purpose and Applicability ............................................................................................... 3 - 1 How Customers Can Submit Feedback ......................................................................... 3 - 1 Signing ........................................................................................................................... 3 - 2 Execution ....................................................................................................................... 3 - 2 How to Log Responses in ECCP ................................................................................... 3 - 3 Help for Answering Comments ...................................................................................... 3 - 3 Using the ECCP Reporting System ............................................................................... 3 - 4 Exchange Facebook Responses ................................................................................... 3 - 6 Sales Receipt Customer Survey (Select Facilities) ....................................................... 3 - 7 Figure 3-1 3-2 3-3 3-4 3-5 3-6
Submitting Internet Feedback Contact Us Link Customer Comment Program Exchange Customer Comment Program Login Screen Facebook Social Media Exchange Facebook Page
EOP 40-11 i
Chapter 4
Page Target Marketing ................................................................................................................. 4 - 1 Purpose and Applicability ............................................................................................... 4 - 1 Goals .............................................................................................................................. 4 - 1 Programs ........................................................................................................................ 4 - 1 Campaign Components ................................................................................................. 4 - 2 Figure 4-1 Motivational Customer Entitlements
5
We Price Match! Program .................................................................................................. 5 - 1 Purpose and Applicability ............................................................................................... 5 - 1 Responsibility ................................................................................................................. 5 - 1 Definitions ...................................................................................................................... 5 - 1 Exchange Retail Store Price Match Program ................................................................ 5 - 1 What Store Do and Do Not Match ................................................................................. 5 - 2 Questionable Price Matches .......................................................................................... 5 - 2 Procedures for Accepting the Price Challenge .............................................................. 5 - 3 Overseas Locations ....................................................................................................... 5 - 4 Exchange Catalog and shopmyexchange.com Price Match ......................................... 5 - 4 Program Exceptions (Exchange Retail, Exchange Catalog, shopmyexchange.com) ... 5 - 5 Frequently Asked Questions .......................................................................................... 5 - 6 Signs .............................................................................................................................. 5 - 9 Disclaimer ...................................................................................................................... 5 - 9 Advertising and Publicity .............................................................................................. 5 - 11 Accountability ............................................................................................................... 5 - 11 Reports – MD We'll Match It! Price Match Report ....................................................... 5 - 11 Training ........................................................................................................................ 5 - 11 14-Day Price Guarantee .............................................................................................. 5 - 12 Figure 5-1 We Price Match! Poster 5-2 We Price Match! Signage 5-3 14-Day Price Guarantee Poster
6
Customer Rain Check/Instant Substitution ..................................................................... 6 - 1 Purpose and Applicability ............................................................................................... 6 - 1 Policy .............................................................................................................................. 6 - 1 Signing ........................................................................................................................... 6 - 2 Figure 6-1 6-2 6-3 6-4
7
Instant Substitution Signing POP Topper Exchange Rain Check Request Ticket Exchange Rain Check Request Ticket Instruction Sheet Instant Substitution Signing
Meet Your Manager Program............................................................................................. 7 - 1 Figure 7-1 Meet Your Manager Poster 7-2 Meet Your Services Business Manager Poster 7-3 Meet Your Manager
EOP 40-11 ii
Chapter 8
Page Call Boxes and Customer Service Pagers ....................................................................... 8 - 1 Purpose and Applicability ............................................................................................... 8 - 1 Policy .............................................................................................................................. 8 - 1 Ordering ......................................................................................................................... 8 - 2 Management Responsibility ........................................................................................... 8 - 3 Associate Responsibility ................................................................................................ 8 - 3 Figure 8-1 8-2 8-3 8-4
Call Box and Price Check Station Display Guidance Oracle Price Check Station Signage The Exchange is You
9
Take-A-Ticket Program ...................................................................................................... 9 - 1 Purpose and Applicability ............................................................................................... 9 - 1 Policy .............................................................................................................................. 9 - 1 Take-A-Ticket "Hot Items" – Black Friday Weekend ..................................................... 9 - 1
10
Customer Identification ................................................................................................... 10 - 1 Chapter 6 of AR 215-8/AFI 34-211(I) – Patrons, Privileges, and Identification..... 10 - 1
11
Associate Attire Program ................................................................................................ 11 - 1 Purpose ........................................................................................................................ 11 - 1 Responsibility ............................................................................................................... 11 - 1 Applicability .................................................................................................................. 11 - 1 Ordering Information .................................................................................................... 11 - 2 Attire Allocation & Purchase ........................................................................................ 11 - 2 Pants and Skirts ........................................................................................................... 11 - 2 Initial-Issue ................................................................................................................... 11 - 2 Issue Information.......................................................................................................... 11 - 3 Turn-In Information....................................................................................................... 11 - 3 Frequently Asked Questions ........................................................................................ 11 - 3 Footwear ...................................................................................................................... 11 - 3 Exchange Attire Program Non-Customer Contact Associates ................................... 11 – 4 Figure 11-1 Approved Associate Footwear 11-2 Exchange Attire Program Poster Annex 11A Name Tags
12
Recognizing Excellence Program ................................................................................... 12 - 1 Purpose and Applicability ............................................................................................. 12 - 1 Enlisted Recognition Program – Installation Level ...................................................... 12 - 1 Enlisted Recognition Program – Command Level ....................................................... 12 - 1 Procedures ................................................................................................................... 12 - 2
EOP 40-11 iii
Chapter 13
Page Plan-O-Grams.................................................................................................................... 13 - 1 Purpose and Applicability ............................................................................................. 13 - 1 Policy ............................................................................................................................ 13 - 1 Production of Plan-O-Grams ........................................................................................ 13 - 1 Manager Responsibilities ............................................................................................. 13 - 1 Store Responsibilities................................................................................................... 13 - 2 MD Plan-O-Gram Process ........................................................................................... 13 - 3 Plan-O-Gram Scheduling ................................................................................ 13 - 3 Plan-O-Gram Pre-Planning and Data Acquisition........................................... 13 - 3 Product Images and Dimensions .................................................................... 13 - 4 Plan-O-Gram Production ................................................................................ 13 - 7 Plan-O-Gram Distribution and Filing ............................................................... 13 - 8 Modules, Floor Plans and Adjacencies ........................................................... 13 - 8 Useful Links..................................................................................................... 13 - 8 Figure 13-1 13-2 13-3 13-4 13-5 Annex 13A
14
Supply Chain Management Portal Supply Chain Management Portal – Plan-O-Grams Plan-O-Gram Home Page Plan-O-Gram Look-Up Process Plan-O-Gram
Plan-O-Gram Quickset System
Dressing Room Policy and Procedures ......................................................................... 14 - 1 Purpose ........................................................................................................................ 14 - 1 Scope ........................................................................................................................... 14 - 1 Policy ............................................................................................................................ 14 - 1 Contents ....................................................................................................................... 14 - 2 Housekeeping .............................................................................................................. 14 - 3 Security ........................................................................................................................ 14 - 3 Figure 14-1 Mandatory Alterations Sign – Dressing Rooms 14-2 Oracle Ordering
EOP 40-11 iv
Chapter 15
Page Alterations Policy and Procedures .......................................................................... 15 - 1 Purpose ........................................................................................................................ 15 - 1 Policy ............................................................................................................................ 15 - 1 Authorized Alterations .................................................................................................. 15 - 1 Alterations Certificate ................................................................................................... 15 - 2 Procedures for Reimbursement for CONUS and the Pacific (Excluding Korea) ......... 15 - 5 Payment Research Procedures ................................................................................... 15 - 6 Reimbursement Procedures for Europe and Korea Exchanges .................................. 15 - 7 Other Exchanges/Procedures ...................................................................................... 15 - 7 Figure 15-1 15-2 15-3 15-4 15-5
16
Authorized Alterations Sign – 2012 Alteration Certificate (Form 6550-001) Alteration Shop Control Sheet (Form 6550-003) Military Clothing Sales Website Alterations Entry Web Screen
Exchange Gift Card Program .......................................................................................... 16 - 1 Purpose and Applicability ............................................................................................. 16 - 1 Features ....................................................................................................................... 16 - 2 Downtime ..................................................................................................................... 16 - 4 The Exchange Gift Card .............................................................................................. 16 - 4 Exchange Gift Card Promotions .................................................................................. 16 - 7 Gift Card Access .......................................................................................................... 16 - 9 The Merchandise Card .............................................................................................. 16 - 10 Controlling Exchange Gift Cards ................................................................................ 16 - 14 Exchange Gift Card Promotion Spreadsheet and Accountability .............................. 16 - 15 Lost Gift Cards ........................................................................................................... 16 - 17 Merchandising Exchange Gift Cards ......................................................................... 16 - 17 Online Denominations ................................................................................................ 16 - 20 Navy Exchange Gift Card .......................................................................................... 16 - 22 Figure 16-1 16-2 16-3 16-4 16-5 16-6 16-7 16-8 16-9 16-10
Exchange Gift Card Exchange Promotional Gift Card Exchange Merchandise Card POSA Gift Card Purchasing Regulation Exchange Gift Cards Authorized Gift Card Promotion Spreadsheet Shepherd Hook Gift Card Program Remember to Devalue Promotional Gift Cards “We Accept Gift Cards” Sign New Navy Exchange Gift Card
EOP 40-11 v
Chapter 17
Page Commercial Gift Card Program ....................................................................................... 17 - 1 Purpose and Applicability ............................................................................................. 17 - 1 Replenishment ............................................................................................................. 17 - 1 Features ....................................................................................................................... 17 - 2 Deactivating ................................................................................................................. 17 - 2 Gift Card Register Procedures ..................................................................................... 17 - 3 Gift Card Price Match ................................................................................................... 17 - 4 POSA Gift Card Refunds ............................................................................................. 17 - 4 Gift Card Accountability ............................................................................................... 17 - 4 Lost Gift Cards ............................................................................................................. 17 - 5 Placement and Displays .............................................................................................. 17 - 5 POSA Signing .............................................................................................................. 17 - 8 2012 InComm Response Codes ................................................................................ 17 - 10 Figure 17-1 17-2 17-3 17-4 17-5
18
Swipe Card InComm Activated Barcode Card Readylink Signs VMag Signs InComm Response Codes
Exchange Protection Plan ............................................................................................... 18 - 1 General…. .................................................................................................................... 18 - 1 Exchange Protection Plan Extended Warranty Program ............................................. 18 - 1 Exchange Protection Plan Brochures .......................................................................... 18 - 1 Exchange Protection Plan Replenishment .................................................................. 18 - 3 Additional Exchange Protection Plan Benefits ............................................................. 18 - 3 Exchange Protection Plan Goals ................................................................................. 18 - 8 Exchange Protection Plan Best Practices ................................................................. 18 - 10 Figure 18-1 Exchange Protection Plan Brochure 18-2 The 3 Step Process – Offering the Plan in 10 Seconds
19
Critical Item Control ......................................................................................................... 19 - 1 Purpose and Applicability ............................................................................................. 19 - 1 Policy ............................................................................................................................ 19 - 1 Procedures ................................................................................................................... 19 - 2 ASAP Receiving ........................................................................................................... 19 - 3 Key Control .................................................................................................................. 19 - 3 Selling Knives to Minors ............................................................................................... 19 - 5 Figure 19-1 Key Control Record (Form 6600-022)
20
Shuttle Program ................................................................................................................ 20 - 1 Purpose ........................................................................................................................ 20 - 1 Program Details ........................................................................................................... 20 - 1 Contingency Considerations ........................................................................................ 20 - 2 Figure 20-1 Shuttle Service Program Instruction Sheet 20-2 Customer Order Form (Form 6200-009) 20-3 Customer Convenience Order Log (Form 6200-010) EOP 40-11 vi
Chapter 21
Page Home Delivery Service Program – Sears Home Delivery and Installation Services and Other Delivery Options ............................................................................................. 21 - 1 Purpose and Applicability ............................................................................................. 21 - 1 Home Delivery Program ............................................................................................... 21 - 1 Delivery Options: Sear Home Services (Delivery, Install’n, Assembly, Haul Away) ... 21 - 1 Introduction to Selling Home Delivery, Installation, and Haul Away ............................ 21 - 3 Set Expectations for Successful Delivery .................................................................... 21 - 3 Qualifying the Customer for Successful Delivery or Installation .................................. 21 - 4 Wrap-Up ....................................................................................................................... 21 - 5 The Sears Delivery Process ........................................................................................ 21 - 7 Selling Delivery ............................................................................................................ 21 - 7 Taking the Order .......................................................................................................... 21 - 8 Pre Pickup Preparation ................................................................................................ 21 - 9 Store Pickup ............................................................................................................... 21 - 13 The Pre Call (Time Window) ...................................................................................... 21 - 13 Routing and Loadout .................................................................................................. 21 - 14 Morning of Delivery .................................................................................................... 21 - 14 The Delivery ............................................................................................................... 21 - 15 Installation .................................................................................................................. 21 - 16 Concessions “Save the Sale” Process....................................................................... 21 - 17 Returns and Exchanges ............................................................................................. 21 - 20 Reschedules .............................................................................................................. 21 - 21 Sears Damaged the Merchandise Claim Process ..................................................... 21 - 21 Sears Email Distribution List ...................................................................................... 21 - 23 Accounting Process for Sears Home Delivery and Installation/Assembly Billing from Sears to the Exchange ............................................................................ 21 - 25 Accounts Utilized for Delivery .................................................................................... 21 - 25 POS Instructions for Normal Delivery, Installation or Haul Away .............................. 21 - 25 Escalation Process – How to Resolve Issues ............................................................ 21 - 26 Signing ....................................................................................................................... 21 - 27 Training ...................................................................................................................... 21 - 33 Sears Reference Materials ........................................................................................ 21 - 33 Sears Forms and Logs ............................................................................................... 21 - 33 Sears Delivery Acronyms and Terms ........................................................................ 21 - 34 Contractor-Provided and Exchange Delivery Service................................................ 21 - 35 Sales Associate Procedures ...................................................................................... 21 - 36 Customer Service/Control Counter Procedures ........................................................ 21 - 39 Branch Accounting Procedures ................................................................................. 21 - 39 Accounting Office Procedures ................................................................................... 21 - 41 Delivery Procedures ................................................................................................... 21 - 41 Refunding Delivery Charges ...................................................................................... 21 - 42 Pickup Service ........................................................................................................... 21 - 43 Scheduling Deliveries/Pickups ................................................................................... 21 - 44 Matson – Home Delivery USA ................................................................................... 21 - 44 Figure 21-1 21-2 21-3 21-4 21-5 21-6 21-7 21-8 21-9
Sears Home Delivery/Installation/Haul Away Job Aid Product List and Sears Capabilities Exchange: Sears Home Delivery Form Exchange: Sears Installation Form MAC Form Accessory Pricing Sold by Sears Concession Matrix Sears Save the Sale Process Sears Base Return Log EOP 40-11 vii
Chapter
Page
21
Home Delivery Service Program – Sears Home Delivery and Installation Services and Other Delivery Options – continued Figure 21-10 Sears Email Distribution List 21-11 Television Installation Service Options 21-12 Escalation Sheet Example 21-13 Exchange Sears Delivery Program 21-14 Sears Home Delivery Sign Kit 21-15 Home Delivery by Sears Blue Crew Sign Kit 21-16 PowerZone Fabric Banners – TV Wall 21-17 Home Delivery Sales Slip (Form 6450-104) 21-18 Matson Shipment Request Form (Form 4750-001) 21-19 Cash Receipts Voucher (Form 7200-007) 21-20 Petty Cash Voucher (Form 7250-009)
22
Merchandise Assembly.................................................................................................... 22 - 1 Purpose and Applicability ............................................................................................. 22 - 1 Policy ............................................................................................................................ 22 - 1 Establishment of Fees ................................................................................................. 22 - 1 Signs ............................................................................................................................ 22 - 2 Responsibility for Assembly ......................................................................................... 22 - 2 Special Requirements – Bicycle Assembly .................................................................. 22 - 4 Adjustments ................................................................................................................. 22 - 7 Merchandise Assembly Invoice Processing ................................................................ 22 - 7 Bike Helmet Safety Tag ............................................................................................... 22 - 8 Execution ..................................................................................................................... 22 - 9 Figure 22-1 22-2 22-3 22-4 22-5 22-6
Merchandise Assembly Price Survey Form Exhibit D – Performance Standards and Specifications Consumer Product Safety Act – Code of Federal Regulations Conversion of PL-K Contracts to Direct Store Delivery Bike Helmet Safety Tag U.S. Military Regulations on Bicycle Helmets
23
Tobacco Products ............................................................................................................ 23 - 1 Purpose ........................................................................................................................ 23 - 1 Policy ............................................................................................................................ 23 - 1
24
Sale of Alcoholic Beverages ........................................................................................... 24 - 1 Purpose and Applicability ............................................................................................. 24 - 1 Policy ............................................................................................................................ 24 - 1 Procedures ................................................................................................................... 24 - 1
EOP 40-11 viii
Chapter 25
Page Selection, Display, and Selling of Adult-Oriented Material .......................................... 25 - 1 Purpose and Applicability ............................................................................................. 25 - 1 Magazines .................................................................................................................... 25 - 1 Prerecorded Digital Video Disc/Video Movies ............................................................. 25 - 2 Prerecorded Music ....................................................................................................... 25 - 3 Computer Software ...................................................................................................... 25 - 5 Figure 25-1 Entertainment Software Rating Board Rating Symbols 25-2 Adult Music Sign 25-3 Bookmark and Magazine Sign Kit Update
26
Storing, Displaying, and Handling Pesticides ............................................................... 26 - 1 Purpose and Applicability ............................................................................................. 26 - 1 Policy ............................................................................................................................ 26 - 1 Storage and Display ..................................................................................................... 26 - 1 Handling ....................................................................................................................... 26 - 2 Point-of-Sale Bagging .................................................................................................. 26 - 2 Pesticide Spills ............................................................................................................. 26 - 3 Inspection of Fixtures ................................................................................................... 26 - 4 References ................................................................................................................... 26 - 4
27
Sale of Plants and Shrubs ............................................................................................... 27 - 1 Purpose ........................................................................................................................ 27 - 1 Policy ............................................................................................................................ 27 - 1 Procedures ................................................................................................................... 27 - 1
28
Customer Service Programs ........................................................................................... 28 - 1 Purpose and Applicability ............................................................................................. 28 - 1 Goals ............................................................................................................................ 28 - 1
29
Hunting and Fishing Licenses ........................................................................................ 29 - 1 Purpose and Applicability ............................................................................................. 29 - 1 Policy ............................................................................................................................ 29 - 1 General Procedures ..................................................................................................... 29 - 1 Bonding ........................................................................................................................ 29 - 1 Accounting for License Sales....................................................................................... 29 - 1 Return of Unsold Licenses ........................................................................................... 29 - 2 Selling Location ............................................................................................................ 29 - 2 Figure 29-1 Cash Receipts Voucher (Form 7200-007)
30
Western Union Money Transfer ...................................................................................... 30 - 1 Purpose and Applicability ............................................................................................. 30 - 1 Western Union Money Transfer System ...................................................................... 30 - 1 Security Information ..................................................................................................... 30 - 1 Legal Compliance ........................................................................................................ 30 - 2 Training ........................................................................................................................ 30 - 3 Forms ........................................................................................................................... 30 - 3 Procedures to Add/Deactivate a Facility To/From Western Union .............................. 30 - 4 Ordering Supplies ........................................................................................................ 30 - 5 Agency Referral System .............................................................................................. 30 - 5 Daily Deposits .............................................................................................................. 30 - 6 EOP 40-11 ix
Chapter 31
Page Food Stamp Program ....................................................................................................... 31 - 1 Purpose and Applicability ............................................................................................. 31 - 1 Policy ............................................................................................................................ 31 - 1 Approval Procedures.................................................................................................... 31 - 2 What is Electronic Benefit Transfer?............................................................................ 31 - 2 How do Electronic Benefit Transfers Work? ................................................................ 31 - 2 Is This New Technology? ............................................................................................. 31 - 3 What Are the Benefits of EBT? .................................................................................... 31 - 3 Figure 31-1 Food Stamp Authorization Card
32
You Made the Grade and Other Reward Programs ....................................................... 32 - 1 Purpose and Applicability ............................................................................................. 32 - 1 Execution ..................................................................................................................... 32 - 1 Other Reward Programs .............................................................................................. 32 - 2 Figure 32-1 You Made the Grade 32-2 You Made the Grade Coupons and Special Offers
33
Expense Supplies ............................................................................................................. 33 - 1 Purpose and Applicability ..........……………………………………………………………33 - 1 Policy ............................................................................................................................ 33 - 1 Responsibilities ............................................................................................................ 33 - 2
34
Store Visitation Authorization for Vendors.................................................................... 34 - 1 Purpose and Applicability ............................................................................................. 34 - 1 General ........................................................................................................................ 34 - 1 Procedures ................................................................................................................... 34 - 2 Responsibilities ............................................................................................................ 34 - 2
35
Identifying and Controlling Merchandise Sold .............................................................. 35 - 1 Purpose and Applicability ............................................................................................. 35 - 1 Policy ............................................................................................................................ 35 - 1 Procedures – Customer Purchases ............................................................................. 35 - 1 Discipline of Shelf Labels ............................................................................................. 35 - 4 Policy and Procedures – Associate Purchases ........................................................... 35 - 4 Associate Refunds ....................................................................................................... 35 - 6 Vendor Participation ..................................................................................................... 35 - 7 Empty Merchandise Boxes .......................................................................................... 35 - 8 Use of Fragrance Testers ............................................................................................ 35 - 8 Figure 35-1 Store Three-in-Line Policy Sign 35-2 Sample Associate Purchase Policy
EOP 40-11 x
Chapter 36
Page Disposition of Money or Lost, Abandoned or Unclaimed Personal Property Found on Exchange Premises ........................................................................................ 36 - 1 Purpose and Applicability ............................................................................................. 36 - 1 Policy ............................................................................................................................ 36 - 1 Money .......................................................................................................................... 36 - 1 Lost, Abandoned or Unclaimed Personal Property...................................................... 36 - 2 Figure 36-1 Record of Money or Property Found (Form 6100-001)
37
Morale, Welfare, and Recreation Commercial Sponsorship and Donations to Top Charity and Fund-Raising ................................................................. 37 - 1 The Exchange and Morale, Welfare, and Recreation .................................................. 37 - 1 Donations to Charity and Fund-Raising ....................................................................... 37 - 2 Your Dollars at Work! ................................................................................................... 37 - 3 Figure 37-1 Annual MWR Contribution Board
38
Food Inspection, Storage, Merchandising, and Sanitation .......................................... 38 - 1 Purpose and Applicability ............................................................................................. 38 - 1 Receiving Procedures .................................................................................................. 38 - 1 Inspection at Delivery ................................................................................................... 38 - 1 Code Dates .................................................................................................................. 38 - 4 Stock Rotation .............................................................................................................. 38 - 4 Storage of Perishable Foods ....................................................................................... 38 - 4 Storage of Semi-perishable Foods .............................................................................. 38 - 5 Aged Merchandise ....................................................................................................... 38 - 5 Cooperage Accountability ............................................................................................ 38 - 6 Food Merchandise Display Techniques ....................................................................... 38 - 6 Price Marking ............................................................................................................... 38 - 9 Damaged Food ............................................................................................................ 38 - 9 Personal Hygiene ....................................................................................................... 38 - 10 Sanitation and Housekeeping .................................................................................... 38 - 11 Insect and Rodent Control ......................................................................................... 38 - 12 Self-Service Snack Bar .............................................................................................. 38 - 12 Shopping Carts and Baskets ..................................................................................... 38 - 12 Figure 38-1 Temperature Chart (Form 6500-019)
39
Ice Merchandising Program ............................................................................................ 39 - 1 Purpose and Applicability ............................................................................................. 39 - 1 Policy ............................................................................................................................ 39 - 1 Branch Selection .......................................................................................................... 39 - 1 Ice Sources .................................................................................................................. 39 - 1 Cost Pricing .................................................................................................................. 39 - 2 Sell Prices .................................................................................................................... 39 - 2 Accountability ............................................................................................................... 39 - 2 Public Health Requirements ........................................................................................ 39 - 4 Merchandise Presentation ........................................................................................... 39 - 6 Figure 39-1 Food Activity Storeroom Control (Form 6500-007) 39-2 General Purpose Form (Form 3050-001) EOP 40-11 xi
Chapter 40
Page Ring Resizing and Watchband Adjustment ................................................................... 40 - 1 Purpose and Applicability ............................................................................................. 40 - 1 Policy ............................................................................................................................ 40 - 1 Ring Resizing Procedures ........................................................................................... 40 - 2 Watchband Adjustment Procedures ............................................................................ 40 - 2 Figure 40-1 Watch Band Adjustment/Ring Resizing Certificate (Form 6550-004)
41
Changing Watch Batteries ............................................................................................... 41 - 1 Purpose and Applicability ............................................................................................. 41 - 1 Policy ............................................................................................................................ 41 - 1 Changing Watch Battery Procedures........................................................................... 41 - 1
Appendix 1
Glossary of Acronyms .................................................................................................... A1 - 1
EOP 40-11 xii
Chapter 1
Do the Right Thing! Purpose and Applicability 1-1. The purpose of the Do the Right Thing! (DTRT) program is to provide outstanding customer service. This program applies to worldwide Exchange retail, food, services, warehouse, and administrative associates.
Program 1-2. The DTRT program continues to support the Exchange Corporate Plan to provide outstanding customer service to authorized patrons. Optimizing customer service is an important part of the Exchange Balanced Scorecard. Customer Service is one of the four major components of enhancing the shopping experience, which promotes lifelong value and service. DTRT drives the decision-making process to the lowest possible level while promoting a feeling of empowerment within Exchange associate ranks. The intent of the program is for associates to resolve customer complaints as they are working with them. 1-3. The program is designed to give our associates tools, reinforcement, and problem solving procedural guidance so they can effectively resolve customer complaints, thus avoiding escalation to the next level. Reasons for the program include: a. Exchange Customer Satisfaction Index (CSI) survey results often indicate customers are not pleased with our associates’ past performance in resolving their problems when shopping at the Exchange. b. Exchange Associate Satisfaction Index (ASI) survey results indicate associates often don’t know how to solve problems because they received classroom training only, with no on-the-job reinforcement. c. Reinforcing “The Exchange is You” Expert Customer Service training, which establishes four foundations for customer service (Greet, Listen, Suggest, and Thank), as well as a model for responding to customer complaints. d. In general, the type of customer comments received indicates our associates do not feel confident about resolving problems. They do not use all the available tools to resolve customer complaints, and they do not feel they have the authority to make decisions on-the-spot to resolve customer complaints or problems.
General Manager Action 1-4. Although program costs are minimal, General Managers (GMs) need to fully commit to the process of reinforcing positive customer service. GMs are pivotal to ensuring DTRT's success by highlighting the program's key points, focusing on the ultimate goal of resolving customer complaints (at the lowest possible level), and following up. The GM will take the following actions to enforce the DTRT program: a. Define the Exchange’s expectations concerning customer complaints. b. Provide guidance upon request on any questions/concerns from facility managers. c.
Hold managers accountable to continue training associates on the DTRT program. EOP 40-11 1-1
Do the Right Thing! Poster
Figure 1-1
EOP 40-11 1-2
Do the Right Thing! Pocketsize Cards
Figure 1-2
EOP 40-11 1-3
Do the Right Thing! Breakroom Standards
Figure 1-3
Do the Right Thing!
Figure 1-4 EOP 40-11 1-4
Facility Management Action 1-5.
Facility managers will take the following actions to enforce the DTRT Program:
a. Personally establish associate and manager job requirements and goals based on the desired expectations contained in the DTRT program. b. Clearly set and publicize associate and manager authority levels and limitations. The success of the program depends on managers informing associates to make these decisions, authority levels, and limitations. Empowerment means nothing if you don't put it into practice through your associates. c. Compose and publicize specifics of what associates are authorized to do, to eliminate confusion. d. Convey customer expectations to all customer-contact associates. Do so intermittently during store meetings until every associate is effectively practicing DTRT skills. Management should reinforce their commitment by providing associates with the following expectations: job knowledge, hands-on training, and follow-through spot checks to determine if associates are knowledgeable and confident enough to effectively resolve customer complaints. e. Issue the pocketsize DTRT job aid to every associate. Ensure DTRT posters are prominently displayed. f. Designate your most capable customer oriented/self-starter supervisor or manager to act as the facilitator for DTRT training. Identify a second manager to make formal progress reports on how well course objectives are being met. Reports should be based on personal conversations after associate training to determine buy-in and comprehension. Role-playing difficult situations during meetings is a great way to gain practical experience and reinforce the information. Reports should be initiated weekly and maintained by the facility manager. Follow-up by the facility manager is expected where progress is not meeting expectations described in this document. Without reinforcement of standards, the program will not succeed. g. Through facility or department meetings, meet with staff and personally inform associates why the DTRT training and awareness program is needed. Facility managers must believe in and reinforce buy-in and the importance of the program’s success. At least weekly, perform “spot checks” with associates to assess effectiveness of your marketing, training, and reinforcement efforts. h. With assistance from the Learning Facilitators (LFs), if necessary, the facility manager will define the DTRT program. If the associate can't resolve a customer complaint or problem, they are to personally escort that customer to the management official, with the necessary level of authority, to resolve the problem. Define the following operational standards, as they apply: (1) Establish maximum markdown authority. (2) Provide reasons to offer a markdown or an even exchange. (3) Provide reasons to reduce prices. (4) Offer a comparably priced item for out-of-stock situations. (5) Establish a policy for associates to contact other stores within the region for the desired merchandise and shipping to their store. (6) Determine a coupon policy for not meeting customer needs or when an associate has made a mistake.
EOP 40-11 1-5
(7) Ensure DTRT training is ongoing and reinforced by you and your supervisory staff. This includes initial and remedial training of associates as well as facility/sales area manager and supervisory meetings with all associates. You are personally responsible to make certain all associates know the following: (a) What constitutes a customer complaint. (b) Where all necessary problem solving learning resources are located. (c) Management supports and expects associates to resolve complaints (through instilling their authority to do so). (d) The level of authority associates have in order to do the right thing for customers. (e) Any limitations to the level of authority associates have. (f) Where the associate’s authority level ends and where their manager’s or supervisor's authority level begins.
Associate Action 1-6.
The associate will take the following actions to enforce the DTRT program: a. Listen and react immediately and without hesitation to a customer complaint.
b. Remain professional and calm. Never take a complaint personally; consider a customer complaint a part of their job. Accept the complaint as a positive event, an opportunity to personally take charge and satisfy the customer. c. Offer traditional available solutions using existing Exchange policy and programs that allow associates themselves to resolve customer complaints; ask the customer what will satisfy their needs if the offered solution is not acceptable to them. Determine whether it is within their authority to resolve the complaint based on the customer's input. d. Know how the various Exchange programs can be used to resolve a customer’s problem. e. Develop a positive attitude and comfort zone, if and when the need arises, to seek out management assistance if you are unable to resolve the customer's complaint. f. Take proactive action to resolve the problem before it escalates and becomes a complaint, or before the customer becomes irate and/or upset. g. Resolve the customer’s problem with the aforementioned tools, training, knowledge, and new levels of confidence. h. Inform your manager of your successes!
EOP 40-11 1-6
Corporate University Web-Based Learning (WBL) Courses
Figure 1-5
Customer Service WBL Essentials Customer Service Essentials A069 190H A117 A128 160H
Customer Service in the Information Age Quality Customer Service SuperSTAR Customer Service Twenty Ways to Improve Customer Service Delivery Quality Service
A078 120E A100 A104
Influencing Others Customer Satisfaction Get to Know Your Customers Meet Your Customers’ Needs
Telephone Techniques A119
Telephone Courtesy and Customer Service
A120
Telephone Skills from A to Z
Communicating with Internal Customers A058 A123 A060 C100
Business Etiquette and Professionalism The Business of Listening Communicating with Employees Communication Skills for Leaders
A064 125E 039B
Creative Rapport Improving Peer Relationships Presentation Skills
Figure 1-6 EOP 40-11 1-7
Manager on Duty 1-7.
Program Intent
a. The Manager on Duty (MOD) program is an extension of the DTRT program. It should be implemented when a customer's complaint/concern goes beyond the entry-level store associate's authority and knowledge. b. In approximately half the cases where a shopper does experience a problem, the sales associate is able to resolve the problem utilizing DTRT principles. For the remaining cases, management's involvement is needed to obtain a resolution for the customer. c. The MOD seeks problem resolution at the management level by resolving any customer concern that hasn't been resolved at the associate level. Critical success factors to improving customer service require our customers to be served quickly and professionally during their shopping experience. 1-8.
General Manager's Action a. Define the expectation of the MOD when approached with customer concerns. b. Define the MOD program's intent with all associates.
c. Designate a specific manager for blocks of time each day to serve as the MOD to handle customer inquiries, complaints and any other issues. d. Provide guidance on any questions/concerns the MOD may have concerning existing Exchange policies and programs. e. Ensure managers and associates have a clear understanding of and support the MOD program. f. MOD is intended for all levels of store management, as long as it involves a manager. However, in small main stores, we realize that supervisors may be required to act as the MOD on a limited basis. 1-9.
Manager on Duty Responsibilities
a. Proactively resolve customer's concerns and problems, utilizing a working understanding of Exchange policies and programs. Do everything possible to resolve problems at the store level. b. Properly execute current store programs, including, but not limited to, the following: • • • • • • • c.
Plan-o-Grams (POGs) Clearance merchandise end caps "Was/Now You Save" labels on clearance merchandise Clearance shoe racks Weekly tabloid execution Work Load Planning (WLP) Answer the call boxes in a positive, friendly manner
Always remain calm and professional when addressing customers.
d. Be visible on the sales floor at all times. e. Speed in arriving to an MOD call is important to the success of this program.
EOP 40-11 1-8
Chapter 2
Courtesy Purpose and Applicability 2-1. Chapter 2 provides general guidance to management and customer-contact associates for developing and maintaining the highest level of courtesy and service to our customers. 2-2.
The objectives of customer courtesy: a. Emphasize the need of always serving the customer in a courteous way.
b. Define the general responsibilities of management and associates with relation to the courtesy program. c. Establish mandatory training programs on courtesy utilizing “The Exchange is You” training (see Figure 2-1). d. Gain complete customer satisfaction by providing courtesy and service in all facilities. “The Exchange is You” Expert Customer Service training establishes four foundations for customer service (Greet, Listen, Suggest, and Thank), as well as a model for responding to customer complaints. 2-3.
Chapter 2 information applies worldwide.
General 2-4. Good service, quality products, and courtesy earn customer goodwill and create customer satisfaction. When offered on a daily basis, year-round, they encourage our customer to patronize the Exchange facilities repeatedly. 2-5. Customers expect competence, businesslike assistance, and polite, sincere consideration from Exchange associates. The customer-contact associate who is rude, disruptive, and generally discourteous not only loses sales, but drives customers away.
Initial Approach 2-6. In the retail sale, the first few words are the most important. Many customers think sales associates will try to force them to buy. They immediately put themselves on the defensive when a sales associate approaches and are prepared to say, “No, I’m not interested” or “No, I’m just looking.” Consequently, sales associates should consider their opening remarks. Asking open-ended questions will gain the most information from a customer. The proper approach to the customer is a matter of skill and tact, calling for confidence (without an indication of self-importance) and a willingness to serve, as well as a positive attitude and cheerful outlook. 2-7. A friendly greeting can be brief. It’s the sincerity of the greeting that’s important. Greeting the customer should show some originality. You have five seconds to make a good impression. Three standard approaches are “Hello,” “Good Morning,” and “Good Afternoon,” using the customer’s rank or name, if known. Military men and women in uniform wear their name and rank in plain sight. Sales associates must learn to use titles correctly, such as “Sergeant Walker” or “Lieutenant Jones.” Military personnel in civilian clothing and their adult dependents are best addressed as “Sir” or “Ma’am,” unless the associate knows them by name. EOP 40-11 2-1
2-8. Sales associates must take the initiative to acknowledge and offer assistance using the 10-foot rule. Associates can achieve this by being available to answer customer questions and providing customers with assistance. Practicing the 10-foot rule creates a sense of belonging and enforces the Exchange as our customers' shopping destination of choice. 2-9. Sales associates are required to engage customers in friendly conversation when they are within a 10-foot radius. Be friendly and helpful and acknowledge the presence of each customer quickly. An associate who isn’t already helping a customer should stop what he/she is doing and serve a waiting customer. If the associate is helping another customer, additional customers in the associate’s area of responsibility should be acknowledged, such as “I’ll be with you in a moment.” Recognition by the sales associate will cause a customer to wait longer.
Checkout Courtesy 2-10.
Cashiers and customer service representatives have two mandatory requirements:
a. Recognize our customers by name and rank, if possible. The greeting should include the service member’s rank and name if the customer is in uniform, paying by check or credit card or offering some means of identification (ID) of name and rank. In areas where other service members visit the Exchange, our associates must also study and recognize the appropriate rank of service. If the associate cannot identify or pronounce the rank or last name of the customer, the minimum requirement is to address the customer by “Sir” or “Ma’am.” b. Ask the customer if they found everything they were looking for. If the customer replies with a “No,” the associate must ask what item(s) had they been looking for but were unable to find. The cashier or customer service representative must call for an associate to help find the item(s) or provide a positive response on the future availability of the item. If it takes longer than three minutes to get a response from the applicable associate, a supervisor or manager must be paged for immediate assistance. 2-11. Irritations at the checkout area can destroy all previous courtesies. Conversation between cashiers, with disregard for the customer, should be minimized and constantly monitored by management. Cashiers and management alike should always be on the alert for buildup of lines at the checkout. When needed, open more registers. The three-in-line policy requires opening additional checkouts when three or more customers are waiting in line (for more details, see Chapter 37 and Figure 37-1).
Handling Difficult Customers 2-12. A few customers may be rude, disrespectful or critical of the sales associate and the Exchange. Experienced customer-contact personnel know these customers must be handled in a special way. A few customers may provoke the new sales associate to be discourteous. Associates can handle these situations best by keeping their tempers under control, smiling, and asking the customer how they have displeased them. Customer-contact employees should never argue with a customer; no one is a winner. The associate should refer an unreasonable customer to the supervisor – offer to guide the customer to the supervisor and politely introduce them. 2-13. When a customer is discourteous for no apparent reason, experienced sales personnel know that another matter has upset the customer and the customer is misdirecting this resentment to the associate. In these cases, the associate should be very careful in handling the customer. Tempers must be kept under control and the associate must keep a pleasant attitude (see Lex Course 230H, Calming the Upset Customer).
EOP 40-11 2-2
Telephone Courtesy 2-14. Answering the telephone (commercial and Defense Switched Network [DSN]) is one of our most important daily duties because customers are gained or lost based on the attitude projected when the phone is answered promptly. 2-15. All telephones in Exchange facilities must be answered no later than the third ring. Customers should never be put on hold and then forgotten. The professional image of our organization is at stake when customers call and the phones aren’t answered promptly. 2-16. Evaluate your telephone habits, then review the guidelines listed in this chapter and make the changes required to develop a professional telephone personality (see Lex Course A119, Telephone Courtesy & Customer Service, and Lex Course A119, Telephone Skills from A to Z).
Training 2-17. Most Exchange associates are courteous people, motivated to do their jobs well. Instances of discourtesy can usually be the result of inadequate training in meeting and dealing with people. 2-18. Customer courtesy is a prime concern of all facility managers. Formal training for all customercontact associates should be at least twice a year. “The Exchange is You” training will provide associates with empowerment skills. 2-19. For current Corporate University Lex courses – 505H, Air Force Rank; 506H, Army Rank; and 198H, Do The Right Thing – see the Lex - learning brought to you!
Store Closing Announcement 2-20. The store’s closing announcement should be courteous to our customers. Management should make a closing message at the time of closing and again 10 minutes after closing time. The message should be courteous, advising customers to take their items to the cashier at their convenience. The message can also suggest the store will be open again tomorrow, noting the local time for their continued shopping convenience. Associates must remember that as long as customers are on the floor, they must not rush them.
EOP 40-11 2-3
The Exchange Is You
SUBJECT: THE EXCHANGE IS YOU AND ALL YOU DO! APPLICABILITY: ALL ASSOCIATES DIRECT QUESTIONS: MD STORE OPERATIONS HELP DESK
INFORMATION MESSAGE Our associates are on the front lines every day taking care of our valued customers. YOU are valued and trusted! YOU know our customers best! Making decisions when serving our customers is the number one way YOU are EMPOWERED. What can YOU do? • • • • • • • • •
Put the Customer on center stage. Listen to the customer to determine what he/she wants. If the customer raises a concern/problem that calls for a decision, YOU decide what to do…YOU are EMPOWERED to satisfy the customer. Know and use the 4 Foundations in your daily interaction: Greet, Listen, Suggest, and Thank. Make the customer feel valued; be proud of your Empowerment…YOU Make It Happen!! Know that your decisions or solutions help to take care of our customers quickly. Utilize your training and MD Store messages to resolve issues or problems. Don’t automatically bring the problem/issue of the customer to your manager. Solve it! Be a Risk taker.
What if I make a mistake? •
At least you made a decision! Learn from mistakes and get better next time.
What if the Loss Prevention directorate (LP) questions me? •
Do the right thing and it’s easy enough to see that YOU are acting as an EMPOWERED Customer Service Professional.
Our customers depend on YOU to create a great shopping experience. This is your opportunity to turn customers’ negative experiences into positive ones and make them Customers for Life.
Figure 2-1 EOP 40-11 2-4
Chapter 3
Customer Comment Program Purpose and Applicability 3-1. The Exchange Customer Comment Program is a tool for building and maintaining effective channels of communication with Exchange customers. We encourage customers to express their complaints, suggestions, compliments or requests through various avenues of communication. Customer feedback is instrumental to the Exchange to help us better serve our customers and improve their overall shopping experience. Problem resolution remains a major concern for the Exchange. CSI results tell us that customers who indicate their problem has been resolved have much higher overall satisfaction with the Exchange. Surveys also tell us customers’ overall satisfaction with the Exchange tends to decrease when it takes more than 24 hours to resolve their problem. The Customer Comment Program provides an effective system for recording comments, responses, and response times, as well as reporting tools to track customer trends, problem areas, and other valuable information to continually improve service to our customers.
How Customers Can Submit Feedback 3-2. Headquarters (HQ) provides customers various ways to submit their comments, to include the following: a. Store Manager (or GM). Customers should see the store manager or GM for immediate resolution. Studies show customers are most satisfied when their issues are resolved right away. Encourage customers to seek the store manager(s) for problem resolution. b. Internet feedback via http://www.shopmyexchange.com/ (“Contact Us” link). (1) Customers can submit Exchange feedback by clicking the “Contact Us” link on shopmyexchange.com, then “Provide Store Feedback.” (2) This feedback is automatically populated into the Enhanced Customer Comment Program (ECCP) when customers submit the comment, and the Customer Relations staff simply routes it to the appropriate Office of Primary Responsibility (OPR) for action/response.
Submitting Internet Feedback
Figure 3-1
EOP 40-11 3-1
Contact Us Link
Figure 3-2 c. Toll-free customer service center @ 1-800-527-6790. Customers who call this number can reach any department or associate at HQ by following the prompts. For Exchange issues, customers choose Option 4, and then Option 1 or 2 to speak to a member of the Customer Relations staff. The staff then enters the telephone feedback into ECCP and routes it to the appropriate OPR for action/response. d. Department of Defense (DoD) Interactive Customer Evaluation (ICE) – Customers submit their online ICE comment cards for the location of their choice. Once the comment card has been submitted, the Exchange Customer Relations team enters the comment into the ECCP system and routes it to the appropriate OPR for review and response. Once the OPR closes the comment in the ECCP system, the Customer Relations team closes the comment in ICE.
Signing 3-3. The Poster Kit highlights a high profile program, designed to provide customers an efficient method of supplying feedback to improve customer service and store processes. 3-4. Signing for the customer comment program is shipped by automatic distribution and will not be available for re-order. Additional quantities and display guidance can be downloaded and printed from V Magazine (VMag).
Execution 3-5. An 11” x 17” Poster Display is to be inserted into the Clear Wall Mount (order from Excell Products at 1-800-633-7670, Part #306102; item not shown in instructions) and located at customer service, the checkout and mall areas of the main store, all branch stores, and the food court. 3-6. For questions regarding the execution of this sign kit, please contact Anne Duffley at
[email protected]. For questions regarding content of this sign kit or to request additional quantities, please contact
[email protected]. EOP 40-11 3-2
3-7.
The Poster Display must be prominently displayed in the entrance of: a. All main exchanges (checkout area, customer service area, mall area) b. All food courts c.
All branch stores (Express, Military Clothing Sales [MCS], Class Six, and Troop Stores)
How to Log Responses in ECCP 3-8. ECCP comments should be responded to and closed out within 72 hours. We know this is not always achievable, but it is the time to strive for. Comment forms should be updated with action taken, as follows: a. To close out a comment in ECCP, copy/paste contents of the email, letter, or summary of the telephone response into the “Add Your Actions Taken” field of the comment form. Then, select the date the customer was contacted and “Close Comment as Complete.” b. If further action is taken after the comment is closed, the comment should be updated with the additional information. Simply access the comment, add your action to the “Add Your Actions Taken” field, then click “Save changes for now.” c. If you are delayed in answering the inquiry (you may need to contact a supplier, concessionaire or other Exchange element), make an interim response to the customer via telephone or email. Let them know you received their inquiry and will get them a final response by (specific date). Access the comment in ECCP and add interim actions, then click “Save changes for now.”
Help for Answering Comments 3-9. If you need assistance answering a customer’s question, use the Suggested Responses posted on the Intranet under “Marketing.” Click on “Manager, Associate, and Customer Satisfaction Programs,” then “Suggested Responses to FAQs.” This will help you answer the most commonly asked questions. The file contains standard replies on the sale of quality merchandise, foreign-made merchandise in Continental United States (CONUS) exchanges, Exchange privileges, merchandise pricing, layaways, stock assortment, services policies, financial policies, special orders, and other topics of current interest.
EOP 40-11 3-3
Customer Comment Program
Figure 3-3
Using the ECCP Reporting System 3-10. The ECCP provides a channel of communication from customers to Exchange management, and tracks the time it takes from customer’s initial contact to management’s response. a. Customer Comment Maintenance: http://h3.aafes.com//ECCP/spvsrch.asp. Customer comments can be accessed and updated through this function on the ECCP main menu. Click the maintenance link and put the comment control number into the search field, then click on the facility number to access comment(s). b. Customer Comment Search by Name: http://h3.aafes.com//ECCP/NameSearch.asp. This function pulls up a customer’s comment by searching on his/her name. c. Report Function: http://h3.aafes.com/ECCP/Reports/main.asp. This function is used for comment analysis and includes the following:
EOP 40-11 3-4
Exchange Customer Comment Program Login Screen
Figure 3-4 (1) ECCP Search: http://h3.aafes.com//ECCP/Reports/ECCPSrch.asp. Gives a search list of all regions, facilities, and categories. By selecting the group or particular exchange, it pulls up the customer comments for that particular group. By clicking on the comment subject, it displays the comment and you can easily see whether it has been resolved. (2) ECCP Summary Report: http://h3.aafes.com//ECCP/Reports/Summary.asp. Designed to identify trends in comment categories. Select either a region number, 4-digit exchange number or a 10-digit facility number. It gives the breakdown of all categories for the region or exchange. Click the items in blue to produce the specific store involved, and then choose a specific comment. (3) ECCP Quick View: http://h3.aafes.com//ECCP/Reports/QuickRpt.asp. Designed for senior leadership’s daily review of open comments and response rate. Under this function, you can view: •
NEW customer comments worldwide (GREEN button – 1 to 4 days old)
•
PENDING comments (YELLOW button – 5 to 14 days old)
•
OVERDUE comments (RED button – over 14 days old)
(4) ECCP Facility/Category Type Report: This function details the comments by “Facility Type.” Choose the type of facility you want, and then display comments as an overall summary (Summary Report) or a list of comments (Verbatim Report). Any region or exchange/facility can be reviewed for a selected timeframe. (5) ECCP Compliments Report: http://h3.aafes.com//ECCP/Reports/Compliments.asp. Lists number of compliments broken out by exchange, for a selected month. (6) ECCP Received Report: http://h3.aafes.com//ECCP/Reports/CommentsRcvd.asp. Lists number of comments received broken out by exchange, for a selected month. (7) ECCP Completion Time Report: http://h3.aafes.com//ECCP/Reports/ResponseTime.asp. Shows time (in days) it took the region or facility to close their comments during the year.
EOP 40-11 3-5
Exchange Facebook Responses 3-11. The Exchange Facebook website provides an opportunity for customers to join into discussions of their military shopping experiences. HQ Social Media only responds to all inquiries posted in the Exchange Facebook. a. EOP 05-21, Exchange Social Media Guidance, states only those associates assigned to the HQ social media team shall respond to customers directly through Facebook. b. Store associates should never directly respond to Exchange Facebook comments or questions on the Facebook site.
Facebook Social Media http://www.facebook.com/AAFES.BX.PX
Figure 3-5
Exchange Facebook Page
Figure 3-6
EOP 40-11 3-6
Sales Receipt Customer Survey (Select Facilities) 3-12. The "We Value Your Opinion" survey is another opportunity to solicit customer feedback. This program has applicability to select facilities. Click here for a list of participating facilities. 3-13.
At the end of each sale, cashiers will:
a. Circle the savings on the receipt. Tell the customer how much they saved to reinforce the value they received at the Exchange. b. Circle the survey statement on the receipt. • • c. 3-14.
Ask the customer to fill out a short survey on the link identified at the bottom of the sales receipt. Tell them they could win great prizes.
Always thank them for shopping with us and invite them back.
"We Value Your Opinion" Signing: a. Click here to access Readylink through VMag; select Option 5.
b. Preferred signing method: Main stores with light boxes at Central Checkout should use either the 24X30 or 36X48 duratrans. c. Main stores without light boxes at Central Checkout should print the 22X28 sign and place in either a single-tier sign holder at the store entrance or in a Sekur frame at Central Checkout. 3-15. Positive customer interaction is the best way to close out a great shopping experience at the Exchange! Please make sure your store is actively participating in this program if you are listed. If your store is not listed, please do not utilize the program procedures. 3-16.
Direct questions to
[email protected]
EOP 40-11 3-7
Chapter 4
Target Marketing Purpose and Applicability 4-1. Exchange Target Marketing is a direct marketing media to drive response and build engaging and profitable customer relationships across all Exchange channels.
Goals 4-2.
The goals for the marketing venture are threefold: a. Maximize lifetime value. b. Improve customer loyalty. c.
Increase market share.
Programs 4-3.
The programs included in this concept are: a. Still Serving Campaign. b. Informational Mailing to Guard, Reserves, and Active Duty. c.
Postcards.
d. Various mailings targeted to marketable customers, as identified. 4-4. Still Serving goes to approximately 1.4 million retiree households during the September/October timeframe. This is supported by radio, sign kits, local media announcement, as well as corporate media releases by HQ Plans-Communication. The event is also supported by shopmyexchange.com, with a special Still Serving website located on the Customer Relationship Marketing portal that includes information, online sweepstakes, and merchandise selected for the retirees. Local events planned at the store level include: sidewalk sales, free samples, contests, sweepstakes, refreshments, fashion shows, demos, book signing, health clinics, and other special activities. Store teams organize a fun, entertaining weekend to salute and honor the military retiree, while emphasizing Exchange benefits and providing an incentive to visit the Exchange. Exchange buyers drive merchandise with special items selected for the Still Serving event. The most successful events from previous years are those with a close connection to the retiree community and personal support from the installation commander. GMs are encouraged to form these partnerships to help make this event successful. This campaign is a two-pronged marketing approach: a. A direct mail to the retirees. b. A three-day event weekend.
EOP 40-11 4-1
Campaign Components 4-5. Motivational customer enticements include a letter from the Director/Chief Executive Officer (CEO), coupons, and special time-limited offers. These are measurable through Universal Product Codes (UPCs). 4-6. Benefits/Informational mailings to Guard/Reserves and Active Duty Members touch more than 1.4 million Army, Air Force, Guard, Reserve, and Active Duty households. This campaign does not have a specified timeframe; however, information on exact campaign, components, coupon, and timeframes will be communicated in advance and information regarding the mailing will be posted on the Customer Relationship Marketing portal. Typical campaign components include a letter from the Director/CEO, Exchange benefits information, coupons, and time-limited offers, plus other inducements for the customer to act immediately. Again, these are measurable through UPC codes. 4-7. Postcards are a great way to motivate and inspire customers to visit stores and make a purchase. Information on developing and ordering postcards can be found on the Customer Relationship Marketing portal. Portal information includes sample templates, demographic, cost, lead time information, and an order form. 4-8. Various mailings targeted to marketable customer groups may be sent as the need arises or when specific customer groups are identified. These campaigns will not have a specified timeframe and components will vary with each mailing; however, that information will be communicated in advance. Coupons will be measurable through UPC codes. Note: Marketable customers are those that have opted in for marketing mail from the Exchange.
Motivational Customer Entitlements
Figure 4-2 EOP 40-11 4-2
Chapter 5
We Price Match! Program Purpose and Applicability 5-1. This chapter provides guidance and store operating procedures for the Exchange We Price Match! program. This is a mandatory, ongoing, competitive pricing strategy. Though advertised most heavily in main stores, the We Price Match! program applies worldwide to all retail stores, to include Express, Class Six, Car Care, and Troop stores. We Price Match! signing informs customers of the Exchange Price Match policy. This directive provides details for proper execution of this highly visible program.
Responsibility 5-2. The GM is responsible for ensuring every associate of the Exchange is trained on this program. It is very important that associates take the time to understand the price match policy along with its rules and exclusions, and are able to effectively and professionally communicate it to our customers. The proper administration of this policy can ensure our customers choose the Exchange as their first place to shop. Note: Every Exchange associate should be able to answer customer questions on the program.
Definitions 5-3.
The following definitions apply throughout the chapter: Local competitor – A retailer doing business in the community where the Exchange is located, to include warehouse clubs, Navy, and Marine Exchanges. The GM is responsible for providing guidance on what area is considered “local.” Current ad – A local competitor's current advertisement (ad) that clearly shows inclusive current dates for items advertised in a tabloid or circular by the local competitor. Identical item – Item that has the same brand, manufacturer, features, size, color, and model number. For Softlines, item must be same brand, size, color, and style.
Exchange Retail Store Price Match Program 5-4. Although the Exchange strives to offer the lowest price every day, there are occasions when our competitors do beat our price. The Exchange We Price Match! program was established to ensure the Exchange is able to provide the best pricing to our customers. 5-5. Exchange retail stores will match a local competitor’s current price on any identical stock assortment item for the customer who makes the price challenge. Customers that find a lower price on an everyday shelf price or advertised price in a local competitor’s ad can request a price match at any register.
EOP 40-11 5-1
5-6.
There are two types of In-Store Price Match challenges:
a. Verbal Challenge – Accept price challenge on an identical item from local competitors with the difference of $10 or less (per item). No ad is required for this type of challenge; however, verbal challenges may require validation by store management. b. Advertised Challenge – Accept price challenge on an identical item with a price difference greater than $10 (per item). Customer brings in a current ad from local competitor. If the customer does not have the ad, management/designee must verify the price by obtaining the ad or by contacting the competitor.
What Stores Do and Do Not Match 5-7. Exchange retail stores worldwide will accept verbal price challenges on identical stock assortment items from local competitors. Price differences up to $10 will be honored on-the-spot at any cash register. Price matches for amounts greater than $10 require price validation (either using customer’s copy of the ad, our copy of the ad, or by calling the local competitor) and approval by a supervisor or manager. 5-8. Exchange retail stores worldwide will match pricing on identical items found in the Exchange Catalog or shopmyexchange.com. Exclusions apply. 5-9. Exchange retail stores worldwide will not accept price match challenges from any outside retail catalog or outside internet site. 5-10. Exchange retail stores worldwide have a 14-Day Price Guarantee on any item originally purchased from the Exchange and subsequently sold at a lower price by the Exchange or any local competitor.
Questionable Price Matches 5-11. There may be an instance when a customer requests a verbal price match that seems unrealistic. For example, “the Dollar Store has this item for $1” and the Exchange sells the item for $10. To understand the best way to handle this type of situation, all customer contact associates should review the price match HERE. Management does have the authority to require validation should they feel the program is being compromised. 5-12. Ultimately, it is most effective to honor the questionable price match on-the-spot and have your local price surveyor verify the price at the local competitor after the sale is completed. That way, if the same item is price matched again and it is invalid, the associate/management can professionally and appropriately deny the price match request. Note: If it is uncertain whether or not an item is identical, a “common sense approach” will be used and we will give the customer the benefit of the doubt, ensuring the credibility of the program. 5-13. It is also important to know what the local competition is promoting. Reviewing competitor’s weekly tabloids and having them on-hand so prices can be easily verified, if needed, is a good practice.
EOP 40-11 5-2
5-14. It is very important to maintain professionalism when addressing a customer’s request for a price match. Satisfied customers are loyal shoppers. Responding favorably to a customer’s price match can mean the difference in losing a customer and keeping a customer for life. While customers do purchase clearance and sale items, it’s the overall shopping basket that contributes to Exchange earnings. Plus, a customer that fills their basket in our store saves up to 20% on many national brands and pays no sales tax.
Procedures for Accepting the Price Challenge 5-15.
Accepting the Price Challenge.
a. Verbal – A customer may tell us they know our price is higher than a competitor’s. We will accept their word and charge the lower price, up to a difference of $10. This will be approved immediately by the cashier-checker or sales associate. No competitor’s ad or any other proof is required. Price challenges $10 or less do not require supervisor or managerial approval. b. Advertised Challenge – For price challenges representing a discount greater than $10, a manager or supervisor (or someone designated by local management) must approve the challenge. The associate has some latitude in approving the discount. If, for example, the sell price difference is $10.01 or just a little over the $10 limit, it would make sense to approve it rather than hassle the customer for a few cents. At times, the $10 limit may be too restrictive. Price challenges that are clearly out of the $10 price difference range, or seem questionable, must be verified before the discount is given. If it shows this part of the program is being abused, local management may begin additional controls, as required. When giving the discounted price, the register operator/store associate must verify: • • •
The ad is current. The ad is from a local retailer. The item in the competitor’s ad is identical.
5-16. The PRICE OVERRIDE key will be in effect for Point-of-Sale (POS) registers. The PRICE OVERRIDE key provides four options: • • • •
Markdown Price discrepancy Promotional discrepancy We’ll Match It
5-17. Each option will now book directly to Cash and Sales via the T-Log transactions. The first three options will book to Transaction Code 478-01 and the last option for We’ll Match It will book to Transaction Code 478-15.
EOP 40-11 5-3
5-18.
POS instructions for a PRICE OVERRIDE – the cashier: a. Scans the item. b. Presses PRICE OVERRIDE key. c.
Selects (highlights) item being challenged.
d. Presses Enter when the challenged item is highlighted. e. Enters NEW PRICE. f.
Selects correct PRICE OVERRIDE reason from POS menu.
g. Completes the transaction. 5-19. Using the We’ll Match It POS key for anything other than price challenges is not an acceptable practice. Using this key for other than its intended purpose distorts reporting. These reports provide valuable information about where we may have pricing issues and may be used for budgeting and the overall management of category pricing.
Overseas Locations 5-20. In overseas locations, with the daily fluctuation of currency values, it is important to standardize currency rates for price matching purposes. This action establishes the way the Exchange determines daily exchange rates for price matching purposes. Use the Conversion BUY Exchange Rate that is posted in the cashier’s cage. This is a daily exchange rate obtained from the local community bank or the military finance office. This exchange rate is valid until the next day’s rate has been posted. a. Example #1 (One U.S. Dollar = 0.747988 Euro) The local Mann Mobilia retail store is selling the identical dual voltage Espresso Coffee Machine as the Mainz Kastel Main Store. Mann Mobilia’s retail price is 91 Euros ($121.66 when converted); the Mainz Kastel Main Store’s retail price is $129.00. An verbal price challenge is authorized. b. Example #2 (One U.S. Dollar = 100.109 Japanese Yen) A local Sony distributor is selling the identical DVD player as the Yokota Main Store. The distributor’s retail price is 263.2 Yen ($262.82 when converted); the Yokota Main Store’s retail price is $289.00. A regular price challenge is authorized.
Exchange Catalog and shopmyexchange.com Price Match 5-21. The Exchange Catalog and shopmyexchange.com will match/accept a lower price (including shipping and handling) from other online retailers on any identical stock assortment item currently available for sale and delivery to the customer’s area. 5-22. The Exchange Catalog and shopmyexchange.com will match Exchange retail stores' pricing on identical items found in an Exchange retail store. Normal shipping and handling charges will apply.
EOP 40-11 5-4
5-23. The Exchange Catalog and shopmyexchange.com have a 14-Day Price Guarantee on any item originally purchased from the Exchange store, Exchange Catalog, or shopmyexchange.com and subsequently sold at a lower price by the Exchange store, Exchange Catalog, shopmyexchange.com, or any competitor. The 14-Day Price Guarantee does not apply to Exchange Online Mall concession sites or special orders. 5-24. Process – To receive the reduced price, the customer must email the price match information to
[email protected] or contact us at 1-800-527-2345. Note: With the efforts to ensure store and online pricing parity, there should be few instances when the store and online prices do not match. Please notify the respective buyer via MD Help Ticket should you find a large pricing variance between stores and online.
Program Exceptions (Exchange Retail, Exchange Catalog, and shopmyexchange.com) 5-25.
The following exclusions apply to stores and/or online Price Matches: • • • • • • • • • • • • • • • • • • •
Fine jewelry Wireless phones, wireless data cards Dispensed fuel Official military clothing/accessories Clearance, closeouts Refurbished items Auction sites, resale, garage sales Gray market, unauthorized dealers Bonus or free offers Gift card with purchase, free gift with purchase, purchase with purchase Limited quantity items, including Black Friday weekend buys, Cyber Monday buys, doorbusters, timed events (ex. “1 hour only” event) Bundled promotions Percentage off items/categories, double/triple coupon offers Military discounts Pricing errors Mail-in rebates, instant in-store rebates Special orders, special order automotive parts, service contracts, automotive labor and services, installation, delivery services, assembly Special financing Exchange online mall concession stores, commissary
5-26. The Exchange cannot accept a price challenge on tobacco that is below the cost to the Exchange. 5-27. Alcohol price challenges will only be accepted from local competitors that reside within the same state or district of the Exchange. 5-28. For firearms, ammunition, and accessories, the item must be brand new, not previously owned, not refurbished, and not a closeout special. Reference EOP 40-06, Firearms and Ammunition.
EOP 40-11 5-5
Frequently Asked Questions 5-29. list):
Here are some frequent scenarios that stores may encounter (this is not a comprehensive
5-30.
Q: What Are the Types of Price Challenges? A: Verbal Challenge. A customer may tell us they know the Exchange price is higher than a competitor’s price. In this instance, accept the customer’s word and charge the lower price up to a sell price difference of $10. This will be approved immediately by the cashier/checker or sales associate. No competitor’s ad or other proof is required. However, management must be comfortable the competitor’s item is identical to the Exchange item. In the rare instance where store personnel knows the price match is invalid, they can tell the customer they suspect the price does not follow Exchange guidelines for price match acceptance, and they would be happy to verify the competitor's price. A: Regular Challenge. To receive a reduced price, a customer must bring a local, current competitor’s ad to an Exchange store. If the customer making the challenge does not have the competitor’s ad, verify the price by obtaining the ad or calling the competitor. A “local competitor’s current ad” is an ad which clearly shows inclusive, current dates and is sponsored by a retailer doing business in the community/city where the exchange is located. A current, local ad may be from another exchange which developed their own flyer or from a Navy or Marine Exchange. A: Internet Price Challenge. Price challenges from other online retailers are accepted at shopmyexchange.com, but are not accepted at Exchange retail stores.
5-31.
Q: Do you match “buy one get one free” sales? A: Yes, but only if the retail price of the item is shown in the ad.
5-32.
Q: Do you accept local store coupons from a sales flyer? A: Yes, so long as the ad is current and from a “local” store recognized by the local exchange and not a store-front for an Internet-based forwarding business. We’ll compete with similar brick-and-mortar stores established in the community. The coupon will be accepted as a price match for the stated price of the item on the coupon. No discounts, percent or dollar offs accepted.
EOP 40-11 5-6
5-33.
Q: Can a customer do a price match AND use a coupon for that item? A: Yes. The Exchange will match a price and accept a coupon for the same item. Cashiers should process the price match first, then apply the coupon.
5-34.
Q: Layaways – does the We Price Match! program apply to layaways? A: Yes, Items for which a customer has received a discount under the We Price Match! program may be put on layaway (refer to EOP 40-05, Customer Services). If a customer has an item on layaway that qualifies for a price reduction, reduce the price if the customer asks for it. The customer is not required to pick the layaway up to get the lower price.
5-35.
Q: Case Discounts – If the customer wants to price match a bottle of liquor and receive a case discount, do we honor both? A: Yes, if the local competitor offering the lower price also allows a case discount.
5-36.
Q: Does the Exchange price match loyalty cards? A: Yes, as long as the item has a stated price.
5-37.
Q: Can customers use an ad on their smart phone to price match? A: Yes, Exchange retail stores match local competitor’s brick and mortar stores only. Verify promotional dates; do not match online-only ads.
EOP 40-11 5-7
5-38.
Q: Does the Exchange require a competitor’s ad if the price match of an item itself is under $10, but the customer is buying multiples, making the total savings greater than $10?
A: No, the dollar threshold is per item. An example of this would be 10 candy bars, at $1 each, or for a total purchase of $10.
5-39.
Q: Does the Exchange price match on the propane exchange program? A: Yes, but it does not match on gasoline/dispensed fuel.
5-40.
Q: Does the Exchange price match warehouse clubs (i.e., Sam’s and Costco)? A: Yes, as long as they are local competition and items meet all other Price Match requirements.
5-41.
Q: Does the Exchange price match closeout prices? A: No; however, some stores that buy closeouts also have a regular stock of branded products. If the item is identical to our item, then match it.
5-42.
Q: Does the Exchange price match special order items? A: No. The only exception to this is tires. Because of the space limitations in stores, the Exchange does match assortment tires that are line priced on a contract and ordered into the store.
EOP 40-11 5-8
Signs 5-43. Place We Price Match! signing in the main store only, except for one sign at each branch stating the general We Price Match! policy. Along with signs stating the We Price Match! pledge and slogan, program signs have been developed for use throughout the main store to make this program highly visible (see Figure 5-1). 5-44. Post We Price Match! pledge signs (refer to Figure 5-2 for example) in areas of the Main Store where customers normally have time to stand and read (i.e., behind the checkout, customer service area, cashier’s cage, store entrance, etc.).
Disclaimer 5-45. Verbal challenges may require validation by store management. In the rare instance where store personnel knows the price match is invalid, they can tell the customer the price match may not qualify under Exchange guidelines for Price Match acceptance, and they would be happy to verify the competitor's price.
We Price Match! Poster
Figure 5-1 EOP 40-11 5-9
We Price Match! Signage
Figure 5-2
EOP 40-11 5-10
Advertising and Publicity 5-46. Advertising for the We Price Match! program is restricted to program signs and Public Address (PA) announcements within the main store. No printed material of any kind is allowed that could be carried off base or post. The single exception to this policy is the HQ weekly sales promotion tabloid. Word-of-mouth publicity is encouraged and the program should be discussed whenever possible at meetings attended by Exchange management, such as command staff meetings, advisory councils, wives' clubs, newcomer’s briefings, and “Meet Your Manager” sessions (see Chapter 8).
Accountability 5-47. The Main Store Operations Manager and Branch Managers should be appointed by the GM to control all aspects of the program.
Reports – MD We’ll Match It Price Match Report 5-48. The data captured on the We Price Match! report eliminates the manual process of creating a price change voucher when a customer presents a price challenge. Managers and Loss Prevention (LP) can use this report to identify excessive Price Match usage by cashier, category, store, or item. This report is divided by region, then by exchange, down to facility; it is further divided by verbal (less than $10) and ad ($10 or greater) challenges within each department. The first page shows Region Recap. This report is also useful in seeing how much money is booked under the Price Match program. The name of the report in the Report Management Distribution System (RMDS) is “MD We’ll Match it! Report.” 5-49. This report is also available in Business Intelligence (BI) at end-of-month. There, it is titled “We Price Match.”
Training 5-50. For additional training/guidance, associates may review Lex 279R, We Price Match! And refer to the price match video HERE.
EOP 40-11 5-11
14-Day Price Guarantee 5-51. Associates are the key to our 14-Day Price Guarantee – If a customer finds an item with a lower price at any local competitor (even at the Exchange) within 14 days of the original purchase, we will refund the difference. Customers must provide original sales receipt to validate purchase date.
Figure 5-3
EOP 40-11 5-12
Chapter 6
Customer Rain Check/Instant Substitution Purpose and Applicability 6-1. Proper execution of the Exchange Weekly Sales Promotion Program is another opportunity to enhance and improve our customers' shopping experience.
Policy 6-2. Optimizing customer service is an important part of the Exchange Balanced Scorecard. We want to continue enhancing our customers’ shopping experience through our Weekly Sales Promotion program. One way to accomplish this is by providing our customers with a clearly identified substitute item or instant substitution, rather than a Rain Check, when we are out of stock on a sales promotion item, excluding any one-time buys, special buys or limited quantity items. 6-3.
It is preferable to provide an instant substitution as it will satisfy the customer immediately.
6-4. When an item becomes unavailable, the substituted item is to be signed immediately, identifying it as an Instant Substitution (Figure 6-1) with the appropriate Point-of-Purchase (POP) shelf talker and signage. All associates should know where the list of substitutes is kept. 6-5. The emphasis of this program is to satisfy the customer. Customers should be persuaded to choose a substitute item at a reduced price for any allowable item advertised which is unavailable. The challenge is to satisfy the customer at the lowest cost to the Exchange. Responsible managers must meet with their sales associates prior to the sales promotion to identify substitutes and the appropriate prices for unavailable items. Most identified substitutes will satisfy the majority of our customers. If the customer wants an item other than the substitute, associates will assist the customer in selecting a comparable substitute at an agreeable price. 6-6. Associates must be empowered to give a comparable percentage discount or an additional discount in order to satisfy the customer. If a 15% discounted advertised item is not available, an associate must be empowered to offer a 15% discount on another item in that category or an additional discount percentage if that ensures customer satisfaction. 6-7. The Rain Check System is a common retail program used throughout the retail industry to reduce customer discontent when sales promotion merchandise is not available or has prematurely sold out. The Rain Check/Instant Substitution allows the customer a choice of taking home a substitute item or filling out a Rain Check for the advertised item. Our goal is to satisfy the customer. 6-8. Even though sales promotion procedures require the use of Rain Checks only as a last resort, customers are often forced to take a Rain Check as their only option if they want to purchase a promotional item at the reduced sell price. a. When a sales promotional item is Not in Stock (NIS), store associates will place a crossreferenced Rain Check Request Ticket Pad (consisting of 100 sheets) on the shelf directly under the sales promotional item that's NIS, using a hinged data flag with arrowhead fastener. These tickets can be found on VMag (see Figure 6-2).
EOP 40-11 6-1
b. When a customer wants to purchase a sales promotional item that's NIS, they will tear off a Rain Check Request Ticket and take it to the checkout register. The cashier will scan the Rain Check Request Ticket's UPC and issue the customer a Rain Check POS Receipt. Customers will have 30 days in CONUS and 60 days Outside the Continental United States (OCONUS) to redeem any item for which they have a Rain Check POS Receipt, at any Exchange facility, to receive the lower advertised price.
Signing 6-9. The following sign elements support the Customer Choice Rain Check Program: Instant Substitution shelf card topper, half-moon popper, and 5" x 7" topper. There is a 2½" x 3½" sign format for stores to fill in the blanks for the substituted item (see Figure 6-4). The substituted item should be placed close to the advertised item location so customers can easily identify there is an Instant Substitution. The formatted sign should also be in the advertised item location, using the sale elements, so customers know to look for a substituted item. Printable sign elements are on VMag for immediate local printing, to use until signing arrives in stores. 6-10. Additional hinged data flag with arrowhead fasteners (1/2” stem, Item # 607-2381) can be ordered directly from Beemak Display Products. 6-11. Click here for back office procedures on how to cross-reference the Exchange Rain Check Request Ticket UPC with the promotional merchandise UPC.
Instant Substitution Signing POP Topper
Figure 6-1
EOP 40-11 6-2
Exchange Rain Check Request Ticket
Figure 6-2
EOP 40-11 6-3
Exchange Rain Check Request Ticket Instruction Sheet
Figure 6-3
EOP 40-11 6-4
Instant Substitution Signing
Figure 6-4
EOP 40-11 6-5
Chapter 7
Meet Your Manager Program 7-1. The Exchange Meet Your Manager program is a mandatory quarterly program for all Main Store Managers (MSMs) and GMs to discuss Exchange operations with customers. The program must be visible to the customers. a. A critical success factor to improving service is gathering information from our customers on our products, services, and problems experienced while shopping. b. Our CSI results show that problem resolution remains our top priority. More than 18% of our customers have been on station for six months or less, and 64% of them don’t know who the Store Manager is where they shop. Half of our customers haven’t seen improvements in their shopping experience, while nearly 75% of them have returned a purchase to their store. 7-2.
The basic functions of the program are:
a. Establish a special area with a booth or table so customers can meet with the Store Manager and GM to discuss Exchange policies and programs, or address questions they may have. b. The booth or table used for the discussion should be near the store or mall entrance with a prominent banner across the top to attract customer attention. c. Include various members of the Exchange staff: Main Store Managers, Sales Area Managers, Express Managers, Branch Managers, Services Business Managers (SBM), etc. d. Be sure to publicize the program in advance. Include the date, time, and location of planned meetings. Get the word out using various media to include, but not be limited to, the following: • • • • • •
Exchange radio Command email/meetings Installation bulletin Installation newspaper In-store signing (Signing materials are available through VMag.) PA system announcements
7-3. After Action Report, copies of meeting minutes, pictures from meetings, and/or follow-up actions taken as a result of meetings reside within the Regions. 7-4. GMs should also be active participants in other community gatherings and information sessions to include, but not be limited to, the following: • • • • • •
Advisory Council Town Hall Commander’s Call Wife’s (Enlisted, Top Three, and Officer) Club Base Operating Support Service (BOSS) Morale, Welfare, and Recreation (MWR) Council
7-5. The key to this program is to acquaint customers with both your policies and people. It’s an effective means of answering questions and making Exchange managers available and visible to customers.
EOP 40-11 7-1
Meet Your Manager Poster
Figure 7-1
EOP 40-11 7-2
Meet Your Services Business Manager Poster INSTRUCTION SHEET
MAY 2011
PROGRAM: Meet Your SBM STRATEGY: This program encourages customers to meet the SBM and Concession managers to promote concession operations and build community relations. Additionally, the program invites customer comments and suggestions to improve customer service in concession facilities. DISTRIBUTION: The templates for the 22”x28” posters are available for local download and printing from VMag using the following path: Signs-Posters-Services-Vending. EXECUTION: Four different templates are available to advertise the “Meet Your SBM” event. Select the appropriate template best reflecting your event. Use an 8”X10” color photograph of the SBM. Use Storefront program to create name block: go to the “General Info” option, then “Name Panel Sign Format.” Display the poster in high traffic areas. QUESTIONS: For questions about this program, please contact Sabine Wagner at 214-312-3749 or
[email protected].
22”x28” Poster SBM only
22”x28” Poster SBM and 1 Concession Manager
22”x28” Poster SBM and 2 Concessionaires
22”x28” Poster SBM and Multiple Concessionaires
Figure 7-2 EOP 40-11 7-3
Meet Your Manager
Figure 7-3
EOP 40-11 7-4
Chapter 8
Call Boxes and Customer Service Pagers Purpose and Applicability 8-1. Customer service is an important element in the enhancement of the customer’s shopping experience. 8-2. Provide superior customer service by offering customers access to a phone or a call button so they are able to either talk directly to an associate or an associate will come to where they are located for one-on-one assistance. 8-3. The Call Box “system” will track the associate’s response time to the customer. This allows management to see if associates are responding in an efficient, timely manner. If the designated associate for an area is busy, the “next available” associate must be notified to go assist the customer.
Policy 8-4. Display call boxes and signs throughout the main store. Efficient, flexible, and discreet instore communications are essential to efficient operations, increased profits, and customer satisfaction. This is accomplished when sales associates respond to customers in a timely manner, keeping sales within our stores. 8-5. Guidance is as follows: These numbers (*) are subject to management discretion. It may be increased based upon store layout, traffic patterns, merchandise mix, and demographics.
Call Box and Price Check Station Display Guidance Module
Call Boxes
Retail Square Footage
Price Check Stations
Hardlines
Softlines
14 *
11 *
25 *
10
22
1.0
135K>
2.0
110-135K
12
3.0
85-110K
10
19 9
4.0
65-85K
8
5.0-6.0
35-65K
7
6
13
7.0
Vmag > Signs and Posters > Operational > Gift Card Signing Questions can be referred to
[email protected]. 16-43. EXECUTION: The “We Accept Gift Cards” sign is required to be prominently displayed in line-ofsight of the customer check out/service area at all service/concession locations. 16-44. Sign order should be as follows: • • • •
st
1 – nd 2 – rd 3 – th 4 –
We ID Help Us Help You Receipt Sign We Accept Gift Cards
MILITARY STAR®
16-45. Preferred placement of sign should be on the wall beside or under the register in a 7" x 5.5" acrylic holder, as shown in Figure 16-9. Slat wall or double-sided tape acrylic holders can be purchased from Excell Products.
EOP 40-11 16-20
“We Accept Gift Cards” Sign INSTRUCTION SHEET PROGRAM: We Accept Gift Cards Sign STRATEGY: To revise and update the "We Accept Gift Cards" register signs to align with the Exchange brand initiative where VeriFone is available. ORDERING INFO: These signs are being shipped by automatic distribution. Additional quantities can be downloaded and printed through VMagazine at the following path: VMag > Signs and Posters > Services-Vending > Mandatory lnStore Signing – All Stores > We Accept Gift Cards Sign EXECUTION: The "We Accept Gift Cards" sign is required to be prominently displayed in line-of-sight of the customer check out/service area at all service/concession locations. Sign order should be as follows: 1st – "We ID," 2nd – "Help Us Help You Receipt Sign," 3rd – "We Accept Gift Cards," and 4th – "MILITARY STAR®." Preferred placement of sign should be on the wall beside or under the register in a 7" x 5.5" acrylic holder, as shown below. Slat wall or double sided tape acrylic holders can be purchased from Excell Products. For those facilities that do not have walls or space on the check out/service area, the acrylic chrome flat base sign holder may be used as an alternative. Place flat based sign holders in a neat and orderly fashion viewable to customers. 7" x 5.5" Slat wall sign holder ........................... #EX066CL 7" x 5.5" Double sided tape sign holder ............ #EX068CL 7" x 5.5" Acrylic chrome flat base sign holder .. #EX064CL QUESTIONS: For questions regarding the execution of this program, please contact Anne Duffley at
[email protected]. For questions regarding the content of this kit, contact
[email protected].
Proper execution of sign in store
7” x 5.5” Sign
Proper execution of sign on kiosk or concession area
Figure 16-9
EOP 40-11 16-21
16-46. For those facilities with no walls or space on the check out/service area, the acrylic chrome flat base sign holder may be used as an alternative. Place flat based sign holders in a neat and orderly fashion viewable to customers. 7" x 5.5" Slat wall sign holder ............................ #EX066CL 7" x 5.5" Double sided tape sign holder ............ #EX068CL 7" x 5.5" Acrylic chrome flat base sign holder ... #EX064CL 16-47. Ordering: Additional quantities can be downloaded and printed through VMag at the following path: VMag > Signs and Posters > Services-Vending > Mandatory InStore Signing – All Stores > We Accept Gift Cards Sign
Navy Exchange Gift Card 16-48. The NEX Gift Card ties in with the NEX “branding image” and is accepted at Army & Air Force Exchange Service locations.
New Navy Exchange Gift Card
Figure 16-10
EOP 40-11 16-22
Chapter 17
Commercial Gift Card Program Purpose and Applicability 17-1. This chapter outlines the procedures for selling, redeeming, and controlling POSA Gift Cards. The items involved are grouped into three RETEK departments: 1031, 1297, and 9208. Exchange gift cards are covered in Chapter 16. 17-2. These commercial gift cards are sold at the registers to authorized customers in Exchanges worldwide or online through www.ShopMyExchange.com.
Replenishment 17-3. POSA gift cards are replenished only by the buying team based on weekly store sales, and are shipped from DDDC either by warehouse truck or commercial carrier, Federal Express. a. Department 1031 POSA Gift Cards. These are the majority of cards on the POG; they include prepaid long distance, wireless, restaurant, retailer, entertainment, music, and ringtones. b. Department 1297 Prepaid Gift Cards. These are used for prepayment of European long distance, ship to shore calls, and military call centers (mainly by troops in Contingency Operations). These cards arrive activated and must be secured; or are cardless and the cashier activates the barcode from a list of values. These cards are not activated by the vendor, InComm. c. Department 9208 Financial Gift Cards. These cards include Visa and American Express. Due to Financial Crimes Enforcement Network (FinCEN) regulations, our financial gift cards are not International cards and cannot be used outside the gates in the majority of our overseas locations (Guam and Puerto Rico are known exceptions). Ensure the signing is posted and all cashiers are trained to tell customers of the card limitations prior to selling these cards. 17-4. POSA gift cards have two accountable numbers: one CRC number for replenishing and another for selling. The last pages of the POGs have the list of cards with both CRC numbers. 17-5. POGs should be 100% accurate and in stock. Contact the Merchandising Directorate, Store Operations Divisin (MD-O) Help Desk for adjustments in allocation. Branch stores should transfer gift cards that are no longer on Express or MCS POGs to the Main Store after verifying the cards are on the POG MP 90070 (CONUS) or MP 90079 (OCONUS). Since the cards have no value until activated at the POS, transfer documents for cards are not required. Note: Gift cards in Departments 1031 and 9208 do not have value until activated at the register. The Department 1297 prepaid long distance card is "live," arrives activated and should be secured until the customer has purchased it. Transfer documents are required for Department 1297 gift cards.
EOP 40-11 17-1
Features 17-6.
The gift cards can be used at any business’s physical or online locations that will accept them.
17-7. The gift cards are available in various denomination amounts. Customers are offered cards in specific amounts, various denominations on a single card, or in any amount in a set range. The cards can be sold individually, in prepackaged multipacks or digitally downloaded. Reloadable or rechargeable phone cards are available through AT&T and balance inquiry is available at the register on cards with the Vanilla Visa Reload Network logo. Financial cards have activation fees. 17-8. Gift Card dormancy fees are regulated with the Credit Card Accountability Responsibility and Disclosure Act of 2009. This Act restricts the ability of companies to impose dormancy, inactivity or service fees on their gift cards. InComm and American Express do not charge any dormancy or service fees on their Visa Gift Card products. Retail cards vary by retailer. 17-9. The Gift Card is a cash instrument and a form of tender. The gift cards can be used at physical or online locations that will accept them. The customer is responsible for the card and should protect it in the same manner as cash; as the gift card is a bearer’s bond. Lost or stolen cards should be reported to the business’s customer service, not the Exchange. 17-10. Commercial gift cards (and Exchange gift cards) are considered cash instruments. Gift cards can be purchased using the following tender methods: AMEX Cash Check Debit Cards Discover Euro Dollar
Master Card
MILITARY STAR® Stored Value-Eagle Cash Visa Voyager
17-11. Should the customer purchase commercial gift cards with a name imprinted personal check, Exchange policy limits customers to purchasing $300 per day. Gift cards purchased by personal check without a name imprint are limited to $100 per day (reference EOP 55-21, Negotiable Instruments and Dishonored Checks). POS software flags gift card purchases and cash back transactions so that other forms of payments are collected after reaching the personal check limit. 17-12. Anti-Money Laundering (AML) compliance regulations prohibit Exchange Gift cards from being used to purchase commercial POSA gift cards (reference EOP 01-18, Anti-Money Laundering Compliance Plan).
Deactivating 17-13. At times, Visa or American Express cards may need to be deactivated. Managers must deactivate financial cards on a daily basis and not let activated financial cards accumulate. Stores are required to keep the activated POSA financial card secured until the card is deactivated. After the store receives confirmation the card has been deactivated, contact the FA Sales Operation Supervisor to clear the cashier’s variance and return the card to the display fixture. Circumstances requiring deactivations are: a. If the customer’s credit card is declined or has insufficient cash on hand for the purchase, the cashier must void the entire sale. A register void will deactivate the card when performed on the same day of the sale. The register will prompt the cashier to return the deactivated card to stock. b. If the customer changes his/her mind after activation and an item void or transaction void cannot be used after the purchase is tendered, the customer must work with Visa or American Express Customer Service for resolution, not the Exchange. EOP 40-11 17-2
c. If the register was experiencing a down time transaction and the gift card is activated after register files are recovered, provide the MD Help Desk with: • • • •
10-digit facility number Deactivation reason Scanned image of the back of the card Copy of the transaction: authorization, register, transaction number, date, and time
Gift Card Register Procedures 17-14. Gift Cards have two types of activating technology: Incomm Activated Barcode (IAB128) and two-step scan and swipe. Both types can be used, even in the same transaction. a. InComm Activated Barcode (IAB). This technology activates the gift card after tender is accepted and confirms it's in good standing by the end of the transaction. This technology allows cards to be item voided during the transaction or transaction voided after payment is accepted. Voided gift cards can be returned to the sales floor and used again. Transaction voids of IAB cards will return tender to the customer (debit card tender cannot be post voided). To use this card, the cashier: (1) Scans the barcode on the back. (2) Totals the transaction. (3) Collects payment, tendering credit cards first and cash instruments last. Note: In a split tender situation, debit cards, bills, and currency are always tendered very last. b. Two-step scan and swipe. This technology activates the card during the transaction and before tender is accepted. The card can be item voided before tendered, or transaction voided after tender is collected. To use this card, the cashier: (1) Scans the UPC on the gift card. (2) Swipes the magnetic stripe to load the card’s amount. (3) Collects payment, tendering credit cards first and cash instruments last. Note: In a split tender situation, bills and currency are always tendered very last.
Swipe Card
IAB Card
Figure 17-1
Figure 17-2 EOP 40-11 17-3
17-15. Gift Card Balance Inquiry. To tender a gift card, the customer tells the cashier the card balance or exact amount to tender from the available balance. The customer can contact the card’s customer service representative to determine the remaining balance. 17-16. The register codes for POSA gift cards are listed first and the action is under the "Description" heading (see Figure 17-5, InComm Reponses Codes).
Gift Card Price Match 17-17. Stores are authorized to accept Price Match commercial POSA Entertainment cards. These cards include Gaming, Music, Food, and Shopping POSA cards, and exclude Financial cards. The price match policy documented in this EOP excludes items advertised as special offers or promotions, freewith-purchase offers, and limited quantity offers (which include Door Buster and bundled promotions). Ensure the POSA card is identical to the price match card and use the “We Match It” POS key procedures.
POSA Gift Card Refunds 17-18. The Exchange refund policy is posted and printed on the receipts: Gift cards, pre-paid music, wireless, and phone cards are NOT refundable. To prevent unauthorized refunds, POSA cards are blocked at the department level.
Gift Card Accountability 17-19. Inventory procedures. POSA cards do not have inventory value and are not preloaded. These cards ring under Department 31 and have no value until activated by tendering at the register. These are identified by both selling and replenishing CRCs on the POSA POGs. Note: Power Zone I buyers control the cards with inventory value cards, AppleCare, AT&T Support the Troops calling cards or the AT&T pre-paid card in-store recharge program. 17-20. Contact the local field accountant to process POSA card corrections involving sales transactions. 17-21. Card Transfers. POGs should be 100% accurate and in stock. Branch stores should deliver gift cards that are no longer on their POGs to the Main Store after verifying the cards still active on the main store POG MP 90070 (CONUS) or MP 90079 (OCONUS). Since the cards have no value until activated at the POS, transfer documents are not required. If a transfer document is used, the store’s accountability will be adversely affected. Note: Department 1297 prepaid long distance cards arrive activated; transfer documents are required for Department 1297 gift cards. 17-22. The Business Intelligence (BI) Special Emphasis Sales Analysis report shows a negative gross profit (GP) for financial gift cards. The GP average for financial cards averages 3% of sales; not a negative as shown. The report is currently unable to calculate the three steps needed to report the financial cards fee. The vendor receives $2 from the financial card transaction and the Exchange receives the remaining amount. To calculate the financial card average GP, multiply financial card sales by 3%.
EOP 40-11 17-4
Lost Gift Cards 17-23. Gift Cards lost by the customer are not reimbursable. Gift Cards are bearer’s bonds and are to be treated as cash if lost.
Placement and Displays 17-24. POGs are updated and refreshed to keep up with market trends. These displays consist primarily of an anchor fixture for destination shoppers and an impulse display near the registers. POGs currently in use are: a. Main Store (1) MP 90073 (CONUS) or MP 90078 (OCONUS) High traffic aisle end cap (2) MP 90070 (CONUS) or MP 90079 (OCONUS) Power aisle 4x4 pallet display (3) MP 997110 (CONUS) or MP 997111 (OCONUS) and MP 90030-90034 and MP 90038 Check out/impulse displays (4) MP 90069, Gaming floor fixtures (Power Zone modules 4 and larger) (5) MP 90053, Gaming sidekick (Power Zone modules 5 and smaller) (6) Greeting card shepherd hooks. Place shepherd hooks and vendor specials every other 4 feet (8' between gift cards hooks or 8' between vendor hooks); minimum 2 hooks. Associates will stock gift cards on shepherd hooks and vendor reps will stock vendor items. Limit gift cards to 3-4 per peg hook and alternate sets on the shepherd hooks:
Set 1
Set 2
Exchange Card
Exchange Card
Vanilla Visa $50
Barnes & Noble $25
Darden $25
Sony Play Station $50
Applebees $25
Outback $25
iTunes $25
Starbucks $25
Brinker (Chilis) $25
Exchange Food Court
Note: MP997110 (CONUS) and MP997111 (OCONUS) Checkout lane blockers are no longer manufactured. Delete through attrition.
EOP 40-11 17-5
b. Express Store (1) X-Large and Large modules. First end cap POSA POG will be replaced with OpBeFit; move POSA POG to an alternate front facing end cap (3' or 4' wide). • • • •
MP 90086 Endcap 4' wide x 54" CONUS MP 90088 Endcap 4' wide x 72" CONUS MP 90081 Endcap 4' wide x 54" EUR/PAC MP 90083 Endcap 4' wide x 72" EUR/PAC
(Level 2 is 3' wide x 54") (Level 2 is 3' wide x 72") (Level 2 is 3' wide x 54") (Level 2 is 3' wide x 72")
(2) Medium and Small modules. POSA POG replaces the 54" service counter front facing gondola seasonal flex space. • •
MP90086, EXPRESS – POSA – PRE-PAID CARDS – ENDCAP – 54" CONUS MP90081, EXPRESS – POSA – PRE-PAID CARDS – ENDCAP – 54" EUR/PAC
(3) Exception Stores. Stores without 54" front facing gondola on the service counter will use one of the front facing end caps (3' or 4'). • • • •
MP 90086 Endcap 4' wide x 54" CONUS MP 90088 Endcap 4' wide x 72" CONUS MP 90081 Endcap 4' wide x 54" EUR/PAC MP 90083 Endcap 4' wide x 72" EUR/PAC
(Level 2 is 3' wide x 54") (Level 2 is 3' wide x 72") (Level 2 is 3' wide x 54") (Level 2 is 3' wide x 72")
(4) Small Express stores without 54" endcaps or service counters will use the new POSA sidekick. • •
MP 90074 Express – POSA – Sidekick – CONUS MP 90084 Express – POSA – Sidekick – EUR/PAC
(5) Extra Small Express stores and branch stores may use the Express Countertop with the 8 bestselling POSA cards. • • c.
MP 90085 Countertop Display 8 CONUS MP 90080 Countertop Display 8 EUR/PAC
Branch Exceptions (1) MP 90026 Corral Merchandiser Express (2) MP90053 Gaming Sidekick
(3) Two-sided spinner fixtures were no longer manufactured in 2011. Express stores with existing fixtures may continue to use POSA POGs. • •
MP 90075 Express 2 Sided CONUS MP 90077 Express 2 Sided EUR/PAC
EOP 40-11 17-6
(4) Shepherd hooks for stationery aisles, Greeting card shepherd hooks. Place shepherd hooks and vendor specials every other 4 feet (8' between gift cards hooks or 8' between vendor hooks), minimum 2 hooks. Associates will stock gift cards on shepherd hooks and vendor reps will stock vendor items. Limit gift cards to 3-4 per peg hook and alternate sets on the shepherd hooks:
Set 1
Set 2
Exchange Card
Exchange Card
Vanilla Visa $50
Barnes & Noble $25
Darden $25
Sony Play Station $50
Applebees $25
Outback $25
iTunes $25
Starbucks $25
Brinker (Chilis) $25
Exchange Food Court
d. Military Clothing Store • •
MP 90055 Corral Merchandiser CONUS MP 90054 Corral Merchandiser OCONUS
e. Impulse Fixtures (1)
MP 90062
BRANCH IMPULSE RACK – EXTRA SHORT
(2)
MP 90060
BRANCH IMPULSE RACK – MEDIUM
(3)
MP 90061
BRANCH IMPULSE RACK – SHORT
(4)
MP 90029
(5)
MP 90029
(6)
MP 90029
(7)
MP 90029
(8)
MP 90029
(9)
MP 90033
(10)
MP 90033
(11)
MP 90033
(12)
MP 90033
(13)
MP 90033
(14)
MP 90019
IMPULSE MERCHANDISER – COKE*
(15)
MP 90020
IMPULSE MERCHANDISER – ENERGY*
(16)
MP 90021
(17)
MP 90012
(18)
MP 90014
IMPULSE MERCHANDISER – PEPSI*
(19)
MP 90065
IMPULSE MERCHANDISER VERSA GRID (FL-01) – CONUS
(20)
MP 90066
IMPULSE MERCHANDISER VERSA GRID (FL-01) – EUR
(21)
MP 90067
IMPULSE MERCHANDISER VERSA GRID (FL-01) – PAC
(22)
MP 90031
SP10 BLUE IMPULSE MERCHANDISER – COKE COOLER – CONUS
(23)
MP 90032
SP10 BLUE IMPULSE MERCHANDISER – ENERGY COOLER – CONUS
(24)
MP 90030
SP10 BLUE IMPULSE MERCHANDISER – PEPSI COOLER – CONUS
EXPRESS – SERVICE COUNTER IMPULSE RACK – CONUS
EXPRESS – SERVICE COUNTER IMPULSE RACK – EUR
IMPULSE MERCHANDISER – OPTIONAL DR PEPPER*
EOP 40-11 17-7
* CONUS (Tinker, Carson, Langley only) – SP10 BLUE 17-25. Seasonal cards. Shippers are used to meet the increased gift card demand during holidays. Place these shippers in high traffic and impulse aisles. When the season is over, POG cards on the shipper cards may be stocked on the permanent displays and seasonal cards not on the POGs may be destroyed. The buyer will provide action messages through Store Communication or POGs. 17-26. Online. Customers can log on to ShopMyExchange.com to order Gift Cards, under the “Gifts” tab.
POSA Signing 17-27. Fixture signing and informational signing for POSA cards are located in Marketing’s Readylink or VMag using “CARD” as a search word. VMag with Readylink websites (not requiring password to access): http://vmag.aafes.com/index.php?option=com_weblinks&view=category&id=49%3Avmag-relatedlinks&Itemid=48
Readylink Signs
Figure 17-3
EOP 40-11 17-8
VMag Signs
Figure 17-4
EOP 40-11 17-9
2012 InComm Response Codes 17-28. The following table (taken from InComm document, "InComm ISO 8583 Generic Interface Specification," version 4.0.2010) lists the Response Codes which will be returned to the Exchange in Bit 39. Credit Server will interpret InComm messaging and determine what to send to POS. This chart was edited on 18 May 2012 with Production Credit Responses for Declines.
InComm Response Codes Code
Value
Response Type
00
Success (APPROVED)
Accept
03
Invalid Merchant (INVMER)
Decline
12
Invalid Transaction (INVTXN)
Decline
13
Invalid Amount (INVAMT)
Decline
14
Invalid Card Number (INVNUM)
Decline
15
Invalid Handset Identifier
Decline
16
Insufficient Funds
Decline
21
No Action Taken (CDACTV)
Decline
30
Format Error (FRMERR)
Decline
33
Expired Card (EXPIRE)
Decline
34
Suspected Fraud (SUSFRD)
Decline
Description The transaction was approved or completed successfully. This is an unconditional response. This is not a "decline" response. There is no need to retry this response. The merchant information in the InComm ISO 8583 message does not match a valid entry in the InComm database, or does not match what is expected on the interface from which the request was received (e.g., a non-Merchant message received on the Merchant interface). This is a "decline" response. Retrying the request without InComm intervention will not alter the outcome. The request type was invalid, or the transaction data was inconsistent. This is a "decline" response. Retrying the request might alter the outcome. The requested amount exceeds the applicable boundaries, the amount does not match the previous amount or the amount does not match a valid denomination for the specified product. This is a "decline" response. Retrying the request without InComm intervention will not alter the outcome. The card number cannot be found in the InComm database, or the card number specified is not assigned to the Merchant. This is a "decline" response. Retrying the request without InComm intervention will not alter the outcome. The handset identifier is not recognized by the third-party vendor. This is a "decline" response. Retrying the request without InComm intervention will not alter the outcome. There are insufficient funds to perform the requested redemption or the maximum balance allowed was exceeded for the recharge/value insertion. This is a "decline" response. Retrying the request without InComm intervention will not alter the outcome. The requested action would result in a "no operation," because the current state of the card or PIN already matches the intended result. This is a "decline" response. Retrying the request without InComm intervention will not alter the outcome. The request message was garbled; one or more bits could not be parsed correctly. This is a "decline" response. Retrying the request might alter the outcome. The card upon which an action has been requested is past its expiration date and cannot be acted upon. This is a "decline" response. Retrying the request without InComm intervention will not alter the outcome. The card upon which an action has been requested may be a fraudulently produced card, or the action being requested may be fraudulent. This is a "decline" response. Retrying the request without InComm intervention will not alter the outcome.
EOP 40-11 17-10
Code
Value
Response Type
36
Card Locked
Decline
39
Already Inactivated (ALRINACT)
Decline
40
Requested Function Not Supported (NOTSUP)
Decline
41
Card Not Locked
Decline
43
Stolen Card (STOLEN)
Decline
55
Invalid UPC
Decline
58
Transaction Not Permitted To Terminal (TXNINV)
Decline
68
Response Received Too Late (LATERESP)
Decline
91
Issuer or Switch is Inoperative (ISINOP)
Decline
92
Routing Error (RTERR)
Decline
94
Duplicate Transmission (DUPTRS)
Decline
96
System Malfunction (SYSMAL)
Decline
N1
FastCard or FastPIN Already Redeemed (ALRRED)
Decline
Description The stored value card was previously locked and not released by an unlock transaction. The account will remain locked until a redemption unlock transaction or cancellation message is received. This is a "decline" response. Retrying the request without InComm intervention will not alter the outcome. The request refers to a product that has already been inactivated. This is a "decline" response. Retrying the request without InComm intervention will not alter the outcome. The action being requested cannot be performed by the interface. This typically means the ISO Message Type, Processing Code, POS Entry Mode or POS Condition Code is incorrect. This is a "decline" response. Retrying the request without InComm intervention will not alter the outcome. The stored value card is not locked. The redemption completion with unlock transaction could not be completed. There is no change in card state or balance. This is a "decline" response. Retrying the request without InComm intervention will not alter the outcome. The request refers to a card which has been marked as stolen. No actions can be performed on a card in this status. This is a "decline" response. Retrying the request without InComm intervention will not alter the outcome. The UPC sent to InComm for processing did not match any UPC on record within the InComm system. This is a "decline" response. Retrying the request without InComm intervention will not alter the outcome. The request originated from a terminal or location which does not have permission to perform the requested action. This is a "decline" response. Retrying the request without InComm intervention will not alter the outcome. The reversal request or product return request was received outside the allowable time window. This is a "decline" response. Retrying the request without InComm intervention will not alter the outcome. Communication with a third-party vendor is required to complete the requested action, and that vendor's interface with InComm is currently unavailable. This is a "decline" response. Retrying the request might alter the outcome. Communication with a third-party vendor is required to complete the request, but a route to that vendor's interface cannot currently be determined. This is a "decline" response. Retrying the request without InComm intervention will not alter the outcome. The request is an exact duplicate of a previous request. The response to the previous request should be used. This is a "decline" response. Retrying the request without InComm intervention will not alter the outcome. A system level problem has been encountered. This is a "decline" response. Retrying the request might alter the outcome. The request refers to a product whose value has already been used. This is a "decline" response. Retrying the request without InComm intervention will not alter the outcome.
Figure 17-5 EOP 40-11 17-11
Chapter 18
Exchange Protection Plan General 18-1. The Exchange Protection Plan (EPP) provides coverage beyond the manufacturer's warranty and is an excellent opportunity to increase sales and deliver quality service to our customers. By capturing add-on sales, it will increase profits and improve the bottom line. The EPP replacement and service plans are competitively priced and will offer our customers protection for years to come. For up to date program details be sure to frequently visit the EPP portal page located HERE.
Exchange Protection Plan Extended Warranty Program 18-2. The "Exchange Protection Plan," is available at all Exchange locations worldwide. EPP is a protection plan and not a warranty, a common misconception. 18-3. This program generates gross margins in excess of 40% with no inventory requirements. Associates will offer this program to every customer every time they purchase a qualifying item. 18-4. Ensure EPP brochures are available at every register to facilitate offering the customer additional protection for their eligible purchases.
Exchange Protection Plan Brochures 18-5.
One Brochure with color coded tabs (see Figure 18-1). a. Eligible items have mechanical parts, use batteries, use fuel or plug into an electrical outlet.
EOP 40-11 18-1
b. Some eligible items include: • • • • • • • • • • •
Computers, Tablets, Peripherals DVDs/BluRay/Video Games/Gaming Software/Computer Software Electronics Gaming Systems, Gaming Software Lawn and Garden Major Appliances Small Appliances Sporting Goods Televisions Jewelry and Watches Sunglasses, Tactical eyewear and Sports Goggles
Note: See brochure for all eligible items.
Exchange Protection Plan Brochure
Figure 18-1 EOP 40-11 18-2
Exchange Protection Plan Replenishment 18-7. Each store can replenish brochures, warranty plans, supplies, and signing by going online HERE. There is no charge for this service.
Additional Exchange Protection Plan Benefits 18-8.
The EPP Program coverage starts on Day 1: a. Service Plans for products over $200.
(1) 100% parts and labor coverage – Protected against unexpected failure and the high-cost of repairs (no deductibles, no hidden fees) after manufacturer’s warranty. (2) Breakdowns due to heat, dust, and internal humidity. (3) ADH – Coverage for drops, spills and cracked screens, for electronic items and power tools designed to be portable. (4) 24-Hour Toll-Free Assistance – Customer care representatives are available to assist you 24 hours a day, 7 days a week. • CONUS: 888-221-3287 • OCONUS: 406-268-4041 (call collect) • www.asurion.com/military to register or file a claim online (5) Worldwide protection – Service is available in both CONUS and OCONUS areas. (6) Power surge protection. (7) In-home service available – National Electronics Warranty (NEW) will come to the person’s home (mirrors manufacturer’s warranty). (8) Transferable – Coverage is transferable if the product is sold or given as a gift. (90 days for Lifetime Jewelry) b. Replacement Plans for products under $200. (1) If product fails unexpectedly, Asurion does not fix it – they replace it. (2) Breakdowns due to heat, dust, and internal humidity. (3) ADH – Coverage included on electronic items and power tools designed to be portable. (4) Worldwide protection – Service is available in both CONUS and OCONUS areas. (5) Power surge protection. (6) Transferable – Coverage is transferable if the product is sold or given as a gift. (90 days for Lifetime Jewelry) c.
Technology Buyback. (1) Eligible items (over $100): • Cameras • Desktop Computers EOP 40-11 18-3
• • • • • •
Gaming Systems GPS Units Laptop Computers MP3 Players Netbooks Tablets
(2) When the customer purchases the EPP with the eligible product, Technology Buyback is included. (3) When the customer is ready to upgrade, within 12 months from the date of purchase, he/she will call 1-800-221-3287 and an Asurion representative will determine value of item based on condition. (4) Can receive up to 50% of the original purchase price. Buyback value: • •
Up to 6 months – can get up to 50% of original purchase price back. 7-12 months – can get up to 40% of original purchase price back.
d. Appliances(1) Coverage includes all benefits under Service and Replacement plans listed in the brochures. (2) One plan for any two major appliances purchased at same time. Add the prices of the two major appliances together, then select the plan based on that total dollar amount. (3) Food Spoilage- Up to $300 toward food loss as a direct result from a covered refrigerator or freezer breakdown. (4) Laundry Credit- Product out of service for 7 + days during the claims process receives up to a $25 laundry reimbursement. e. Televisions (1) Coverage includes: a. All benefits listed under Service plan in the brochure b. In home service for TV’s 42” c.
Covers original remote control
d. Power surge protection e. Remove and reinstallation f.
Up to $45 TV removal or reinstallation during the claims process
(2) For TVs under $200 offer the electronics replacement plan
EOP 40-11 18-4
f.
Electronics (1) All the benefits under Service and Replacement plans listed in the brochure a. 2 year replacement plan for qualifying products under $200 b. 2 Year or 4 year Service plan for qualifying products over $200. c. Plus:
g.
Gaming (1) Gaming Software and DVD, Replacement plans for products under $100 (2) Gaming Accessories, replacement plan for products under $200
EOP 40-11 18-5
(3) Gaming System Budle with Disc Protection
(a) Includes gaming system and up to 9 games purchased during the contract. (b) Includes coverage from Accidental Damage from Handling such as drops, spills and cracked screens (c) Plus:
h.
Sporting Goods, Lawn & Garden, Miscellaneous and Golf Plan
(1) 2 and 4 year service plans and 2 year replacement plans for Sporting Goods, Lawn & Garden and Miscellaneous (a) Eligible products include: 1) Sporting Goods- Bicycles, treadmills, ellipticals, scopes, range finders, binoculars and more. 2) Lawn & Garden- Gas grills, power tools, mowers & tractors, gas powered equipment and more. 3) Miscellaneous- Luggage, strollers, backpacks, toys and more (2) 1 and 2 year Golf Club plans that cover failure to the club head and shaft. (3) Firearms, ammunition and clips are not eligible for plan coverage i.
Jewelry service plans to keep your jewelry looking like new (1) 2 year plan covers: (a) Broken, worn or bent prongs (b) Missing side stones EOP 40-11 18-6
(c) Stretched or broken pearl strands (d) Kinked or knotted chains and bracelets (e) Broken chains, bracelet links or clasps (f) Cracked or thinning ring shanks (g) Broken earring post or backs (h) Chipped, cracked, or scratched gemstones (includes primary stobe, unless damaged from abuse), (i) Gouges or discoloration (j) Distorted or dented jewelry (2) Lifetime Jewelry Plan, gives all the protection of the 2 year plan plus: (a) Loss of diamonds or gemstones due to defects in settings (b) Initial ring sizing and one subsequent re-sizing (c) Transferable- coverage is transferable at no charge to a new owner if sold or given as a gift within 90 days of product purchase. j.
Watches
(1) Replacement plans covers eligible watches between $0 -$499.99 and Service Plan covers eligible watches between $500 - $19,999.99. (2) Coverage includes: (a) Movement failure (b) Broken stem or crown (c) Crystal scratches or breaks (d) Broken watchbands- leather, metal and plastic (e) Broken clasps (f) Case or bezel damage (h) Manufacturer defects (i) Water damage to water resistant watches k.
Sunglasses and Goggle plan features
(1) 2 or 1 year replacement plans available- Asurion never fixes the item. If the product fails, the customer will be reimbursed for their full purchase plan.
EOP 40-11 18-7
(2) Coverage includes: (a) Accidental damage from handling (scratched, cracked frames or lenses) (b) Failures due to normal wear and tear (c) Shipping costs
Exchange Protection Plan Goals 18-9.
Attachment Rate – What is attachment rate and what are the Exchange goals?
a. What is Attachment Rate? The attachment rate of a product represents how many complementary goods (EPPs) are sold for each eligible item (i.e., laptops).
b. Exchange Attachment Rate goals mirror the industry goals:
Overall
Computer
TV
Jewelry
Watches
Major Appliances
Video Game Systems
Electronics, Sporting Gds, Lawn & Garden
Sunglasses
The Exchange
15%
25%
30%
30%
27%
34%
20%
25%
25%
Industry
15%
25%
30%
30%
27%
34%
20%
25%
25%
GOALS
c.
Setting Goals using the Daily Goal card (1) Goal Setting Tips (a) Set store goals everyday (b) Set your department goals to align with the expectation of the overall store goal. (c) Have your department managers set goals for their associates (d) Don’t forget about the cashiers. This is the largest opportunity area to increase attach rate in your store. (e) Use a consistent tool to communicate and manage the goals you set.
d. How to determine what your store goal should be (1) Use the Companion Sales Performance Analysis BI report. Click here for report and go to the specific department. EOP 40-11 18-8
Chapter 19
Critical Item Control Purpose and Applicability 19-1. This chapter gives the internal control procedures for retail stores and stockrooms to safeguard items highly susceptible to customer theft and employee pilferage. This chapter applies worldwide, except for the additional controls required by the Gun Control Act of 1968 (concerning the sale of ammunition and firearms); those controls apply only in the 50 United States, District of Columbia, Guam, and Puerto Rico.
Policy 19-2. Exchange management must apply these procedures to safeguard all merchandise items identified as critical. The following are Critical Items (CI): a. Watches and jewelry with a sell price of $1,000 or more. b. All firearms (except black-powder firearms loaded through the muzzle, such as muskets or pistols). For additional information, reference EOP 40-06, Firearms and Ammunition. c.
Laptop computers, netbooks, and tablets with a retail value of $500 or greater.
d. Although watches, rings, and other jewelry items with a sell price less than $1,000 don’t require processing as “critical items,” they’re still major shoplifting and pilferage targets that require more attention than customer self-service display techniques normally provide. Therefore, display or store the following items in a locked, Exchange-approved fixture or secure storage area only: watches, rings, and other jewelry items with a sell price of $199 or more. e. The control of camcorders and digital cameras as CI is optional. Region SVPs may dictate that camcorders, personal digital assistants (PDAs), and cameras continue to be controlled as CI or delegate this decision to their GMs or Store Managers. Whether or not camcorders, PDAs, and cameras are controlled as CI, the following minimum controls will continue to be mandatory: (1) Camcorders must be secured with an approved security device (such as the Protex Security System), whether displayed in alarmed or unalarmed facilities (see fixture information on POG). (2) Back stock of camcorders, PDAs, and cameras will be in a secure room within the stock room. The number of associates authorized to have access to keys for this secure room is at the discretion of the GM, based on operational requirements. Authorization must be in writing. Control keys as prescribed in EOP 16-01, Security. (3) Reserve stock will be moved to the camcorder, PDA, and camera security room when it is received. Never store camcorders, PDAs, and cameras in a remote layaway/storage area. f. Recent changes of the critical item dollar limit to $500 will not affect the iPad. ALL iPads will be recorded as critical items, and this includes items with price points under $500. 19-3. GMs have the authority to place other merchandise categories or lower price points under Critical Item Control (CIC), based on their analysis of local shoplifting and pilferage history, or to satisfy other local circumstances or conditions. 19-4. CIC procedures apply to all items designated as critical, whether they are regular stock, on layaway, a special order or a customer-owned return pending repair or replacement. EOP 40-11 19-1
19-5. All items designated as critical must be properly safeguarded to prevent loss from fire, theft or unauthorized use, according to procedures in EOP 16-01, EOP 17-01, and this directive. Report all missing CI to LP within 48 hours. Prepare an incident report for all missing/stolen CI, following procedures in EOP 16-01. 19-6. Don’t use instructions in this chapter in any way to bypass or supersede departmental regulations and local command requirements. 19-7. A complete stock keeping unit (SKU)-specific inventory of CI must be conducted semiannually (July and January) and when a CI is detected missing after conducting a daily count. If an investigative CI inventory is conducted within 60 days of the scheduled semiannual inventory, the need for the semiannual inventory is fulfilled. Instructions on conducting a CI inventory include: a. A two-member team, consisting of one disinterested associate (grade Hourly Pay Plan [HPP] 5/Pay Band [PB] 2 or higher) from another department/sales area and one other associate from the department having CI, will make the inventory. An LP manager or Exchange Safety and Security associate should be informed the inventory is in-progress for guidance on discrepancies. Since security personnel have overall responsibility for Exchange security, they should not be tasked with conducting the inventory. b. When applicable, each open critical card in the branch office will represent an item on-hand. Take the inventory by comparing the number of control cards, by pseudo UPC (CRC) or UPC number, to a physical count of merchandise with the same number. The disinterested associate must have complete control of the CICs while conducting the inventory. The disinterested associate must also date and initial the back of the control cards after each merchandise group of identical UPC or pseudo UPC (CRC) numbers have been counted. Immediately report any discrepancies. Note: For instructions on using ASAP, see ASAP Critical Item Management User Guide.
Procedures 19-8. Display CI only in Exchange-approved, locked fixtures. Secure any CI designated for customer self-demonstration to a display fixture or module in a way to prevent customer removal. Secure the balance of CI overnight in a security room, vault or safe not containing cash instruments, unless the CI are locked in a separate container. a. Responsible associates must not have access to both CI and cash instruments. CI may remain on the sales floor if kept locked in approved showcases; the store is protected by both motion and Intrusion Detection Alarm (IDA) systems. b. Camcorders can be displayed in alarmed and unalarmed facilities if they are secured with an approved security device (such as the Protex Security System). Consult your Region LP Manager for procurement information concerning camera equipment and alarms. 19-9. Secure reserve stocks of CI in a security room, vault or safe. The number of associates authorized to have access to keys or knowledge of the safe/vault combination is at the discretion of the GM, based on operational requirements. Authorization must be in writing. Control keys and safe or vault combinations as prescribed in EOP 16-01. Be sure to secure reserve stocks of CI when they are first received. Never store CI in a remote layaway/storage area.
EOP 40-11 19-2
19-10. Details for CI management for the AAFES Store Automation Project can be found in the ASAP CI Procedures manual. a. CIs will be counted daily and entered into ASAP for all departments with CIs (see ASAP Critical Item Management User Guide, page 16). b. Review Critical Item Daily Count History to ensure the person entering the counts into ASAP is not the same person who reconciles any count differences. The person reconciling CIs should be a manager (see ASAP Critical Item Management User Guide, page 17.) c. Print a copy of the Critical Item Void Report and ensure the Remarks section shows a logical explanation for the record being voided, including a register number, transaction number, and/or Transfer Voucher (TV) number (separation of duties). d. Print a copy of the Critical Item Report and/or Critical Item Void Report and Closed Critical Item Record Report. Ensure the person receiving or accepting CI is not the same person who is closing or voiding any CI records (separation of duties – ASAP Critical Item Management User Guide, page 23).
ASAP Receiving 19-11. A separate manager or supervisor will go into the ASAP system and manually accept the CI. The manager or supervisor who manually added the guns into the ASAP system can not receive their own CI. a. This manager or supervisor must verify all information on the CIC card is correct against the ASAP system information (i.e., serial and UPC numbers). b. Write the CI Record number on the CIC Card. c.
Place all CIC cards in a secure box that can be locked. Management will retain a copy of the key.
Note: For firearms/ammunition information, see EOP 40-06.
Key Control 19-12. The activity manager or designee must strictly control keys and combinations for fixtures, security rooms/vaults, and safes used for the display or storage of CI. 19-13. Always keep Form 6600-022, Key Control Record (Figure 19-1), which lists the following information: Note: This form is available for local reproduction by going to the Exchange Forms Website: http://timon.aafes.com/Forms. a. The signature of the person receiving the key. b. The date and hour of issuance. c.
The serial number of keys.
d. The signature of the person issuing the key. e. The date and hour key is returned. f.
The signature of the person receiving the returned key. EOP 40-11 19-3
19-14. Inventory keys and locks to CI displays and storage areas quarterly. Locking devices must be changed immediately on loss or compromise of a key or lock. 19-15. Before relief from custodial responsibility for keys, the incumbent and successor will jointly inventory, by total count and serial number, all CI on-hand. Report change of custody of keys on Form 6600-022 (see Figure 19-1). Note: This paragraph is for passing of primary custodial responsibilities of a facility manager (i.e., transfer, retirement, termination of a person who is assigned keys permanently). This is not intended for shift changes during duty hours.
Key Control Record, Form 6600-022
Figure 19-1
EOP 40-11 19-4
Selling Knives to Minors 19-16. Due to concerns raised by customers regarding minors purchasing hunting knives from our stores; effective immediately, the following policy must be adhered to by all applicable stores (this policy is consistent with other large retailers): a. The purchase of knives, in the Sporting Goods department, is prohibited to persons under the age of 16. b. A knife, for the purposes of this policy only, means all knives classified under Department 491 (Sporting Goods) only. This does not include other knives, such as household knives. c. An automatic pop-up message will appear at the time of checkout, asking the cashier to verify the age requirement for the customer. d. There are currently two knife policy signs posted to VMag for store download (Shelf Card: 5.5"x2.5", Info Card: 5.5"x7").
EOP 40-11 19-5
Chapter 20
Shuttle Program Purpose 20-1. In an effort to better serve customers around the world, Region GMs will identify primary and secondary main stores in all areas for the purpose of taking and satisfying customer convenience orders through the Shuttle Program. Shuttle Program customers can have any available item shipped to their store through the next Exchange shipment from the primary store. Our objective is to get merchandise to our customers, even if we have to transfer it from another store or place an online order. Customers should not be allowed to leave the store without satisfactory resolution to their shopping needs. With the Shuttle Program, customers from one exchange are able to request delivery of items stocked at a larger exchange close to the customer’s current exchange. This program is required at all remote and satellite stores for maximum visibility and customer satisfaction.
Program Details 20-2. Primary stores are responsible for supporting secondary stores with customer requests. The 22"x28" Shuttle Program sign is required to advertise the concept for the Shuttle Program at the front entrance of both primary and secondary stores. Below are the steps that must be taken to ensure the success of the Shuttle Program (see Figure 20-1, Shuttle Service Program Instruction Sheet). 20-3. To better serve customers around the world, the Regions will identify primary and secondary store relationships for every exchange. Managers of secondary Main Stores will identify a Shuttle Program POC, usually the Store, Operation or Stockroom Manager, who will be responsible for implementation of the program. The secondary store manager will work with the Primary Store Manager and agree on a POC from that store. These POCs will be responsible for each customer Shuttle Program request from receipt through completion. 20-4.
Initial handling procedures will include: a. Form 6200-009, Customer Order Form, available for customer completion (see Figure 20-2). b. Logging the order into Form 6200-010, Customer Convenience Order Log (see Figure 20-3). c.
Immediately calling the primary store and determining availability of the item(s) requested.
d. Determining the most expedient means of transportation of the item to the store. e. Establishing and recording when the item will be shipped, by what means, and who will handle the transfer. f.
Immediately informing the customer of the status of the request and when arrival is expected.
20-5. If it is determined the primary store has two or more items on hand at the time of the request, one of them will be immediately pulled and shipped to the secondary store. If none of the items are available at the time of request, every effort should be made to find a similar item, or a catalog order substitution.
EOP 40-11 20-1
20-6. If not immediately available at the time of request, the primary store will follow through and call the secondary store with concise information on the status of the item requested, to include the following: a. Item availability. b. Method of shipping. c.
Person responsible for order completion.
d. Anticipated date and time of arrival at the secondary store. 20-7. The Regions will monitor primary and secondary store relationship in all Areas to ensure program continuity. Program compliance and performance and training of associates will also be monitored to ensure timely and adequate customer service. 20-8. Shuttle Program signing will be prominently featured at the entrance to all main stores to ensure customer awareness and participation at all levels. PA announcements encouraging use of the Shuttle Program should be made on a recurring basis. 20-9. Advertising of the program within local Command, MWR, advisory councils, town hall meetings, BOSS committees, and NCO, enlisted, and wives' club channels should be coordinated and kept fresh with changes as they occur in the program. 20-10. Stores will track placement and progress of orders placed in the Shuttle Program and keep customers informed on the progress of delivery using Form 6200-010. 20-11. Where possible, regular shipments and scheduled deliveries from organic Exchange trucks will be used to support this program. However, items should be moved via the Exchange Courier or next quickest alternative when a regular shipment is not expected within 24 hours. To be effective, this program needs to be responsive to customer needs.
Contingency Considerations 20-12. Contingency locations have unique logistical requirements, making it difficult to support merchandise transfers. However, the Exchange will support any merchandise request whenever possible, and if it makes sense to do so.
EOP 40-11 20-2
Shuttle Service Program Instruction Sheet INSTRUCTION SHEET PROGRAM: Shuttle Service Poster STRATEGY: The shuttle service program ensures that customers are able to get the items they need from their local exchange, even if that item is not normally stocked at the Exchange. Regions will identify parent and subordinate store relationships for every exchange. Managers will identify the shuttle program POC who will be responsible for implementation of the program. Customers simply request delivery of items stocked at a larger exchange to the store the customer normally shops. ORDERING INFO: These signs are being introduced via automatic distribution. Additional quantities can be downloaded and printed from VMag at the following location: Signs and Posters > Corporate Initiatives > Shuttle Program EXECUTION: Place the 22” x 28” poster in a sekure frame in the customer service area of both the parent and subordinate locations. When possible, place a 22” x 28” poster in a free-standing sign holder or sekure frame at Central Checkout to communicate awareness of this program. POINT OF CONTACT: For questions regarding implementation of the Shuttle Program, please contact the MD HELP DESK. For execution questions, please contact Anne Duffley at
[email protected]. For additional quantities, please contact
[email protected].
22” x 28” Poster (four per kit)
Figure 20-1 EOP 40-11 20-3
Customer Order Form, Form 6200-009 PLEASE PRINT DON'T WRITE
ARMY & AIR FORCE EXCHANGE SERVICE
_
CUSTOMER ORDER FORM
RANK AND NAME (Last First, MI)
ADDRESS (City, State, Zip Code or Organization, Unit, APO)
TELEPHONE NO. DATE
ITEM DESCRIPTION
SIZE
*** STORE USE ONLY ***J DATE ORDERED
CUSTOMER NOTIFIED IF NON-AVAILABLE
CRC NO.
QTY
PRICE
WAREHOUSE NUMBER ARRIVAL DATE
DATE CUSTOMER NOTIFIED
DATE PICKED-UP
PRIVACY ACT OF 1974: Solicitation of personal information is authorized by Title 10 United States Code, Sections 3012 and 8012. Information will be used to process orders placed by customers for delivery of merchandise directly to exchange stores. Disclosure of information is voluntary. Failure to provide the requested information may result in failure to properly process order. AAFES FORM 6200-9 (REV NOV 97) (Prey Editions Usable)
Figure 20-2
EOP 40-11 20-4
Customer Convenience Order Log, Form 6200-010
Figure 20-3
EOP 40-11 20-5
Chapter 21
Home Delivery Service Program Sears Home Delivery and Installation Services and Other Delivery Options Purpose and Applicability 21-1. Chapter 21 tells how to set up and operate a home delivery service in exchanges stocking/selling large and/or heavy merchandise; it applies worldwide to all exchanges.
Home Delivery Program 21-2.
Four delivery operations are available: • • • •
21-3.
Sears Home Services (mandatory for CONUS, Alaska, Guam, and Hawaii) Note: Exceptions to this policy can only be granted by HQ. Contractor provided home delivery Exchange store provided home delivery Matson Home Delivery USA
In the event Sears is not available, Region SVPs/Commanders (CDRs) will: a. Decide which exchanges/branches will operate a home delivery service. b. Decide which option to use: Contractor provided home delivery, Exchange home delivery or
Matson. c. Decide the area (maximum miles from POS) each exchange will service (including off-base/ off-post locations) for Exchange and Contractor provided delivery. d. Set up a schedule of charges for each exchange authorized to offer this service. The charges should cover expected costs of the service and not make a profit. Note: All operations require the customer to pay the Exchange before delivery.
Delivery Options: Sears Home Services (Delivery, Installation, Assembly, and Haul Away) 21-4. The Sears Home Delivery (SHD) program was created in response to the need for a professional and national home delivery program that offers hook-up, installation, assembly, and haul away services previously not offered. Sears offers these services with the nationally recognized and uniformed Sears Blue Crew. 21-5. The SHD program provides better service to our customers with basic hook-up, installation, assembly, and haul away. It provides a substantial savings to the Exchange since we’re not subsidizing the deliveries as much as we are with our current Matson contract. Sears Installation services offer a complete, total solution selling package not previously available to our Exchange customers. Our customers are now able to purchase their item and have it delivered, installed, assembled, and hookedup without having to contact additional companies to do the installation. Sears will also test the product, explain proper usage of the product, and remove all packaging.
EOP 40-11 21-1
21-6. Contractor home delivery will be provided for overseas and remote CONUS locations. In the event contractor delivery is not available, the next choices would be Exchange Delivery and Matson (if available), in that order. 21-7. Sears will charge the Exchange a delivery price, based on regional pricing, of $75.00, $82.50 or $90.00. In addition, Sears charges $55 per pickup at the Exchange, regardless of the number of deliveries. Haul away is $10 per delivery, one-for-one, with an unlimited number of items in the haul away fee. The Exchange passes on an additional $4.95 to the delivery fee to help mitigate the $55 pickup fee. Our charge to the customer is $79.95, $87.45 or $94.95, based on the market location.
Pricing Example First or Second Event
Type of Service
Qualifier
Normal Delivery First
Cost $82.50*
Store Pickup
NA
Haul away
$55.00 $10.00
Normal Delivery Second Exchange Normal Delivery
NAH, BA, AOG, CF Wrong Item, Won’t Fit, Mechanical/Quality, AT Product Spent One Night in Home Damage
$0.00 $82.50* $0.00
Note: $82.50 for Normal Delivery used as an example. There are three zones for pricing, which are $75.00, $82.50, and $90.00. Definitions: NAH..... Not At Home BA ....... Bad Address AOG .... Act Of God (weather, etc.) CF........ Can’t Fit (item does not fit in home) AT ........ Anti-tip (customer refused anti-tip device) 21-8. Using market pricing allows our customers to have an unlimited number of pieces delivered for the market flat fee charged. As a result, we have seen an increase in the number of pieces sold per delivery. The average number of delivered pieces at our pilot locations increased from three to four items on average. This equates to a 25% increase in items sold when Sears provides the delivery. Sears has provided deliveries at our pilot locations, exceeding 20 pieces, for one flat delivery fee. No additional mileage or zone rates are charged. Sears has an extensive foot print, listed by zip code, covering our local Exchanges’ delivery requirements. 21-9. New stores must be added to the Sears contract prior to using this service. Open a Help Ticket with the Help Desk, asking to be included in the contract. Once included, you can begin using the SHD Service.
EOP 40-11 21-2
Introduction to Selling Home Delivery, Installation, and Haul Away 21-10. SHD is a service the Exchange can sell to the military customer. When you sell a large item to your customer, offer SHD, haul away, and installation services. Delivery and installation can help sell the customer on the product. In many instances, the customer does not have the means to transport and set up the new item. There may be an old item that needs to be hauled away. The new item might need installation or extra work done so the merchandise will function properly. a. When you offer delivery, haul away, and installation, then your customer knows everything can be taken care of at the POS. For example, your customer wants to purchase a refrigerator with builtin ice maker. He/she is thinking, “How am I going to get this home? How do I get rid of the old refrigerator? Do I need a water line installed so the ice maker will work?” In many markets, Sears can provide professional installation service for an additional fee. b. When you offer these services up front as part of the sale, your customers know they do not need to worry because they can purchase the necessary services through the Exchange store. Sears is the concessionaire for delivery and installation services.
Set Expectations for Successful Delivery 21-11. In order for your customers to be satisfied with home delivery, you need to set proper expectations for the services. a. Sears will call the customer the evening before the delivery date with a two-hour time window for delivery. Explain the two-hour time window on the day of delivery. The customer needs to be at home for the entire two-hour period. Our customer can verify the two-hour timeframe by calling the automated number, 1-800-732-7747. b. An adult (at least 18 years old) needs to be present to receive the delivery. c. Home delivery includes basic hook-up. The appliance will be set up, leveled, and functional when the delivery team leaves. d. If necessary, explain the difference between basic hook-up and installation. (1) Basic hook up – The delivery team can connect the item to existing electric outlets or water lines; a professional installer with licenses is not needed to make the item function properly. For example, a delivery team can plug in a clothes washer to a grounded outlet and connect the hoses to existing hot and cold water lines. (2) Installation – Necessary electric or water lines are not available, or a professional licensed electrician, plumber or contractor is needed to make the item function properly. For example, a built-in dishwasher requires specialized installation by an electrician. e. Find out whether the new merchandise needs professional installation service. Is there a 240 volt outlet for the new electric dryer? Is there an existing water line for the new refrigerator with ice maker? If not, then let the customer know they need to order professional installation service. f. Sell accessories with the product and make sure either the customer takes them home or they stay with the product for the delivery team to pick up. For example, a new dryer needs a venting kit. An electric range needs a new 240 volt electric cord.
EOP 40-11 21-3
g. Explain the haul away requirements: (1) Sears will haul away one old item for each new item purchased. The cost for this service is $10 per delivery and is on a 1-to-1 ratio; it must be purchased at the time of sale. (2) Sears will relocate the old item in another part of the house. (3) Sears will not set up or hook up the old item.
Qualifying the Customer for Successful Delivery or Installation 21-12. Most home deliveries are completed to the customer’s satisfaction the first time. To make sure a delivery will be successful on the first attempt, it is important to ask some questions to qualify the customer. a. Ask whether the customer has measured the area to ensure the new item will fit the existing space. b. Ask whether the dwelling has adequate electric service for an electric range or clothes dryer; whether there is a gas valve in good working condition; whether carpentry work is needed for a built-in dishwasher to fit into the cabinet. c. Ask whether the product matches the power source or fuel type in the house. For example, the customer wants to purchase a gas range but natural gas service is not available in the area. d. Ask whether the customer needs professional installation service. e. Ask whether customer required accessories are available for hook-up. The Exchange is responsible for selling the customer required accessories which should stay with the product or be at home with the customer. (Sears will not install old dryer vent kits, corroded water lines or water lines with steel braiding around them.) Note: If the customer schedules an installation (no hook-up included) with the call center at the time of purchase, the delivery price is included in the installation price and the customer will not be charged a delivery fee at the register. The store will not be invoiced for a delivery from Sears.
EOP 40-11 21-4
Sears Home Delivery/Installation/Haul Away Job Aid Step
Action
1
Customer decides to purchase merchandise.
2
The Exchange cashier offers home delivery, haul away, and installation, as needed.
3
Ring in merchandise and accessories purchase.
4
Ring in applicable non-merchandise charges using their respective UPCs (i.e., delivery, installation, haul away).
5
6 7 8 9
Call 1-888-346-5331 to schedule delivery through the dedicated Exchange delivery group at Sears. The average speed of answer is 30 seconds. Give SHD the following information: • The Exchange Store’s six-digit Sears code: # _ _ _ _ _ _ • Customer name and phone number • Customer zip code and address • Major cross streets (if applicable) • Product type – include brand and model number • Requested delivery date • Whether this is a first time purchase or a second delivery Tell delivery date to customer. Give delivery order number to customer. Inform customer that Home Delivery will call the night before delivery to provide the twohour time window. At this time, the customer can ask to speak with a Sears Delivery agent to reschedule or cancel delivery. Give delivery guidelines to customer: “What Every Customer Should Know.”
10
Tell customer to call 1-888-346-5331 if anything does not go as planned.
11
Tell customer the delivery team will call the morning of delivery to establish contact and verify he/she will be at home.
12
If customer needs installation after-the-fact and they schedule with Sears at time of delivery, the Exchange will receive 10% commission credited to the store. The customer has a better experience if installation, delivery dates, and time windows are coordinated in advance.
Figure 21-1
Wrap-up 21-13. Home delivery, haul away, and installation services are a great convenience for your customer. Offering the services often improves your ability to make a sale. It is important to set the customer’s expectation for successful delivery. Be sure to ask questions about important features such as measurements, electric, water, and gas lines. Contact SHD at 1-888-346-5331 to schedule delivery. Use the same number for specialized installation if conditions in the home do not support basic hook-up.
EOP 40-11 21-5
Product List and Sears Capabilities Category Treadmills
Garage
Sub-Category High End and Nordic Track Items taking under 20 minutes to assemble Tool Storage Bench Power Freestanding Electric Freestanding Gas
Cooking
Slide-In Range
Cleaning
Drop-In Range Wall Oven Micro Hood Cover Cook tops Dishwashers Washers Gas Dryers
Laundry
Electric Dryers Gas Laundry Center
Refrigeration
Electric Laundry Center Freestanding With Water Line Freestanding Without Water Line Built-In
TVs
All Types Tractors
Lawn and Garden
Patio Furniture Outdoor Storage
Bedding
Mattresses
Furniture
Sofas In Carton and Readyto-Assemble (RTA) Assembled Tables and Chairs
Sears Set Up Rules and Capabilities
Set-Up
Delivery followed by separate installation in home.
No
Set-Up.
Yes
Leave in Carton.
No
Set-Up. Set-Up in markets that do not require license for gas installations. Gas license markets require installation. Leave in Carton. Set-Up if no carpentry work required (see gas rules stated above).
Installation Only. Leave in Carton.
Set-Up. Set-Up in markets that do not require license for gas installations. Gas license markets require installation. Leave in Carton. Set-Up. Set-Up in markets that do not require license for gas installations. Gas license markets require installation.
Yes No Yes
No
Yes No
Yes
Set-Up. Set-Up. Sears will attach the water hose from the refrigerator to the water line. Set in place. The water line must be installed by a licensed plumber. Leave in Carton. Delivery followed by separate installation in the home. Both services are charged. Leave in Carton. Installation Only. Set-up to include steering wheel mount, cutting deck mount, level and attachments. Leave in Carton. Set in place only (brown box). Installation Only. Leave in Carton. Installation Only. Leave in Carton. Installation Only. Set in place with foundation and basic set-up of bed rails.
Yes
No No Yes
No
Yes
Remove plastic and set in place. Uncrate and Set in Place. No set-up. Basic Assembly.
Figure 21-2 EOP 40-11 21-6
Yes
The Sears Delivery Process 21-14. This section covers the process, from start to finish, of a delivery order sold with a product sale at an Exchange Store. There are three main entities: • • •
Sears Market Delivery Operation (MDO) Sears Customer Call Center (Customer Care Network [CCN]) Exchange Store
Selling Delivery 21-15. Some keys to setting proper expectations: a. A two-hour time window will be communicated to the customer on the night before delivery. b. The customer may purchase haul away, if desired. This is one haul away piece for each delivered piece. c. Know if the customer requires professional installation rather than delivery. The complete list of product guidelines can be found in Figure 21-2. d. Sell the accessories with the product, and ensure either the customer takes them home or they stay with the product for the delivery team to pick up. e. Give the Delivery Guidelines pamphlet to the customer. f. Home appliances which are not considered built-in will be set-up, leveled, and functional when the delivery team leaves. Hard-wired dishwashers are considered built-in and require an electrician to install. g. The delivery team will attempt to call the customer the morning of the delivery date to establish contact and ensure they will be home. h. If the product cannot be set-up due to an unforeseen problem, such as a faulty gas valve or required carpentry work, the delivery team will offer the customer Sears Professional Installation by facilitating a call to the Exchange CCN Agent. i. The store should be the central POC for the customer, but the number for any delivery issues is 1-888-346-5331.
j.
Requirements of palletized merchandise: (1) Each pallet cannot exceed 2,500 lbs. (2) Click here for instruction on how to find out pallet weight (3) The height limit is 10 feet per pallet (4) Merchandise must be shrink wrapped and stable (not top-heavy) (5) No more than 10 pallets per delivery truck st
(6) Garage, driveway or 1 floor delivery only. No steps
EOP 40-11 21-7
(7) If 2 or more pallets are being delivered, please call the MDO Manager to alert them of the delivery (8) Make sure you have the delivery information readily available when you call. (9) CLICK HERE for listing of MDO for your facility with phone numbers.
Taking the Order 21-16. Exchange customer service, to include the initial order, will be handled by a dedicated Exchange staff of customer service agents in the Sears CCN. The Exchange telephone number for selling associates, customers, and delivery teams is 1-888-346-5331. The average speed of answer is 30 seconds. 21-17. The information that should be ready and available prior to calling CCN is: • • • • • • • • •
Store number Customer name and phone number Customer zip code and address Major cross streets, if applicable Customer phone number Product type, to include brand and model number Requested service date Service required First time purchase or second delivery
21-18. The Sears Agent will take the order and determine if availability exists for the zip code and day the customer wants delivery. The agent will give the customer a system generated order number and advise them they will receive a call the night before delivery with their two-hour time window. The selling associate should give the delivery guidelines to the customer and answer any questions they have about preparing for delivery. 21-19. The CCN Agent will enter a pickup order into the Exchange Home Delivery System (EHDS) which will be used to create the pickup manifest used at the Exchange Store Dock and for billing purposes. 21-20. There will be several distinguishing features of an Exchange delivery order: a. The reason code for the Manual Work Order will be specifically “Exchange – Delivery,” "Exchange – Installation" or “Exchange – Pickup,” depending on the order being created. b. The store number will be six digits. c.
The order type will be “S” for either delivery or pickup.
d. The item field will reflect the type of delivery (Figure 21-2). The division number will be populated with the Sears Division: 601 606 609 622 626 642 646 671
= = = = = = = =
Furniture Fitness Equipment Tool Storage Cooking and Cleaning Laundry Water Shop Refrigeration Lawn and Garden EOP 40-11 21-8
e. The description field will have the brand and model number of the product to be delivered. f.
For delivery, “Exchange” will be in the delivery instructions.
g. For pickup, “Exchange: [Customer Name]” will be in the delivery instructions.
Pre Pickup Preparation 21-21. The information which should be captured on the product is: a. Customer name and phone number. b. Customer zip code. c.
Requested service date.
d. Order confirmation number for delivery (installation handled directly with customer). 21-22. Fill out a Sears Home Delivery Form (see Figure 21-3) or Sears Installation Form (see Figure 21-4) for each customer. Attach copy to delivery and one copy for file. Have Sears Driver print and sign form when item is picked up from store. Retain signed copy for your records.
EOP 40-11 21-9
Exchange: Sears Home Delivery Form
Figure 21-3
EOP 40-11 21-10
Exchange: Sears Installation Form
Figure 21-4 21-23. Capturing the brand and model number in the description field (CCN) will also be critical in connecting the order to the product. The product should be staged at the store or designated warehouse on the night before pickup. Out of carton will be accepted. If the product is purchased as “scratch and dent,” the exact location of the damage must be noted on a MAC Form (Material Acceptance Form; see Figure 21-5) and taped to the product. This should be covered with the customer before the item is purchased.
EOP 40-11 21-11
MAC Form
Figure 21-5
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Store Pickup 21-24. There will be a designated two-hour window for pickup at each location. That window should start no earlier than 16:00 local time and end no later than 21:00. The Sears driver will have a pickup manifest indicating the customer’s product to be picked up for the next day’s deliveries. He/she should only pick up what is on the manifest.
a. Stores should take the following action if there is change in operating hours affecting Sears pickup time for deliveries: Email your Sears Market Manager at a minimum of one week in advance if the pickup time for Sears delivery will change because of a permanent or temporary change to operating hours. This includes changes due to holidays. b. Provide your store information and new store hours for the Federal Holiday or permanent change. This will notify Sears to make a permanent change to the schedule or, in the case of a holiday, allows for a new pickup time to be coordinated if necessary by the Sears Customer Call Center (CCN) c. This coordination will increase customer satisfaction as deliveries will not be delayed due to Sears showing up for pickup of deliveries and the store is closed. 21-25. Cancellations will ideally be processed through the store, as the store should own customer communication prior to the pickup. If the customer calls CCN to initiate a cancellation, the agent will cancel the delivery and pickup orders, then send a standard email to the store indicating the order has been cancelled. They will also politely ask the customer to call the store. CCN will have no choice but to have the customer call the store for all issues relating to the product. Sears does not have visibility to product availability. 21-26. The Sears local management team will own the process and procedures for gaining access to the base, and will utilize Exchange expertise in a consulting role. The drivers will have designated numbers to call should they be denied access to the base or have difficulty with the pickup at the store. 21-27. When the driver arrives at the store, he/she will go to the predetermined store location and either walk in or ring the buzzer. The product for the next day(s) should be staged so both Sears and Exchange associates can inspect the cartons and agree to their condition. If the product is inspected and deemed damaged, it is the store’s responsibility to either find a replacement or initiate the reschedule process. Scratch and dent product must have a MAC form attached, signed by the customer. The driver has the right and responsibility to refuse damaged product which requires the store to contact the customer to initiate the reschedule process. Note: The local teams (Sears and the Exchange) may decide to change the pickup window to the morning of delivery. This will happen if the majority of deliveries are on the base and it’s beneficial to use a dedicated truck for delivery. 21-28. Sears will own customer contact from Dock to Door. This means any nonconformance event that happens in that timeframe will be communicated to the customer by Sears. Pre-pickup and post-delivery events should be handled by the store with the customer. The store should call CCN with the reschedule information.
The Pre Call (Time Window) 21-29. On the evening before delivery, the customer will be called with the two-hour time window for delivery. At this time, they may cancel the order or speak to a CCN Agent. The CCN agent will not be assigned to the Exchange delivery team, so he/she may either reschedule the delivery as they would for a Sears customer, or transfer to the Exchange CCN team if the situation requires the store to be involved for product availability. The customer may call 1-800-732-7747 after 18:00 to receive their delivery window. EOP 40-11 21-13
Routing and Loadout 21-30. The MDO manager will pre-determine if the Exchange product is to be commingled with Sears product or delivered on a dedicated truck. This decision will be communicated to the routing office so the appropriate routes can be built. The local teams will also determine if the pickup should be in the morning or evening. Two Route Ship Reports will be created for each base. One for the pickup orders, and one for the delivery orders in the event we run a dedicated truck. The address of each pickup location must be known to the street level in order to route the pickups in conjunction with the deliveries, when appropriate. In any case, coordination is required with routing and CCN if any schedule changes are made. 21-31. For an evening pickup, when the pickup team returns to the MDO they will off load the product and stage it in a secure area in preparation for load out. The MDO manager will decide the timing with which the MDO team loads the product in the outbound bays for delivery. If the customer has cancelled during the Call Center call, this will be a pull-off and staged for return to the store. 21-32. The pickup routing will be run at roughly 15:15 local time so the pickup manifest can be generated and given to the pickup team, or emailed/faxed to the first pickup location. For morning pickups, the pickup routing may be run later. 21-33. One consequence of AM pickup is installation orders cannot be sold for the next day. The product will be ordered on day 0, picked up on day 1, brought back to the MDO that night and available for installer pickup on day 2. We are not asking the contractors to pick up at the store for installation. 21-34. The routing team needs the exact street address of the pickup locations so they can be routed appropriately. There may be stops routed between the pickups so that multiple entries to the base are not required in the same day.
Morning of Delivery 21-35. It is a best practice for Sears Delivery Teams to contact the customer the morning of delivery. This has proven to reduce incompletes and establishes the relationship between the driver and the customer before they arrive at the home. 21-36. The driver team will attempt the delivery regardless of the customer’s contact status. The delivery manifest indicates whether or not the customer answered the call center’s pre-delivery call the night before the delivery. Sears will own repeat attempts due to Not at Home or Bad Address. 21-37. The Exchange product may be inspected at the Sears dock per normal procedures. If damage is discovered without a MAC form, CCN should be contacted immediately to update the delivery notes. The customer should be notified in the morning pre-call and a determination made to attempt the delivery.
EOP 40-11 21-14
The Delivery 21-38. There are several outcomes when the delivery team is in the home: a. Complete. The delivery is completed to the customer’s satisfaction. The delivery is marked as “Shipped” and is billable to the Exchange. b. Not at home/bad address. The customer is not at home or the home cannot be found. The driver teams calls into CCN for them to contact the customer (home and alternate phone numbers). When the team gets a control code, they can proceed to the next home. If feasible, they will “go-back” later in the day. If not, the delivery is incomplete and must be rescheduled. Sears will own repeat attempts due to Not at Home. c.
Damage
(1) The product has minor concealed damaged and the customer accepts a concession to keep the product. The Exchange will own the concession amount. Sears will have the Exchange gift cards (see the Concessions section for a complete explanation). (2) The product has minor concealed damage and the customer WILL NOT accept the product. The delivery is incomplete and the customer must be rescheduled with new merchandise. The Exchange owns the Product and Sears owns the Delivery. d. Mechanical. The product has a mechanical defect. This delivery is incomplete and the customer must be rescheduled with new product. The Exchange will own the product and the repeat Delivery in this case, and must claim the vendor accordingly. e. Failed delivery attempt. The hook-up cannot be made for one of several reasons. These customers will be offered Sears Installation Services. The common reasons for no hook-up are: (1) A faulty gas line. (2) No existing water line. (3) Misaligned expectations of the customer (e.g., dining room table will not be assembled). (4) The product will not fit in the space indicated by the customer. (5) The wrong product was purchased for the power source or fuel type in the home (see the Installation section for details on how this situation should be handled). f. Unsold hookup. The hookup cannot be made because the required accessories are not available. The Exchange is responsible to sell the customer required accessories which should stay with the product or be at home with the customer. Sears has a mechanism to sell the accessories to the customer in their home by speaking with a CCN agent. This solution will be available for Exchange customers. Two percent of the sell price must be returned to the Exchange.
EOP 40-11 21-15
Accessory Pricing Sold by Sears
Figure 21-6
Installation 21-39. There are two scenarios where professional installation will be required: a. The delivery team cannot complete hook-up based on unforeseen circumstances in the home. b. The sales associate determines in advance of purchase that installation is required. This will be true of dishwashers, cook tops, and built-in appliances, such as drop-in ranges and wall-ovens. These products are also indicated in the contract as those that require professional (licensed) installation. 21-40. The customer requiring installation will be referred to Sears and become a Sears customer for the installation process. This means Sears will schedule the stand-alone (without selling the product) installation as normal and collect standard market rates. The contractor will contact the customer the day before installation to confirm a four-hour service window. 21-41. A commission of 10% will be payable to the Exchange at the end of each month based on the original price of retail installation. Any Change of Specification work done by the contractor after the original order will be owned by Sears and the Contractor, per the established contract. 21-42. The commission amount will be credited on the monthly billing. 21-43. For predetermined installation, the store may call the Exchange CCN number for a warm transfer to Installation Sales. CCN can also assist in determining if installation is required. The CCN agent will stay on the line with the customer and be their advocate throughout the process, if necessary. The CCN agent will create the pickup order for the delivery team once the installation date has been established. Sears installation and assembly are not available in Puerto Rico and Guam at this time. Paragraph 21-44 has links to the applicable zone scan sheets. 21-44. Installation will be rung up by UPC applicable to the correct zone chart (click your Zone below and it will take you to the scan sheet for that zone which includes Delivery, Haul Away, and Installation UPCs to be used at POS).
EOP 40-11 21-16
• • • •
Zone 1 Home Delivery & Installation Scan Card Zone 2 Home Delivery & Installation Scan Card Zone 3 Home Delivery & Installation Scan Card Zone 3 (Hawaii) Home Delivery & Installation Scan Card
Note: Download and print the applicable scan sheet for your zone. Laminate or place in a plastic sheet protector. Keep at register for easy access. 21-45. When the hook-up cannot be made, the driver team will call the Exchange CCN team to briefly explain the situation and receive a control code for the incomplete stop. The customer may then speak with the agent who will discern their desires for continuing with Sears Installation. If the customer chooses Sears, they will be transferred to an Installation Sales Agent who can create the Service Order. The Exchange CCN agent will stay on the line and be the customer’s advocate throughout the installation process, if necessary. 21-46. It’s appropriate to clarify the difference between Change of Specification and a Delivery that becomes Professional Installation. a. Change of Specification is when the licensed installer completes work above-and-beyond the work instructions agreed to by the customer. This could be in order to complete the required work, or simply additional work the customer chooses to have done. These fees will be collected at the time the work is done. b. When a delivery team is in the home and cannot complete a hook-up, they will call on professional installation to complete the task, as outlined above. The job changes from a hookup to a professional installation job and appropriate fees are assessed.
Concessions “Save the Sale” Process 21-47. Sears will make an effort to keep the product in the home when warranted. The Sears Agent will offer concessions to the customer based on the concession matrix authorized by the Exchange. The CCN agent will first discern from the delivery team if the customer was aware of the damage at the store via a MAC Form. If the customer was not aware there was damage, the CCN agent will use the authorized matrix to “Save the Sale.” The Exchange will provide gift cards to Sears in the appropriate ratio of denominations, with most of the cards being $25 to provide the most flexibility. CCN will be responsible to store the cards and mail them to the customer. 21-48. When the Exchange dispenses the cards to Sears, they will send a list of the cards with the bin number and card number (total of 19 digits) along with the value. As these cards are awarded the customer, Sears will record the customer to whom the card is given, and the associated order number. Sears will mark if the concession was given due to damage or delivery inconvenience. In the case of inconvenience, Sears will credit the Exchange for the gift card amount. For monthly billing, a list of gift cards awarded will be sent to the Exchange and the Sears National Claims Center (NCC). This will allow the Exchange to account for the cards issued, and for the NCC to give the Exchange credit for Sears owned distributions. While it is appropriate for the driver to communicate the extent of the damage to the call center associate, it is not appropriate to discuss the price range of the product. Sears uses the concession matrix (Figure 21-7), which is generic in terms of price point (see Figure 21-8, Sears Save the Sale Process, for process details).
EOP 40-11 21-17
Concession Matrix
Sears Issue
Damage
LOW
ESCALATION MIDDLE HIGH
Minor
$25
$50
$75
Hidden
$50
$75
$100
Minor
$25
$50
$75
Major
$50
$75
$100
Figure 21-7
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Sears Save the Sale Process
SUBJECT: SEARS SAVE THE SALE PROCESS (posted 27 Mar 13) APPLICABILITY: FACILITIES USING THE SEARS HOME DELIVERY PROGRAM DIRECT QUESTIONS: MD STORE OPERATIONS HELP DESK ACTION MESSAGE SEARS “SAVE THE SALE” PROGRAM: HOW DOES THIS WORK? The Sears Call Center has preloaded Exchange Gift Cards in the denominations of 25, 50, 75, and 100 dollars to use for our "Save the Sale" program. HQ MD-H issues these Gift Cards to the Sears Call Center. Sears will negotiate and offer a Gift Card to customer and, if customer accepts the Gift Card, it will be mailed to him/her by the Sears Call Center. This program exists to prevent and lower returns to the store and to prevent further costs associated with marking down the item. WHO ASSUMES RESPONSIBILITY FOR THIS COST? Exchange Responsibility includes: • •
Concealed damages discovered at the customer's home during the initial delivery. Product Delay due to non-availability of merchandise at the time Sears picks up the scheduled delivery merchandise at store, resulting in an inconvenience to customer (Sears will not just give a Gift Card to the customer. This would be as a result of Sears calling the customer to inform them of the delay or the customer calling the call center, and Sears satisfying the customer to alleviate the inconvenience this has caused. In other words, the customer was very upset).
Beginning in March 2013, HQ will General Journal Voucher (GJV) the Feb 2013 amounts to the facility's 327-17 account. These GJVs (if any) will continue each month hereafter for the previous fiscal month. Historically, concealed damages each month have been very low. In Feb 2013 there were 18 Gift Cards issued for concealed damage/product pull backs. Stores will be able to review the GJVs submitted monthly by facility or they can view the actual transaction booked by looking in the Integrated General Ledger Accounting System (IGLAS). Sears Responsibility includes, but is not limited to: •
Sears causes a delivery inconvenience to the customer.
Note: This will not affect the store's accountability. HQ issued the Gift Card to Sears and Sears will credit the HQ account.
Figure 21-8 EOP 40-11 21-19
Returns and Exchanges 21-49. Customer ownership. The store will own customer communication except when the delivery team is at the customer’s home doing the Save the Sale process. If Sears damages the product, then Sears owns the redelivery and cost of the merchandise. The store will need to fill out a claim survey (go to the FA Portal to see how to file a Sears damage claim to recover the cost of the merchandise). 21-50. When the product is available and the delivery date is established, a new order will be created for the exchange. The description will have the word EXCHANGE preceding the brand and model of the product. 21-51. Sears will pick up the new item on the night before the exchange, make the exchange and, on the following day, return the product to the store. When Sears returns a product to the store, the Sears driver will notate returned item(s) in the Base Return Log and will require signature from the stockroom receiving associate. File log for future reference (see Figure 21-9). 21-52. The Exchange will own the product and the Delivery for Returns and Exchanges unless damaged by the delivery team. Save the Sale will be attempted or exchange and redelivery coordinated by CCN, store and customer.
Sears Base Return Log
Figure 21-9
EOP 40-11 21-20
Reschedules 21-53. There are essentially five types of reschedules: a. Customer initiates reschedule before delivery. The product is not impacted, so CCN has the only responsibility. However, the customer may initiate contact with the store, in which case, the store will call CCN. b. An incomplete delivery without need for a merchandise exchange. This is often the result of the customer not being at home. Sears CCN can reschedule without intervention from the store. c. An incomplete delivery that does require new merchandise. Sears CCN will initiate contact with the customer and then call the store to secure product for the desired delivery date. d. An exchange that spent the night in the home. The customer would call the store since the store owns the customer after Sears has delivered and left the home. e. A return that is strictly a cancellation. Only the pickup needs to be scheduled.
Sears Damaged the Merchandise Claim Process 21-54. The following procedures will be used to receive a credit for merchandise damaged by Sears during the delivery. 21-55. The Store Manager or designated store personnel will email Sears Market Manager for Return Authorization Number (RA#) and after receiving RA# input required information into the IGLAS Web Online Data System. NOTE: This new automated process, effective 1 May 2014, is better for inventory accountability. RA#’s insure timely payment as claim is already approved when claims are submitted to Sears.
21-56. Claims processing and procedures 1. The Sears Delivery team will call the Call Center which will attempt to “Save the Sale” with the customer by offering an Exchange Gift Card 2. If the “Save the Sale” Program does not work then Sears will own the damaged merchandise at Cost and will not return to store Escalation email will be generated to the store alerting them of the damaged item 3. Store will email Sears Market Manager as soon as possible, within 7 days, requesting a Return Authorization Number (RA#) Click here for Sears Market Manager Name and Email listing 4. Store should receive RA# via email within 48 hours excluding Sundays and Holidays 5. The store will go to IGLAS Web Online Data Entry (Sears Damage Claims) to create and submit all claim information Click here for the IGLAS Online Data Entry Instructions for the Sears Web Application 21-57. Click here for Sears Damage Items Process Table and Authorization Overview
EOP 40-11 21-21
21-58. FA General Accounting Ops Support will email the form once a month to Sears HQ for their review and approval (see Figure 21-10). 21-59. Sears will email the regular invoice for delivery/haul away/installation charges and credit memos for the damaged merchandise at the same time. The credit memo should include a brief description of the product, UPC, CRC, and the store’s 10-digit facility number. The Walker System will net out the payment to Sears while booking the amounts to the right accounts, including inventory, to make sure the store’s accountability is correct. 21-60. The payment of the delivery/haul away/installation invoice should book to Account 106-03 (Sears Home Delivery Liability) as a debit. The credit memo should book to the appropriate inventory account 031-xx as a credit. The following inventory accounts may potentially be impacted: 031-84 – Retail Major Appliance Inventory 031-86 – Retail Major and RTA Furniture Inventory 031-89 – Retail Outdoor Living Inventory
EOP 40-11 21-22
Sears Email Distribution List 21-61. Communicating with Sears by email via a store distribution unique email address.
Sears Email Distribution List SUBJECT: REMINDER – SEARS EMAIL DISTRIBUTION LIST APPLICABILITY: CONUS STORES SELLING SEARS HOME DELIVERY (INCLUDES ALASKA AND HAWAII) DIRECT QUESTIONS: MD STORE OPERATIONS HELP DESK ACTION MESSAGE In an effort to enhance the communication process between the Sears CCN and our Exchange Stores, we have created new generic email accounts for each Exchange location. Benefits: • Each Exchange store has a unique email address. • Each email address has an owner designated by the Store Manager. • Each owner can add/delete members to view email traffic from Sears. • Sears can easily communicate exceptions deliveries with the Exchange. If a customer is dissatisfied with the delivery and the store feels a Gift Card is warranted, follow these steps: • • •
First – Ensure the Sears CCN did not already negotiate an Exchange Gift Card. Do not call the local Sears (MDO) team requesting compensation to the customer. All concerns should be addressed through the Sears CCN. Example: The Sears truck broke down and they had to reschedule. This does not constitute a free delivery, but Sears can offer an Exchange Gift Card to compensate for the customer’s inconvenience. If they did not, call the CCN to negotiate this. The local Sears MDO team cannot provide the Exchange gift card or refund a delivery. Sears should never offer any other form of reimbursement than an Exchange Gift Card.
Store Actions: • Locate your Sears email address and owner by clicking here. • You can also search under the global directory; for example: wwSearsHD Andrews Home Traditions. • The owner should add necessary associates to monitor the email account. • Click here for instructions on updating email members. • Monitor your Sears email address regularly to be informed of any changes or problems to the customer’s delivery. • Do not reply to the Sears email. • You must call the Sears CCN at 1-888-346-5331 if you need to speak with a call center representative.
Figure 21-10 EOP 40-11 21-23
Accounting process for Sears Home Delivery (SHD) and Installation/Assembly
Figure 21-11 EOP 40-11 21-24
Accounting Process for Sears Home Delivery and Installation/Assembly Billing from Sears to the Exchange 21-62. Each month HQ-FA will receive six distinct billing confirmation lists that will also be sent to the Sears National Claims Center (NCC) for billing. The actual invoice will come from the NCC to the Exchange Billing Offices. Payment per the contract will be made by Electronic Funds Transfer (EFT). These files are: a. Normal Deliveries and Exchanges or Pickups (includes repeat attempts due to Mechanical Issues). CCN agents will make this determination for each order and mark it as Billable or Non-Billable. b. Haul aways – indicated by an item number in the order. c.
Store pick-ups – indicated on the Pickup Manifest.
d. Sears damaged product to be credited to the Exchange. e. Installation Concession Credit. f.
Unsold Hookup Sales Credit.
21-63. Every delivery and installation order will have a six-digit Exchange Store Number so individual stores can be billed within the Exchange. Sears NCC will be responsible to translate the six-digit number into the official 10-digit store number and the General Ledger Number. Sears NCC will work with Delivery/Installation Finance on the accounting of revenue of costs as a result of this third party activity.
Accounts Utilized for Delivery 21-64. Account 241-10 is used to book the income of $4.95 for each delivery the store sells. When the cashier rings up the delivery, the amount owed to Sears books to Account 106-03, and the remaining $4.95 books to Account 241-10. At store level, use the appropriate delivery UPC at the register. 21-65. Account 383-45 is used to book the $55 store pick-up charge that Sears charges the facility every time Sears picks up merchandise from the store.
POS Instructions for Normal Delivery, Installation or Haul Away 21-66. When processing the customer’s transaction to purchase Sears Home Delivery, installation or haul away, the cashier should scan the delivery UPC and/or haul away UPC. 21-67. In the pop-up box, complete the following fields: Last Name .................... Enter customer’s last name. First Name .................... Enter customer’s first name. Order #.......................... Enter customer’s order number, provided by the Sears Delivery Call Center. It begins with the letter “S” and is followed by seven numbers (for example: S1234567). You must type in the full customer order number before moving to the next field. Delivery MM/DD/YY ..... Enter the delivery date. Hit Enter. Note: For SHD transactions, do not use the Other Payments key. EOP 40-11 21-25
Escalation Process – How to Resolve Issues 21-68. The Sears Market or District Manager will provide your store an escalation sheet should you have a customer or business related issue. There is a primary POC, as well as first and second escalation POCs, to help resolve the issue. The issue is usually resolved at the first level. If not, follow the escalation sheet to complete the resolution process. If no resolution can be found, open a MD Help ticket.
Escalation Sheet Example
Figure 21-12
EOP 40-11 21-26
Signing 21-69. Place mandatory signing within departments.
Exchange Sears Delivery Program
Figure 21-13
EOP 40-11 21-27
Sears Home Delivery Sign Kit
Figure 21-14 – page 1
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Sears Home Delivery Sign Kit
Figure 21-14 – page 2
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Sears Home Delivery Sign Kit
Figure 21-14 – page 3
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Home Delivery by Sears Blue Crew Sign Kit
Figure 21-15
EOP 40-11 21-31
PowerZone Fabric Banners – TV Wall
Figure 21-16
EOP 40-11 21-32
Training 21-70. Training links: Exchange Delivery Training Guide (all associates involved with program) POS Instructions for Delivery and Haul Away Process Manual Exchange (more in depth for management) Sears Exchange Delivery Training DVD (all associates involved with program) Television Installation Package
Sears Reference Materials 21-71. Reference Material Links: Fact Sheet on Sears Home Delivery and Installation Market Rates for Delivery and Haul Away (will also tell you what zone you are located in) Sears Contract Zone 1 Home Delivery & Installation Scan Card Zone 2 Home Delivery & Installation Scan Card Zone 3 Home Delivery & Installation Scan Card Zone 3 (Hawaii) Home Delivery & Installation Scan Card
Sears Forms and Logs 21-72. Form and Log Links: Exchange Delivery Form Exchange Sears Installation Form MAC Form Sears Base Return Log
EOP 40-11 21-33
Sears Delivery Acronyms and Terms Advanced Hookup Basic Hookup Brown Box CCN
Change of Specification
Concession
“Installation” by a professional contractor with a special license and charged at a separate rate by specialty (i.e., dishwashers, gas ovens, microhood covers, etc.). A hookup that can be made by Sears Delivery Teams and does not require a professional installer with licenses. This will be charged at the normal stop rate. This implies set in place only for the product. Delivered in a “Brown Box” only. Customer Care Network – The call center arm of Sears that handles order taking, exchanges, and general problem resolution. They will work closely with the store and the customer. The professional installer has to complete more work than what is required in the original service order. This work is generally needed to complete the original service order, but could be add-on work requested by the customer. In the Sears infrastructure, the contractor collects this money from the customer. The gift card issued a customer for accepting a slightly damaged product or enduring a delivery inconvenience. The Exchange also uses this term to indicate sales made by a vendor to their customer to which they are entitled a portion of the sale (a Concession Amount).
DDC
Direct Delivery Center – Sears appliances are warehoused at a DDC.
Exchange
Army and Air Force Exchange Service
Failed Delivery Attempt
Haul Away Incomplete Installation MAC MDO
Open and Inspect RAD ROR
Two Service Event
Unsold Hookup
The delivery team cannot complete the hookup in the home for one of several reasons. The environment in the home is different than what was expected in some manner. The customer needs to have a licensed contractor complete work before the delivery can be completed. When an old piece is removed from the home and handled by Sears, in accordance with Environmental Protection Agency (EPA) guidelines. Sears is the first RAD certified appliance disposal retailer. This meets or exceeds the “Green Clause” in the contract. Whenever the delivery cannot be completed for any reason. In Sears lingo, this is professional installation by a licensed electrician or plumber, not a delivery team. The terms “hook-up” and “set-up” refer to work done by delivery teams. We are making an effort to refer to installation generically so that it means hook-up, but will still use installation to mean work done by a professional contractor. Material Acceptance Form Market Delivery Operation – the Sears Delivery Center in each market. They will work with CCN to provide customer service and work with the store for pickups, returns, and exchanges. The process of checking a piece for damage. This slows down the process and can lead to a weakened carton. Sears only does this when there is reason to believe there might be damage (i.e., the carton is compromised) or history has proven it wise for certain product types. Responsible Appliance Disposal – an EPA certification. Record of Return – the official term for a system record to pick up product at a customer’s home. The Record of Return will also contain the exchange piece to be delivered. The product requires installation, but is too large for one man to deliver. A delivery team must first deliver the product, and then an installer will be scheduled the same day or the next day to perform the installation. The product groups requiring two service events are large treadmills, pool tables, outdoor storage, patio, and built-in refrigerators. The customer does not have the required accessories to complete the hook-up. In this case, Sears offers an in home selling solution. The delivery team will have the accessories and the CCN agent can collect the customer’s payment. EOP 40-11 21-34
Contractor-Provided and Exchange Delivery Service 21-73. For Exchange Delivery Service, the facility must have properly equipped vehicles and enough personnel. Follow the same guidelines as for contractor-provided delivery. 21-74. Contractor-Provided Delivery Service. With this service, the Exchange will work with an Exchange contracting officer to develop a competitive contract. These services will include: a. Contractor will provide limited assembly and appliance hook-ups as described below, and only if the contractor’s personnel are certified for such installation or if local ordinances permit installation by non-certified personnel. Contractor will not alter/modify customer's utilities or house, and will not extend or reroute existing utility lines. (1) Refrigerators/Freezers: Plug in electric, hook up copper tubing, and level. (2) Clothes Washer: Plug in electric, hook up water hose, drain hose, and level. May include assembly of a pedestal for front-loading washers. (3) Clothes Dryer: Attach 220-volt cord to dryer, plug in electric, install vent, and level. May include assembly of a pedestal for front-loading dryers. (4) Stove: Plug in electric and level. (5) Gas Stove: If local ordinances authorize gas installation by delivery personnel, connect stove to safety valve no more than four feet away, and level. (6) Furniture and Bedding: Attach all feet, arms and cushions; slide in drawers, assemble bed headboard/frames, lay mattresses and box springs. (7) Boxed RTA Furniture: Delivery only, no assembly. (8) Window Air Conditioners: Set in window, secure, and plug in; no outside braces will be installed or modification made to windows or supports. b. Contractor will not install built-in dishwashers or other appliances not listed above. Contractor will not provide hook-ups of gas appliances other than those described above. c. Once at the delivery point, contractors should only move the merchandise once to the area where the customer wants it. d. Warranties for installation/hookups are covered by the most favorable warranty period the contractor offers. A standard warranty period should be 30 days from date of installation/hook-up, and Exchange personnel should tell the customers. e. Upon request, with prior payment from the customer and added to the delivery ticket, contractor will remove and dispose of customer's merchandise/appliances that are being replaced by the new merchandise or appliance.
EOP 40-11 21-35
f. In addition, the following environmental items will be included in the contract for this delivery service: (1) Fines or Penalties for Environmental Noncompliance. The contractor will be responsible for paying any fines or penalties assessed against the Exchange, the installation, the Army or the Air Force, or Exchange customers for violations of environmental laws or regulations resulting from acts or omissions of the contractor or its employees, subcontractors or agents. This obligation is in addition to any fines or penalties that may be assessed against the contractor for the same conduct. The contractor may reimburse either of these fines or penalties through the Contracting Officer or, with the consent of the Contracting Officer, the contractor may pay such fines or penalties directly to the regulatory agency or agencies concerned. (2) Contractor’s Liability for Environmental Damages. The contractor agrees to hold harmless and indemnify the Exchange (which includes the Army, Air Force or other DoD components, as appropriate) and Exchange customers for all damages of any kind resulting from environmentally harmful activities by the contractor, contractor’s employees, agents or subcontractors. (3) Freon and Other Ozone-Depleting Substances. The contractor will comply with the applicable requirements to Section 608 of the Clean Air Act. This includes, but is not limited to, ensuring proper training of employees, certifications for equipment, any necessary licensing, and following required procedures. (4) Gasoline, Used Oil or Other Hazardous or Regulated Material. The contractor will ensure proper handling and disposal, according to all applicable laws and regulations.
Sales Associate Procedures 21-75. When a customer decides to buy an item qualifying for delivery service, the sales associate should ask if the customer wants delivery service. If not, normal sales procedures apply. If delivery is required, the sales associate must: a. Tell the customer an additional charge is required for delivering the merchandise. b. Fill out Form 6450-104, Home Delivery Sales Slip (see Figure 21-18) and Form 4750-001, Matson Shipment Request Form (see Figure 21-19). After completing the forms, provide one copy to the customer, one copy to the branch office, and one copy to the delivery processing agency. c. Escort the customer to the customer service department or the control counter designated to process home deliveries.
EOP 40-11 21-36
Home Delivery Sales Slip Form 6450-104
Figure 21-17
EOP 40-11 21-37
Matson Shipment Request Form Form 4750-001
Figure 21-18 EOP 40-11 21-38
Customer Service/Control Counter Procedures 21-76. If an item is not on layaway and requires home delivery, do the following: a. Assign a four-digit sequential number (beginning with 0001) to the Home Delivery/Sales Slip form presented by the customer. Record this number both on the form (upper-right corner block) and in a control log (local option) kept for numbering assignment purposes and possible follow-up contact with the customer. It’s important each customer is assigned a separate control number and the control clerk has a quick telephone number reference, should a delivery or pickup date be changed. b. Enter the following information on Form 6450-104: (1) Date/time of delivery agreed upon by both the customer and the store. (2) Calculated delivery charge. (3) Sum of merchandise and delivery charges.
Branch Accounting Procedures 21-77. Home delivery accounting procedures are described for POS and non-POS branches as follows: a. POS Branches. (1) Ring the total merchandise sales amount for the applicable department. (2) If the Exchange provides the delivery service, ring the total delivery fee on the EXCHANGE HOME DELIVERY key under the Miscellaneous Fee Menu. Complete the transaction and collect the total amount due from the customer. Use Account 241-10 for both the Exchange and local Contractor provided home delivery service. (3) If delivery service is being provided by an outside contractor or concessionaire, ring the total delivery fee on the CONTRACT DELIVERY key under the Miscellaneous Menu. Complete the transaction and collect the total amount due from the customer. (4) Staple together the register receipt and customer copy of Form 6450-104 and give them to the customer. Tell the customer to keep these since they are his/her proof of purchase and an Exchange commitment to deliver the merchandise. A reprint of the sales receipt will be attached to the store copy of the Home Delivery Slip for internal control purposes. Stockroom personnel, who load the merchandise onto the delivery truck, must ensure proper payment is made before the merchandise leaves the store. (5) Retain the branch office copy of the Home Delivery/Sales Slip at the branch for branch manager and security review purposes. Send the miscellaneous sales receipt to the supporting accounting office for cash and sales reconciliation with that day’s paperwork. (6) Send the delivery processing copies of the Home Delivery/Sales Slip form to the stockroom supervisor or person responsible for controlling the movement of merchandise from the store or storage area to the customer’s home.
EOP 40-11 21-39
b. Non-RPOS Branches. (1) Ring the total merchandise sales amount on the applicable department key. If the branch has an assigned delivery service key on the register, use this key to record the delivery charge; if not, see subparagraph (3) below. Total the transaction and collect the amount due from the customer. (2) Validate the Home Delivery/Sales Slip on the cash register FOR THE SELL PRICE OF THE MERCHANDISE ONLY (not the delivery charge). (3) (Non-RPOS registers only). Prepare Form 7200-007, Cash Receipts Voucher (CRV), CRC 524-3795, for the amount of the delivery charge (see Figure 21-20). If delivery is being provided by the Exchange, credit Account 241-10 (Retail Merchandise Delivery Income). If an outside contractor or concessionaire is delivering the merchandise, credit Account 241-10 (Contractor Appliance Delivery Service Fee). (4) Follow the same procedures in paragraphs 21-77a(1) through 21-77a(5), but also attach a copy of the CRV to the Home Delivery/Sales Slip. (5) Send the remaining copies of the CRV to your supporting accounting office for processing (and to the branch office – a second copy of the Home Delivery/Sales Slip). Retain a copy of the Home Delivery/Sales Slip at the branch for branch manager and security review purposes.
Cash Receipts Voucher Form 7200-007
Figure 21-19
EOP 40-11 21-40
Accounting Office Procedures 21-78. POS Branches. Upon receipt of paperwork, no further action beyond normal reconciliation of daily Cash and Sales is required. Daily polling of POS branches will credit Exchange delivery charges to Account 241-10 (Retail Merchandise Delivery Income). Contractor-delivered merchandise rung on the POS registers will credit Account 241-10 (Contractor Appliance Delivery Service Fee). Invoices submitted by the contractor for monthly delivery services will be processed for payment, charging Account 383-45, and will offset amounts rung on the POS registers at the sales date(s). 21-79. Non-RPOS Branches. Upon receipt of paperwork, amounts listed on CRVs will be processed in IGLAS, crediting Account 241-10, as applicable. Associates must ensure delivery fees reported on Salesclerk/Daily Reports are credited to Account 241-10 if the branch uses a contract service or concessionaire. Processing of invoices submitted by contractors/ concessionaires will charge Account 38345 and offset the credits above. 21-80. If an item is on layaway and requires home delivery, the sales associate must ensure final payment has been made on the layaway before initiating and processing a Home Delivery/Sales Slip for the customer. Put the layaway ticket number on Form 6450-104 and identify the merchandise on the form, but don’t show the price. Instead, place “N/A” in the price block. Procedures in paragraph 21-74 then apply, but only the delivery charge will be shown on the form and collected. Don’t validate the form on the cash register.
Delivery Procedures 21-81. There is a 200-mile radius limit on deliveries. The merchandise scheduled for delivery could be on the sales floor, in a stockroom or in a remote stockroom. It’s imperative the correct merchandise is delivered complete with all parts, operating instructions, and warranty or guarantee information. The stockroom person will witness the movement of the merchandise onto the delivery truck and will sign the Home Delivery Slip on both copies at the lower portion, below the witnesses’ signature line. The truck driver will: a. Examine the merchandise to decide if it’s in good condition. b. Witness merchandise loading onto the delivery truck and sign both copies of the delivery form (as the witness), above the stockroom associate’s signature. c.
Sign the WITNESS block on each copy.
21-82. At the time of delivery, the truck driver is responsible for ensuring the delivery is made to the correct customer by comparing copies of the delivery form against the customer’s original form. 21-83. If delivery can’t be made (because the customer isn’t home, doors are too small to carry the merchandise through, customer refuses delivery, and so forth), the truck driver must return the merchandise to the store or storage area of origin and immediately tell the manager. 21-84. When delivering merchandise, delivery people must unwrap or uncrate the merchandise, put it in the room selected by the customer and inspect it carefully to ensure it wasn’t damaged in transit. Delivery people must never hook up or install an item (unless this is operated by a private contractor). Note: If the customer has a complaint about the condition of the merchandise, note the complaint on the back of both delivery copies.
EOP 40-11 21-41
21-85. The delivery is considered “completed” only when the customer fills out and signs the CUSTOMER COMMENTS section of the delivery form. The truck driver keeps his/her copy to send to the branch office where it is matched with the file copy; keep at facility for one year. To avoid Privacy Act conflicts, file the copies by sales slip number only – not by the customer’s name, social security number (SSN) or any other personal identifier. The customer keeps the original copy.
Refunding Delivery Charges 21-86. Delivery charges are not refundable unless: a. The customer cancels the delivery order and picks up the merchandise before the scheduled delivery. b. The customer arranges for a refund of the merchandise before the scheduled delivery. c. The customer doesn’t accept the merchandise at the time of delivery because it’s damaged or inoperative; the customer’s remarks must be on the back of the copies of the Home Delivery/Sales Slip (refer to paragraph 21-82). d. The store can’t provide the merchandise purchased. 21-87. The branch manager names (in writing) those people who may approve refunds on delivery charges. 21-88. The refund of a delivery charge is made only from petty cash. If a refund is approved for both merchandise and the delivery charge, don’t include the delivery charge on the refund voucher required on the merchandise. Refund home delivery charges as follows: a. POS Branches. Use the petty cash option of the Cash Management Menu in the register. Required data fields will be: (1) Account Number: Enter Account 241-10 if the original delivery was made by the Exchange; use Account 383-45 if a contracted service or concessionaire made the delivery. (2) Facility Number: 10-digit facility number of the facility that posted sale and delivery income. (3) Reason: Home delivery charge refund. Also, include the number of the Home Delivery/Sales Slip. Ensure a copy of the Home Delivery/Sales Slip is attached to the petty cash receipt. b. Non-RPOS Branches. (1) Process Form 7250-009, Petty Cash Voucher (see Figure 21-21), for the amount of the refundable delivery charge only. (2) Debit Account 241-10, as applicable, on the voucher. In the Remarks section of the voucher, write “Home Delivery Charge Refund” and the number of Form 6450-104. Note: Forms 7250-009 and 6450-104 are available for local reproduction at the Exchange Forms website, http://timon.aafes.com/Forms. (3) The branch will pull the branch office copy of the Home Delivery/Sales Slip, circle in red the delivery charges, write “Delivery Charge Refunded by Petty Cash Voucher (number),” sign, date, and file. Make sure a copy of the Home Delivery Sales Slip is attached to the Petty Cash Voucher.
EOP 40-11 21-42
Petty Cash Voucher Form 7250-009
Figure 21-20
Pickup Service 21-89. The schedule of charges set up by the regions for delivering merchandise also applies when customers ask for merchandise pickup, unless the pickup relates to a return for refund transaction approved in advance by the store manager or his/her designee. Pickup service only applies in a direct operation. 21-90. The customer must pay pickup charges, such as delivery charges, in advance and schedule the pick-up at the Customer Service desk or designated control counter. 21-91. Pickup service may be scheduled even though the customer didn’t use the Exchange delivery service when originally buying the merchandise. 21-92. Pickup charges are not refundable. 21-93. Use Form 6450-104 to document pickup service. When scheduling the service, red-line the home delivery/sales slip title on the form and write in “Pickup Service.” Write “N/A” for merchandise prices and substitute “Pickup” for “Delivery” in the proper sections of the form. 21-94. Non-POS pickup charges are processed by CRV; credit Account 290-01. POS facilities will use the Miscellaneous key, under the Miscellaneous Fee Menu. Ring up the pickup charges as a credit to Account 290-01 (see paragraph 21-77 for distributing the copies of the CRV and Home Delivery/Sales Slip).
EOP 40-11 21-43
21-95. When the pickup is made, the customer must substitute the word “returned” for “received” in the CUSTOMER COMMENTS section of Form 6450-104 and fill out that section. The driver must fill out the WAREHOUSE/CARRIER section (obtain the witness signature when merchandise is off-loaded at the branch). If the merchandise isn’t in good condition at the time of pickup, the driver must strike the words “good condition” and note the actual condition on the back of the form on both copies. The driver gives a copy to the customer and keeps a copy.
Scheduling Deliveries/Pickups 21-96. If for any reason a delivery or pickup can’t be made as scheduled, notify the customer as soon as possible to avoid customer complaints. 21-97. Differences in local conditions require GMs to develop scheduling procedures suitable for their installations, to ensure all associates involved know the procedures.
Matson – Home Delivery USA 21-98. Matson – Home Delivery USA (see Matson Home Delivery Service Signage, Figure 21-22; download from VMag and print locally). a. Matson Integrated Logistics manages this program in coordination with the HQ Logistics Directorate (LG). b. Program Requirements: $300 minimum purchase of bulk merchandise. c. The Matson Home Delivery Program for bulk merchandise includes the following Hardline categories: furniture, mattresses, major appliances, ODL patio furniture, lawn equipment (such as riding lawn mowers), sporting goods bulk exercise, watercraft equipment, and PowerZone televisions over 36 inches. Merchandise on pallets is not considered bulk. Merchandise must not require machine operated equipment to offload from the delivery vehicle. d. Matson will deliver within a 200-mile radius of Exchange POP. This includes exchanges located in CONUS, Alaska, Hawaii, and Puerto Rico. e. The Matson Delivery service is not intended to replace your local home delivery service contracts; rather, to offer a service for customers whose purchases meet program criteria. This program will be under continual review by HQ. f. Matson will contact each Armed Services Exchange Regulations (ASER) approved facility to set up the Home Delivery account. They will issue the store's Corporate Number at that time. The Corporate Number will be used to identify the exchange and must be completed on each delivery form for proper reporting and documentation procedures (see Form 4750-001, Figure 21-19). Please process all forms immediately once the sale has been completed. Order entry or fax delays will result in customer delivery delays. g. The Home Delivery Program will offer “Silver Service” delivery to our Exchange customers for purchases above $300. Silver Service is defined as two-person delivery to the first dry area of the customer’s home. No unpacking of the merchandise or removal of carton debris will be provided. Licensed and bonded service personnel will arrive in uniform. The merchandise will be insured for the full retail value and customers will be contacted to arrange a mutually agreeable time of delivery within 24 to 48 hours upon receipt of merchandise from the Exchange facility. The fee for the Silver Service will be determined by HQ-LG.
EOP 40-11 21-44
Chapter 22
Merchandise Assembly Purpose and Applicability 22-1. Chapter 22 details the Exchange procedures for assembling merchandise such as lawn mowers, bicycles, furniture, grills, physical fitness equipment, and ODL items sold by retail facilities. 22-2.
Authorization for charging fees for assembly.
22-3. Procedures in this chapter apply to all retail facilities worldwide only and not concession activities.
Policy 22-4. Stores should assemble items that are purchased upon request. Items to be used for display or demonstration should also be assembled. 22-5. A predetermined fee will be added to the sell price of merchandise assembled by the Exchange for a customer with the exception of Bicycles. • The Exchange will offer free assembly on all Bicycles above 16”. Bicycles 16”and below are sold boxed.
Establishment of Fees 22-6. Establish all merchandise assembly fees using the following procedures, where the survey warrants: a. CONUS GMs identify items and/or categories of items requiring application of an assembly fee. b. Yearly, each CONUS Exchange will survey applicable items to figure assembly fees charged by three or more local commercial retailers (see Figure 22-1). Using these survey results, GMs set-up proper assembly fees for that exchange. Each fee must be calculated at least 20% below the average of similar fees charged by local retailers. Never calculate an assembly fee to exceed 10% of an item’s Exchange sell price. Price survey/calculation files are subject to audit review. c. CONUS SVPs/OCONUS CDRs decide how assembly fees will be set-up for offshore and overseas exchanges. Assembly fees are established and published yearly. Fees will never exceed 10% of an item’s Exchange sell price. d. If the local competition does not assemble merchandise for customers but the Exchange does, then the charge to the customer should be either the price the Exchange is charged by the contractor (when the Exchange has an assembly contract), or the actual labor cost when merchandise is assembled by store associates. 22-7. Retail facilities within an exchange must charge only those assembly fees set up for the local exchange. 22-8. If a customer buys an item originally assembled by a retail facility for display/demonstration, add the regular assembly fee to the sell price. Not applicable to bicycles. EOP 40-11 22-1
Merchandise Assembly Price Survey Form
Figure 22-1
Signs 22-9. For customer information, post locally produced signs showing the assembly fees. This should include only those items for which a store does charge an assembly fee. Display the sign in or adjacent to each displayed department where this service is provided. Contact your supporting Visual Marketing Specialist for assistance.
Responsibility for Assembly 22-10. Merchandise can be assembled by an authorized Merchandise Assembly Vendor or by Exchange associates as long as they have the necessary mechanical ability. Merchandise will be assembled according to manufacturer’s instructions. Assembly will meet all applicable safety standards (see Figure 22-2).
EOP 40-11 22-2
Exhibit D – Performance Standards and Specifications
Figure 22-2
EOP 40-11 22-3
Figure 22-2
Special Requirements – Bicycle Assembly 22-11. All exchanges must assemble and adjust bicycles according to the manufacturer’s specifications. Exchange compliance with bicycle safety regulations, required by the customer product safety commission (CPSC) under the Federal Hazardous Substance Act, is mandatory (see Figure 22-3). 22-12. All exchanges worldwide should deliver any assembled bicycle to the customer with the literature and hang tags provided by the manufacturer. 22-13. The Exchange will provide free bicycle assembly with purchase on all bicycles above 16” to stay competitive with other retailers.
EOP 40-11 22-4
22-14. When an item is assembled by an Exchange associate: a. Ring up the sell price of the item on the cash register to the proper retail department. b. At non-POS facilities, ring the assembly fee to non-retail Department 16. c.
At POS locations, the Assembly Fee key is on the Non-Retail menu.
d. Total the register e. Collect the proper amount from the customer.
EOP 40-11 22-5
Consumer Product Safety Act – Code of Federal Regulations Consumer Product Safety Act Code of Federal Regulations Consumer Product Safety Commission (Revised as of 1 January 2012) 1512.3 Requirements in general. Any bicycle subject to the regulations in this part shall meet the requirements of this part in the condition to which it is offered for sale to consumers; any bicycle offered for sale to consumers in disassembled or partially assembled condition shall meet these requirements after assembly, according to the manufacturer's instructions. For the purpose of compliance with this part, where the metric and English units are not equal due to the conversion process, the less stringent requirement will prevail. 1512.19 Instructions and labeling. A bicycle shall have an instruction manual attached to its frame or included with the packaged unit. a. The instruction manual shall include at least the following: (1) Operations and safety instructions describing operation of the brakes and gears, cautions concerning wet weather and night-time operation, and a guide for safe on-and-off road operation. (2) Assembly instructions for accomplishing complete and proper assembly. (3) Maintenance instructions for proper maintenance of brakes, control cables, bearing adjustments, wheel adjustments, lubrication, reflectors, tires, and handlebar and seat adjustments; should the manufacturer determine that such maintenance is beyond the capability of the consumer, specifics regarding locations where such maintenance service can be obtained shall be included. b. A bicycle less than fully assembled and fully adjusted shall have clearly displayed on any promotional display material and on the outside surface of the shipping carton the following: (1) A list of tools necessary to properly accomplish assembly and adjustment, and (2) a drawing illustrating the minimum leg-length dimension of a rider and a method of measurement of this dimension. c. The minimum leg-length dimension shall be readily understandable and shall be based on allowing no less than one inch of clearance between (1) the top tube of the bicycle and the ground plane, and (2) the crotch measurement of the rider. A girl's style frame shall be specified in the same way using a corresponding boy’s model as a basis. d. [Reserved] e. Every bicycle subject to the requirements of this Part 1512 shall bear a marking or label that is securely affixed on or to the frame of the bicycle in such a manner that the marking or label cannot be removed without being defaced or destroyed. The marking or label shall identify the name of the manufacturer or private labeler and shall also bear some form of marking from which the manufacturer can identify the month and year of manufacture or from which the private labeler can identify the manufacturer and the month and year of manufacture. For purposes of this paragraph, the term manufacture means the completion by the manufacturer of a bicycle of those construction.
Figure 22-3 EOP 40-11 22-6
Adjustments 22-15. Customers may return assembled merchandise within 30 days from the date of purchase for a free adjustment. Date of purchase for items placed on layaway will be the date the customer took possession. 22-16. If an even exchange or refund is approved by management on any item assembled by the Exchange: a. For a total refund, include the purchase price and the assembly fee. b. A partial refund is the amount approved by management and will not include an allowance for the assembly fee. c.
For an even exchange, the customer won't have to pay an additional assembly fee.
22-17. Generate a refund voucher in the POS terminal to record the refund of both the sell price of the item and the assembly fee. Record each to the proper department. 22-18. Approve refund vouchers as prescribed in EOP 40-05, Chapter 3. 22-19. Facilities using a non-departmental cash register should record transactions in the following way: a. Ring the sell price and the assembly fee as a retail sale. b. Prepare Form 7200-006 (Section 2), Cash Register Adjustment Voucher, to adjust sales categories. Credit the assembly fee amount to Account 352-31. c. When processing a refund that includes an assembly fee, show the merchandise amount and the assembly fee separately on the refund voucher. Record the assembly fee as Refund Assembly Fee Debit Account 352-31.
Merchandise Assembly Invoice Processing 22-20. Merchandise Assembly Vendor invoices must be processed within 24 hours of receipt of service performed and no later than 48 hours. 22-21. CONUS, Alaska, Hawaii and Puerto Rico locations will order services and receive through the Oracle system. Click here for instructional guidance on Oracle. 22-22.All other locations will continue to contact vendor and process receipts thru Direct Store Delivery (DSD) receiving procedures. a. For DSD ASAP receiving of non-retail Account 352-31 procedures, click here. b. When processing DSD with invoice, facilities need to be sure to process invoices with the correct invoice numbers and dates (see Figure 22-4).
EOP 40-11 22-7
Conversion of PL-K Contracts to Direct Store Delivery
APPLICABILITY: ALL FACILITIES DIRECT QUESTIONS: MD HELP DESK, MD HELP DESK USEFORM
ACTION REQUIRED SUBJECT: CONVERSION OF PL-K CONTRACTS TO DSD RECEIPTS FOR SERVICES SHOULD BE RECEIVED THROUGH DSD Effective 10 MAR 2009, all FS21 contracts for services will be expired and the vendors will be converted to DSD. All receipts normally received under these contracts should be received as a DSD receipt in ASAP. You will only enter the invoice total on the receiving screen (there will be no line items) and you will be required to enter the account number. For a tutorial on how to receive against a non-retail vendor, click here.
Figure 22-4
Service Contractors for CONUS, Alaska, Hawaii & Puerto Rico 22-23. For the Merchandise/Bike Assembly service contractor for your exchange, click here go to the Merchandise Assembly portal located in Hardlines>Programs>Merchandise Assembly Provide an adequate working environment for maximizing the assembler’s time at your store.
Contractor Performance Issues 22-24. For issues related to contractor performance and POC for Exchange Contracting Offices, contact the contracting officer or MD program manager.
Bike Helmet Safety Tag 22-25. All facilities must comply with mandatory Bike Helmet signing on every display bike.
EOP 40-11 22-8
Execution 22-26. The tag must be attached to EVERY bike on display at the Exchange. Attach tag with a zip tie in front of the POP hang tag for maximum visibility.
Bike Helmet Safety Tag INSTRUCTION SHEET
MAY 2011
PROGRAM: Bike Helmet Safety Tag STRATEGY: To inform customers when purchasing a bike that helmets are required to be worn when riding a bike on military installations. ORDERING: This sign is not being shipped by automatic distribution. For additional quantities, the sign can be ordered through the DDDC (1059902) using the CRC number listed below. In the event of an immediate requirement, the sign will be published to VMag for local printing, if necessary. Both the sign and instruction sheet can be found on VMag using the following path: Signs and Posters > Operational > Bicycle Signing EXECUTION: The tag must be attached to every bike on display in your exchange. Attach the tag with a zip tie in front of the POP hang tag for maximum visibility. This will ensure all customers are aware of the regulations prior to purchasing a bike. QUESTIONS: For questions regarding the execution of this sign, please contact Anne Duffley, at
[email protected]. For questions regarding content for this sign, contact
[email protected].
Safety Tag CRC #313-2623 5” x 4.5” 25/pk
Figure 22-5 EOP 40-11 22-9
U.S. Military Regulations on Bicycle Helmets U.S. Military Regulations on Bicycle Helmets DoDI 6055.4 DoD Traffic Safety Program E. PROCEDURES The Heads of the DoD Components shall incorporate the requirements of Subsection 3, E.1 through E.11, below, into their traffic safety programs: 1. Highway Safety Program Standards (HSPS). Part 1230 of 23 Code of Federal Regulations (CFR) (reference [c]) requires the DoD to implement such standards for DoD activities. The DoD modified reference (c) to reflect unique military requirements and DoD-worldwide operations (enclosure 2). HSPS REQUIREMENTS The DoD Components shall model their traffic safety programs after 23 CFR 1204 (reference [c]). The minimum requirements to carry out those standards are as follows: L. "BICYCLE SAFETY" (HSPS NUMBER 19) Bicycle safety shall be emphasized throughout the DoD as an important part of the DoD Components' traffic safety program. Programs shall emphasize the mandatory use of approved (i.e., American National Standards Institute [ANSI] or the Snell Memorial Foundation) bicycle helmets by all personnel (including dependents) who ride bicycles on DoD installations. Workers operating bicycles in areas that require the use of ANSI-approved helmets (hard hats) for protection from falling and flying objects are allowed to use those helmets instead of approved bicycle helmets. AFI 91-207, THE US AIR FORCE TRAFFIC SAFETY PROGRAM 20. All personnel (including dependents, contractors, retirees, etc.) who ride bicycles on an installation must wear an approved (i.e., ANSI or Snell Memorial Foundation) bicycle helmet. Workers operating bicycles in areas that require the use of ANSI-approved helmets (hard hats) for protection from falling and flying objects are allowed to use those helmets instead of approved bicycle helmets. EXCEPTION: Workers operating bicycles in industrial/flightline areas designated no-hat area due to potential of FOD need not wear the bicycle helmet. Operators of three-wheeled bicycles are not required to wear the bicycle helmet. See also this page on Navy bike helmet regulations. November 13, 2003
Figure 22-6
EOP 40-11 22-10
Chapter 23
Tobacco Products Purpose 23-1. Chapter 23 establishes policy for merchandising and selling tobacco products in Exchange facilities. These policies are mandated by DoDI 1330.09, Armed Services Exchange Policy, and DoDI 1330.21, Armed Services Exchange Regulations. GMs must ensure all facilities that sell tobacco at their Exchanges are in compliance with the Tobacco Display policy for CONUS and OCONUS locations.
Policy 23-2. When requested by command, remove from sale all cigarettes and other tobacco products (OTP) at military health care facilities and troop training facilities. All command requests to remove cigarettes from the main stores and Express must be worked with HQ. 23-3. Do not advertise or promote tobacco products in public media (tabloids, fliers, PA announcements, and so forth). This doesn’t apply to pipes, cigar accessories, and lighters. 23-4. Do not use department signs or banners to highlight tobacco products. Do not use vendor-provided items for in-store or display advertising, such as clocks, neon lights, shopping baskets or ash trays. This is prohibited by Food and Drug Administration (FDA) regulations. 23-5. Accept temporary promotional offers, such as cents-off manufacturer coupons, as long as the same coupons are in the retail market. Coupons cannot state “military only;” they must state “manufacturer’s coupon.” Military only coupons are not authorized. 23-6. The number of facings allocated to each manufacturer is based on contractual agreement and guidance provided by HQ-MD. Only the buyers may reallocate existing tobacco shelf space among tobacco brands. Stores should refer to the current POG and market share percentages for allocating shelf space to each vendor and brand. Under no circumstances should stores accept direct payment for shelf space or promotional display. 23-7. Effective June 22, 2009, the Family Smoking Prevention and Tobacco Control Act became law. As a result, tobacco products must be sold from racks behind the checkout; overhead units are authorized. These must be locked when register is not in use. The use of any self-service fixtures (both packs and cartons) can no longer be used at any CONUS facility. The tobacco fixtures may still be used in OCONUS. Line-of-sight of the primary register must be maintained. a. Sale of tobacco products in all CONUS activities must be sold from racks behind the cashier. b. This law does not apply to the OCONUS market. 23-8. Do not sell tobacco products to anyone under the age of 18, as outlined in AR 215-8/AFI 34211(I). Check the ID card of those customers purchasing cigarettes or smokeless tobacco when they are not in uniform to ensure: (1) they are authorized to purchase tax-free tobacco, and (2) they are of legal age. Ration cards for tobacco are issued in Europe and Korea to persons 18 years or older. In these areas, do not sell cigarettes to anyone without a ration card. The new Common Access Card (CAC), being issued to regular DoD civilians and authorized contractors, does not have the date of birth (DOB) stamped on the cards. The DOB is embedded in the chip.
EOP 40-11 23-1
23-9. Only active-duty and mission-essential DoD personnel being issued the CAC cards have the DOB imprinted or stamped on the card plus embedded in the chip. Therefore, you may ask for another form of ID when the DOB is not noted (such as, driver’s license with picture). 23-10. Cartons of cigarettes will be merchandised on non-self service Exchange fixtures in CONUS or on HQ-approved, optional vendor fixtures. Merchandise cigars, smokeless tobacco, and smoking accessories on Exchange fixtures or on HQ-approved, optional humidors or vendor fixtures. 23-11. Total floor/shelf space allocated to the tobacco department will be based on the sales and restocking requirements, not incentives provided by the vendors. All tobacco displays must be placed behind the cash register, inaccessible to customers. 23-12. All promotions must be coordinated through and approved by HQ-MD. As mandated in DoDI 1330.09 and DoDI 1330.21, only promotional programs for tobacco products that reflect general commercial practices will be considered for approval. No military-only coupons or other promotions unique to the military resale system can be used. Local promotions are prohibited. 23-13. These guidelines apply only to non-ASAP facilities. To mark up single packs of cigarettes non-ASAP: a. Process Form 4350-007, Retail Price Change Voucher (Price Change Mark-up), no later than the close of each fiscal month. Price change quantities include all packs marked-up for sale at individual pack prices. b. Use Department 10 on the price change voucher (PCV). c.
Determine price change amounts by: (1) Multiplying the number of packs in a carton 10 times the established pack price: 10 x $2.00 = $20.00 (2) Subtracting the regular carton sell price from the price established in Step #1: $20.00 - $15.95 = $4.05
d. Keep one end of each cigarette carton to calculate quantities for the PCV. After the PCV is prepared, discard the carton end. 23-14. Tobacco Pricing a. CONUS: DoDI 1330.09 mandates that prices of tobacco products sold in military outlets in the United States, its territories, and possessions shall be no higher than the most competitive commercial price in the local community and no lower than 5% below the most competitive commercial price in the local community. Tobacco cannot be sold below the cost of the product to the Exchange. Sister Exchanges are not considered competition. (1) HQ MD-C, in conjunction with the pricing team, will collect surveys for tobacco on a quarterly basis or when any cost price change occurs, and will set all pricing for cigarettes and OTP. (2) HQ will collect surveys for tobacco items other than cigarettes (OTP) no less than every six months, or when a cost price change occurs. b. OVERSEAS: Prices of tobacco products sold in the overseas military retail outlets will be within the range of prices established for military retail system stores in the United States. HQ MD-C, in conjunction with the pricing team, will establish and maintain all tobacco pricing for overseas facilities. EOP 40-11 23-2
23-15. The Exchange will endeavor to display tobacco cessation products in areas that provide visibility and opportunity to customers who want to change their tobacco habits. Do not display cessation products in the tobacco department. Smoking cessation products will be priced below the local competitive price. 23-16. The Exchange will follow FDA laws which dictate the rules for the display of tobacco products in the stores. In CONUS stores, they must be located behind the cash registers, inaccessible to customers. 23-17. In OCONUS, the Exchange will place self-service tobacco displays in line-of-sight of the primary cashier/checker. Avoid displaying tobacco products next to or directly across the aisle from categories that appeal to children, such as candy or toys. 23-18. Exchange store managers must ensure tobacco products are secured immediately upon receipt. All stockrooms must have a secure area to store back-stocks of tobacco products (reference EOP 16-01). 23-19. Exchange store managers must ensure rotation of tobacco products. Stores should work with the local vendor representatives to process timely returns and credits on expired and damaged tobacco products. 23-20. Do not markdown tobacco products. 23-21. For a list of vendors that can provide credits, see the MD Tobacco Portal. 23-22. If the vendor does not provide credit, stores must write off. For cigarettes, periodic returns to recoup the Federal Excise tax will be worked with LG. Stores must not destroy or write off the product. Returns will be worked on an annual basis. Stores must follow the return instructions provided on the MD Tobacco Portal. OTP must be written off and destroyed locally. 23-23. Tobacco Fixture Replacement and Repair Guidelines a. Applicable for CONUS facilities, including Hawaii and Alaska, but excluding Puerto Rico, Azores, Guam, and Samoa. b. Contact your local Altria rep for damaged vendor provided cigarette and/or OTP fixtures. They determine if the vendor will repair or replace damaged fixtures.
c. upgrade.
•
Click here for images of the fixtures.
•
Click here for Altria contact information.
Altria will not replace fixtures when a store changes in size or goes through an image
d. New cigarette and new OTP vendor provided pictures will be provided and installed only in brand new ground-up stores (where no previous store existed). Note: Do not contact the local Altria rep for this. The HQ-RE/Engineering Support Group coordinates fixtures for new stores.
EOP 40-11 23-3
Chapter 24
Sale of Alcoholic Beverages Purpose and Applicability 24-1.
Chapter 24 establishes guidelines for Exchange sales of alcoholic beverages, where authorized.
Policy 24-2. The DoD has directed that the minimum age for purchasing, drinking or possessing alcoholic beverages on military installations in CONUS, Alaska, and Hawaii will be the same as the law of the state where the installation is located. Exceptions: a. At remote locations where privately owned vehicles aren’t available, alcoholic beverages may be served to all service members. b. Where an installation is within 50 miles or one-hour driving time of a state or foreign nation with a lower drinking age. c. On those infrequent, non-routine occasions where an entire unit, as a group, celebrates at a military installation; a unique military event. Note: Exchange management will not determine the applicability of these exceptions. They will be established by the military command. If Command at Army initial entry training, Air Force basic training or Air Force technical training locations asks the GM to remove any alcohol from these facilities, you must comply. 24-3. This DoD directive does not apply to installations overseas; in those locations, policy is set by major command and based on SOFAs or other country-to-country agreements.
Procedures 24-4. Associates will ask for the customer’s ID when buying alcoholic beverages. The new CAC, being issued to regular DoD civilians and authorized contractors, does not have the DOB stamped on the cards. The DOB is embedded in the chip. Only active-duty and mission-essential DoD personnel issued the CACs have the DOB imprinted or stamped on the card plus imbedded in the chip. Therefore, you may ask for another form of ID when the DOB is not noted (that is, driver’s license with picture). 24-5. To ensure there’s full compliance with the minimum drinking age directive, Exchanges must post locally produced, POP signs telling customers of the state age requirements for buying alcoholic beverages. Signs must include the following statements: State law prohibits the sale of alcoholic beverages to individuals under the age of XX. We only sell to individuals over this age limit. 24-6. Exchange facilities must adopt the same identification and proof-of-age procedures prescribed by the installation commander for all other outlets on the installation selling alcoholic beverages.
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24-7. To help cashiers identify underage customers, have the following information available at each cash register (the reference below is actually not a sign, but rather, suggested text for stores): The customer must have been born before (month-day-year) [changed daily] to buy alcoholic beverages. Avoid having separate signs visible to the customer. Cashiers must be tactful when it’s necessary to verify the customer’s age according to installation procedures. 24-8. Most states have passed legislation complying with the minimum age requirement of 21. HQ General Counsel (GC) has furnished CONUS and Pacific regions (PAC) with a list of state drinking age laws, and occasionally updates it. CONUS and Pacific regions are responsible for telling exchanges of the status of laws in their respective states and ensuring POP signs are posted in all facilities selling alcoholic beverages. 24-9. Exchange activities must comply with state selling age laws in employing people to dispense or sell alcoholic beverages. 24-10. To prevent possible civil liability to the Exchange, CONUS, and overseas Exchanges must not sell alcoholic beverages in any quantity to any person who may be intoxicated. a. Exchange management must ensure all sales associates assigned to outlets selling alcoholic beverages are told of this policy. Any newly hired employees are advised at the time of their employment. •
Form 1100-003, Dram Shop Certification
•
101R Techniques of Alcohol Management
b. General/Exchange managers must take proper action to ensure this policy is broadly distributed to all installation personnel through daily bulletins and the installation newspaper. 24-11. Alcoholic beverages (liquor, wine, and beer) are authorized on the MILITARY STAR® Card, effective 05 November 2003. 24-12. Alcohol miniatures must be displayed on the approved fixtures and placed within the cashier’s line-of-sight.
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Chapter 25
Selection, Display, and Selling of Adult-Oriented Material Purpose and Applicability 25-1. Chapter 25 clarifies how to select, display, and sell adult-oriented materials. The procedures apply worldwide.
Magazines 25-2.
Magazines
a. Selection. The Military Honor and Decency Act of 1996 (Section 2489a, Title 10, USC) prohibits the sale of sexually explicit materials on property under the jurisdiction of the DoD. Pursuant to DoDI 4105.70, Sale or Rental of Sexually Explicit Material on DoD Property, the Secretary of Defense directed that a Resale Activities Board of Review ("the Board") be established to review publications and other materials that might be viewed as sexually explicit. As a result of that review, a list of publications and other materials that may not be sold on property under the authority of DoD was published on 21 September 1998, as was a list of publications that may be sold on property under DoD authority. The Director/CEO instructed managers of all Exchange facilities to remove from sale all materials deemed sexually explicit by the Board. Only the Board may approve publications that appear to be sexually explicit. The Exchange does not control such decisions. If any purchasing agent or manager of a retail outlet has reason to believe that material offered (or which may be offered) for sale or rental on property under DoD jurisdiction may be sexually explicit as defined herein, and such material is not addressed by the Board’s instructions issued under subsection 6.5 of DoDI 4105.70, he/she shall request a determination from the Board about such materials. To view the list of approved/non-approved magazines, reference the Exchange portal for Hardlines, Books and Magazines, and Adult-Oriented. b. Display. Magazines classified as adult-oriented for display purposes must have restrictive closures applied before being delivered to Exchange facilities. GMs must advise the contractor of the titles. Restrictive closures are shrink-wrap, bags or tabs designed to avoid random customer browsing. Check the display regularly to ensure adult magazines aren’t left where underage persons can reach them and restrictive closures are in place. Put magazines classified as adult-oriented on the top shelf/shelves of the self-service, magazine display racks. Only the title may show. Use an “Adult Reading Material” panel if the display fixture lets more than the title show. Panels are to be made locally. c. Selling. Our policy is to restrict sales of adult-oriented magazines to only those customers 18 years old or older. Each exchange must comply with the state or local law governing the age limit required to purchase adult-oriented magazines if the state law requires a higher age than 18. If there are no state or local laws on age restrictions for adult-oriented magazines, age 18 will apply. When state or local laws are followed, the “Adult Reading Material” sign must be locally produced, showing the required age. d. MCS Policy. Exchange policy is that adult magazines won’t be sold in MCSs.
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e. Magazine Covers with Partial Nudity (1) The Exchange does not have the right to remove adult-oriented reading materials for sale unless materials have been judged to be obscene by a state or federal court. Some publications are displayed on our impulse merchandisers at the registers. Customers have objected because partial nudity appears on the cover and these covers are visible to children. (2) When customers complain about the cover of a particular issue, the front of the magazine should be covered with a locally produced panel (e.g., card stock). Do not cover the title. The Exchange has used panels this way for many years in the adult reading department. The use of panels in areas where offensive covers are exposed to children can be appreciated by our customers. The panel is to be used on the impulse merchandisers only, and only for the particular issue that has caused a customer complaint. They are not to be left in place permanently. (3) The Exchange acknowledges this is a very sensitive subject, and it is our responsibility to ensure we provide all of our customers with a wholesome shopping environment. Exercise your best judgment.
Prerecorded Digital Video Disc/Video Movies 25-3.
Prerecorded Digital Video Disc (DVD)/Video Movies
a. Selection. The Exchange, in collaboration with our vendor partner, establishes the prerecorded music assortment based on customer demand, store demographics, and common practices of similar commercial retailers. Like motion pictures, DVDs/videos are rated by the motion picture industry. We sell and rent “G,” “PG,” “PG-13,” “Non-Rated,” and “R” rated DVDs/videos; the Exchange does not sell or rent “NC-17” or “X” rated DVDs/videos. Playboy videos are “Non-Rated,” but are considered “R” rated for display and selling restrictions. b. Display. Adult and/or mature DVDs/videos must be displayed on the top row of the video display in both retail and video rental outlets. This merchandise is to be positioned as far away from the children’s videos as possible. If any mature video (or any other DVD/video) has a cover that store management feels might offend some customers, the objectionable part should be covered. The title must remain visible. Cut and use blank sign card stock as the cover. Exchanges that use prerecorded videos to demonstrate televisions or DVD players, or show DVDs/videos to draw attention to a new release for sale, are limited to using movies rated “G” or “PG” and videos of sports, travel, cartoons, and music without explicit lyrics, clothing, or gestures. Video rental outlets must air the HQ-supplied video clip containing previews of coming attractions, when available, or follow the above procedures. c. Selling/Renting. The Exchange sells and rents DVD/video movies according to motion picture industry requirements. To buy or rent an “R” rated movie, the customer must be 17 years old or older. Each exchange must comply with the state or local law governing the age limit to purchase or rent adult-oriented (R) movies if the age requirement is higher than 17. If there are no state or local laws on age restrictions for adult-oriented video movies, age 17 applies.
EOP 40-11 25-2
Prerecorded Music 25-4.
Prerecorded Music
a. Selection. The Exchange, in collaboration with our vendor partner, establishes the stock assortment based on customer demand, store demographics, common industry practice and common sense. This is a sensitive area for many customers and local management must take a proactive approach to ensure strict compliance with the following display, sales, and rental guidance. b. Display (1) The music industry has no rating system, but has voluntarily begun labeling CDs and music videos with a parental advisory label when they contain vulgar, explicit or violent lyrics. The Entertainment Software Rating Board (ESRB) signing is on every video and computer game software for ease of rating. Signs are available to download on Vmag: Signs and Posters > Departmental Signing > Hardlines > PowerZone > Parental Guidance Rating Systems.
Entertainment Software Rating Board Rating Symbols
Figure 25-1 (2) Merchandise containing the parental advisory label should be displayed at the top of the CD fixture. Do not display this product next to children’s music. An alternate acceptable display method is to continue to stock these selections numerically displayed (Top 10/Top 100) or alphabetically in their normal location within the fixture, if the required age restriction signs are posted and sales are carefully monitored. Never demonstrate products containing the parental advisory label. Do not display CDs containing the parental advisory label on the checkout impulse merchandisers, but be sure to post the Adult Music Sign (Figure 25-2) where plainly visible. Signs are available to download on Vmag: Signs and Posters > Departmental Signing > Hardlines > PowerZone > Parental Guidance Rating Systems. Signs should be displayed near high traffic areas where CDs and music videos are available. EOP 40-11 25-3
Adult Music Sign
Figure 25-2
EOP 40-11 25-4
c.
Selling/Renting
(1) Sales of CDs and music videos plus rental of music videos with the advisory label is restricted to customers 17 years old or older. However, each exchange will comply with the state or local law governing the age limit required to purchase or rent adult-oriented music if the state law requires a higher age than 17. If there are no state or local laws on age restrictions for adult-oriented music, age 17 will apply. When state or local laws are followed, the required signs mentioned above must be locally produced showing the required age. (2) To assist in the control of selling music titles, the parental advisory items will be downloaded to the Price Look-Up (PLU) and will produce a prompt, reminding cashier to ask for ID verification to ensure the customer is 17 or older.
Computer Software 25-5.
Computer Software
a. Selection. The Exchange establishes the computer software stock assortment based on customer demand and common practices of similar commercial retailers. b. Display. There is no industry rating for computer software as for motion pictures. Software manufacturers voluntarily label adult-oriented products as such, and package them in the same restrictive shrink-wrap enclosure used on all computer software. Check the display area regularly to ensure the adult-oriented software packages remain in the restrictive enclosures. Never demonstrate adult-oriented computer software. c. Selling. Sale of adult-oriented computer software is restricted to customers 17 years old and older. However, each exchange must comply with state or local law governing the age limit required to purchase adult-oriented computer software if the state law requires a higher age than 17. If there are no state or local laws on age restrictions for adult-oriented material, age 17 applies. When state or local laws are followed, the required sign (above) must be locally produced, showing the required age.
EOP 40-11 25-5
Bookmark and Magazine Sign Kit Update
Figure 25-3 – page 1
EOP 40-11 25-6
Figure 25-3 – page 2
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Figure 25-3 – page 3
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Figure 25-3 – page 4
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Chapter 26
Storing, Displaying, and Handling Pesticides Purpose and Applicability 26-1. Chapter 26 applies to worldwide locations and gives storing, display, and handling procedures for pesticides sold in Exchange facilities. Using these procedures decreases the possibility of contaminating foods and harming the health of associates and customers by mingling products, breakage, or spillage.
Policy 26-2. Federal law requires all pesticide products to be registered with the EPA before they can be marketed in interstate commerce. Before registering the product, the EPA requires the manufacturer to supply scientific evidence the product is effective against the pest(s) listed on the label but won't injure humans, crops, livestock or wildlife when used as directed. Authority for this consumer/user protection comes from the Federal Insecticide, Fungicide, and Rodenticide Act administered by the EPA (reference the Federal Environmental Pesticide Control Act of 1972). 26-3. Pesticides chosen for sale in Exchanges must be registered for “General Use” by the EPA or by the state where the facility is located. Never sell items with labels displaying “only Professional Pest Management personnel may use the product” or items labeled “Restricted Use.” All registered pesticides have a label approved by the EPA or state of manufacture that includes a registration number, list of active ingredients, directions for use, safety precautions, and notice of warranty. Label approval shows the pesticide product has been examined and it isn’t usually hazardous to humans or domestic animals if mixed and applied according to label instructions. Safety packaging, such as childproof closure, is preferred and should be specified by procurement offices when possible. 26-4. Pesticides sold in exchanges consist of herbicides, insecticides, rodenticides, fungicides, and disinfectants in the form of dust, oil solutions, emulsifiable concentrates, and wettable powders. Pesticide chemicals are toxic materials and must be properly stored, handled, and used to obtain desired results without creating undesirable toxic hazards and environmental contamination. The diversity and variety of formulations make it essential to carefully select pesticide items to be sold in Exchange facilities. The specific chemicals, concentrates, and formulas may vary according to season and geographic area.
Storage and Display 26-5. Arrange all pesticides, including fertilizers with a pesticide, separately on sale display shelves/ pallets and in storage according to type (e.g., herbicides, insecticides, rodenticides, fungicides, and disinfectants). Segregate pesticides from all food products when they’re in storage, during transportation, and on display. Segregation means there must be enough space between pesticides and food items so spillage and leakage won't contaminate food. Make sure there’s enough ventilation to disperse fumes caused by leaking containers, breakage or spillage. Any containers found to be leaking or bags that are torn or ripped should be immediately cleaned up and removed from the sales floor. Contact your local Environmental Health Section (Army) or the Bioenvironmental Engineer (Air Force) for appropriate instructions for clean-up and disposal. 26-6. The Exchange follows industry practices on the display of pesticides; however, some commands have recommendations on the display of pesticides, herbicides, and fertilizers. When the POG is not compliant with local command, the POG should be altered to meet local command guidelines. This will include not stocking liquid products above dry or powder products and keeping product protected from extreme low or extreme high temperatures. Local command may also require product to be merchandised where sunlight and rain will not affect the packaging. EOP 40-11 26-1
26-7. Pesticide displays must be remote from food, food preparation items, food utensils (throwaway or durable), lunch boxes, picnic baskets, clothing, cleaning supplies, grass seed, and pet food. Separation by a wall or partition is preferable, but not mandatory. Segregation by fixture/shelf arrangement is necessary. 26-8. Where practical, display pesticides on upper shelves out of reach of children. This includes bottles and boxes, but not large bags (i.e., 25-pound bags of fertilizer with pesticides). Do not store herbicides above other types of pesticides. 26-9.
Pesticides or fertilizer products containing pesticides should never be stored in outdoor areas.
26-10. Rotate product to ensure the oldest products are sold first. This will limit the amount of expired product and reduce package damage. 26-11. An Occupational Safety and Health Administration (OSHA) approved spill kit should be located near the pesticides on the sales floor and stockroom. 26-12. Follow OSHA guidelines for the number and placement of fire extinguishers, in coordination with local fire prevention authorities.
Handling 26-13. Follow precautionary statements on the pesticide label about safe storage and handling. Pesticide containers must not be thrown, tossed or dropped during handling. Product must be inspected frequently to ensure the containers are not leaking or rusting and they remain in serviceable condition. Product without labels should be removed immediately from the floor. 26-14. Check lids, caps or other closures for tightness and sealing to prevent the accidental spilling of contents when merchandise is stocked. All product should be off the floor and protected from traffic by kickplates or pallet guards. 26-15. Associates handling pesticides during storage and stocking must wash their hands thoroughly when finished.
Point-of-Sale Bagging 26-16. Place pesticides in a separate bag at the POS. Never put pesticides in a bag with food or clothing.
EOP 40-11 26-2
Pesticide Spills 26-17. When a pesticide spill occurs, regardless of size, contact the installation Environmental Health Section (Army) or the Bioenvironmental Engineer (Air Force). 26-18. Post emergency phone number for reporting spills and "No Smoking" signs near pesticides, even if stocked outdoors. If product is displayed outside, provide a roof over the storage area and use plastic covers for pallets to minimize weather and sunlight damage to packaging. Keep copies of the pesticide storage location and floor plan in a separate and safe location to provide to emergency responders. 26-19. Despite the size of a pesticide spill, the first concern must be for the health of any customer or Exchange associate who is in direct contact with the spill. Take the following steps: a. If the pesticide gets into the eye(s) or on the person's skin, flush with water immediately. Wash the skin with soap and water. Eye wash kits should be installed at every location (see EOP 17-01, Figure 31-1). b. Blot up any pesticide on the clothing and, if practical, remove the clothing; or, have the person go home immediately and change his/her clothing. c. Once the pesticide is washed off and clothing changed, send the person to the nearest dispensary or medical facility. Because pesticides can be inhaled or absorbed through the skin, medical evaluation is important. An exposed person must know what pesticide he/she was exposed to and its strength or concentration. d. All Exchange facilities receiving or handling chemicals must be provided with an emergency eyewash station. The OSHA standard requires suitable facilities for the quick drenching or flushing of eyes and body to be provided in the work area for immediate use. Such facilities are Merchandise Processing Areas (MPAs), main stores, branch locations, garden shops, car care centers, and BX/PXtras. These are available through Equipment/Supply Availability Bulletin (E/SAB): First Aid/Eye Wash Kits (see EOP 17-01, Figure 31-1). Note: Determine and comply with any and all applicable local codes for storage, display, and clean-up of pesticides, herbicides, and fertilizers. 26-20. When a liquid pesticide is spilled, clean it up the following way: a. Isolate the spill area. Block aisles with ropes, carts, etc. to end traffic. b. If there’s a strong odor from the pesticide, air the room as much as possible. Open doors and windows and turn on exhaust fans. c. Clean-up personnel should wear gloves, coveralls, and waterproof footwear (e.g., rubbers or goulashes) to protect their hands, clothing, and shoes. They shouldn’t eat, drink or smoke during the clean-up. Afterwards, they must wash their hands thoroughly with soap and warm water. d. Apply absorbent material to the spill to soak it up until the floor is dry. An absorbent such as cat box litter, vermiculite, oaklite, etc., can be used. Never use sawdust as an absorbent for hazardous material spills. e. When the pesticide has been absorbed, scoop up the absorbent material and put it in a doubled bag (one bag inside another). Use pieces of cardboard for scoops and place them inside the plastic bags, also.
EOP 40-11 26-3
f. Using a plastic squeeze bottle or a hand sprayer, apply a warm water solution to the spill area. Mop with a sponge mop. Squeeze rinse water into a plastic bag. Mop the spill area three times. Remove the sponge head from the mop, as well as your gloves, and place in the plastic bag. g. According to the new Armed Forces Technical Guide 45, Storage and Display of Retail Pesticides (http://www.afpmb.org/pubs/tims/TG45/TG45.htm), once all materials are in the bags, tie the inner bag and then tie the outer bag. Place the bags in a refuse container to be disposed of in accordance with local/state environmental protection laws. Note: Bags must contain enough absorbent material to hold all liquids. 26-21. When a powder or granulated pesticide is spilled, clean it up the following way: a. Follow paragraphs 26-19a and 26-19b. b. Spray the spill area with a water mist using a hand spray bottle to control the dust. This may need to be done several times during pick-up. c. Use pieces of cardboard to scoop up pesticide and put it in double plastic bags (read paragraph 26-20e). 26-22. Discard pesticide containers broken or damaged from the spill the same way as the spilled pesticide (paragraph 26-20).
Inspection of Fixtures 26-23. Managers at exchanges selling pesticides should periodically inspect their fixtures and decide if they are sturdy and properly installed.
References 26-24. References: a. Paragraph 10-4 and Appendix C, AR 40-5, Preventive Medicine. b. AFI 48-102, Medical Entomology Program. c.
The Federal Insecticide, Fungicide and Rodenticide Act of 1976.
d. Federal Environmental Pesticide Control Act of 1972. e. Warranty Clause, Exchange Purchase Order (PO) General Provisions. f.
EOP 17-01, Occupational Safety and Health Program.
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Chapter 27
Sale of Plants and Shrubs Purpose 27-1. Chapter 27 explains how to sell plants/shrubs (indoor and outdoor) and seasonal plants/flowers at Exchange retail and concession facilities.
Policy 27-2. Outdoor plants/shrubs will be sold preferably in a direct retail operation with the established ODL Program. Outdoor plants/shrubs include all plants grown primarily outdoors in the local area. This includes both perennial and annual plants. Perennials can withstand the year-round climatic conditions in the area of the exchange. Annuals are seasonal and generally sold as bedding plants. 27-3. Indoor plants will be sold preferably in a concession operation with cut flowers. Indoor plants include all plants grown for indoor use in the local area. They are available pre-planted in decorative containers or for home-potting by customers. Limited cut flowers and indoor plant programs are available in most markets. 27-4. An outdoor plant in one area may be considered an indoor plant in another area due to differences in climatic conditions and local planting preferences. Example: A rubber tree is considered outdoor in Florida and indoor in Colorado. 27-5. If service to customers will be enhanced and Exchange earnings improved, the OCONUS CDR/ CONUS SVP may approve the sale of outdoor plants by a concessionaire and/or indoor plants by a direct retail operation. There should be no duplication of assortments between concessionaires and direct retail operations. Example: If the concession florist continuously stocks an assortment of all sizes of DieffenBachia but does not carry Schefflera, the Exchange may stock Scheffleras, but not the DieffenBachia. The intent is to have a well-rounded plant program that stimulates sales of both the concession florist and the direct retail operation without competing or conflicting with each other. 27-6. At exchanges having contract florist service, the concessionaire must be given first option to stock and sell popular-priced seasonal plants and flowers, such as Chrysanthemums, Poinsettias, and Easter Lilies. Assortments must be available for all seasonal events with no restrictions of service to only selected events or selected plants or flowers. The prices must offer customers a recognizable savings below local nurseries and/or comparable to commercial mass merchandisers, such as local supermarkets and discount retailers. 27-7. Exchanges that either don’t have a florist concession, or can’t/won’t provide full service with customer savings for all major events, will sell seasonal plants/flowers through direct retail outlets.
Procedures 27-8. Merchandise plants sold in a direct retail operation in a high-traffic location next to the lawn and garden area. Related merchandise, such as potting soil, garden tools, fertilizers, insecticides, and other plant care items, should be available to provide a total garden service. 27-9. Concessionaires selling plants should have enough space and a convenient location. Temporary additional space may be needed for selling seasonal plants and flowers.
EOP 40-11 27-1
Chapter 28
Customer Service Programs Purpose and Applicability 28-1. The value of the Exchange Customer Service Programs directly relates to sales. Loyalty behavior is measured by analyzing customers' sales transactions, revealing customer retention rates, and customer defection rates over various time periods.
Goals 28-2. The Exchange has established key customer service programs that are applied in our stores worldwide.
EOP 40-11 28-1
Chapter 29
Hunting and Fishing Licenses Purpose and Applicability 29-1. Chapter 29 provides guidance on hunting and fishing license services to authorized customers in exchanges located in CONUS, Alaska, and Hawaii.
Policy 29-2.
Exchanges are authorized to act as an agent of the state to issue hunting and fishing licenses.
General Procedures 29-3. State laws control the issue of hunting and fishing licenses. Agents for this are usually provided for under various state statutes. These agents must follow the laws and regulations of the state. Local laws dictate the amount of fee (if any) the customer can be charged for process and handling. Exchanges wanting to offer these services should apply to the Game and Fish Department of the state where located and, if necessary, pay any application fee. No contract is needed to document the relationship, other than the application.
Bonding 29-4. Since the Exchange is a Federal instrumentality, ask the state, in writing, to waive any bond requirement. Exchanges may not post a bond with the state for faithful performance. The need to post a bond questions the fiscal integrity of the Federal Government. 29-5. If the state advises that under the law it may not waive the bond requirement, an Exchange management employee of the Exchange may apply for and furnish the bond. The Exchange must repay the associate for the cost of the bond and the application fee. 29-6. The manager designated to apply and furnish the bond to the state should, if possible, be of a stable tenure with the local exchange to prevent reapplying frequently due to turnover of Exchange associates. 29-7. Don’t use the procedure in paragraph 29-5 to benefit any employee of the Exchange personally, but only to provide the service where a waiver of any bond requirement can’t be obtained.
Accounting for License Sales 29-8.
Record hunting and fishing licenses on a multipurpose form.
29-9. Obtain hunting and fishing licenses from authorized state agencies on a direct purchase or consignment basis. 29-10. When the Exchange buys hunting and fishing licenses from authorized agencies for resale to customers, charge the net cost of the licenses to Retail Inventory (Account 031-91) through the working fund. When included in the Retail Inventory, record sales on a cash register and account for them as regular sales. EOP 40-11 29-1
29-11. When licenses are obtained on a consignment basis, account for them on an agency basis. The licenses won’t be received into Exchange accountability, but keep them by memo accountability. Inventory licenses monthly and reconcile them to the memo accountability record. When licenses are accounted for on an agency basis, record sales at POS locations in the terminal (from the Non-Retail Menu, select the Hunt/Fish License key). The sales will be booked to the correct account. At non-POS facilities, prepare Form 7200-007 (CRC 524-3795, Figure 29-1). The account number for Sales is 106-2, and the account number for Income is 241-12. All unsold licenses should be returned to the state agency using forms provided by the agency.
Cash Receipts Voucher, Form 7200-007
Figure 29-1
Return of Unsold Licenses 29-12. When unsold licenses have been picked up in Exchange inventory and returned to the issuing agency at the end of the season or at other agreed times, treat the return as a return of merchandise to a vendor. 29-13. When unsold licenses are accounted for under agency procedures and returned, prepare a memo charge voucher and account for in the same way as customer-owned merchandise out for repair.
Selling Location 29-14. The sale of hunting or fishing licenses is usually done at the Customer Service counter in the main store. However, local management may offer this service in other locations on the installation, such as PXtras and Branch Sporting Goods stores. Serial numbers of licenses must be recorded on all accountable documents, such as CRVs, charge/credit vouchers, and so forth. 29-15. Keep licenses in a fire-resistant box in the facility safe.
EOP 40-11 29-2
Chapter 30
Western Union Money Transfer Purpose and Applicability 30-1. Chapter 30 provides information on WU money transfer services to our customers throughout the world. It applies to all stores worldwide.
Western Union Money Transfer System 30-2. The WU Money Transfer system is used to send money to locations around the world. Through these systems, funds are usually available for payment within minutes at most locations. The network of Agent locations can access the system by telephone or through WU equipment using WU’s money transfer software. 30-3. Acceptance of funds, other than cash, is at the local installation’s risk. WU is not responsible for counterfeit money accepted by employees at Agent locations. Large bills should be verified with counterfeit marker pens.
Security Information 30-4.
Store associates should know the following regarding security for WU:
a. As a WU Agent, you are responsible for all monies for WU transactions and WU checks. The checks must be kept in a locked and secure area. b. WU will NEVER call you and ask for your account number. c. Associates are NEVER authorized to conduct a transaction over the phone. WU will NEVER call and ask you to conduct a transaction for training, to correct an error or for any other purpose. Do not be fooled by clever scammers! Associates who conduct transactions without collecting the funds from the sender first can be disciplined or separated, and may be held financially liable for funds lost. d. NEVER input or pay out a money transfer, using your PC or by the telephone, at the request of an incoming telephone call. e. NEVER discuss money transfers with anyone other than the sender/receiver or your WU rep. f.
30-5.
If you suspect possible fraud, call 800-634-1311; Select option 2.
Western Union Operator IDs: a. Each associate must have and use their own unique WU ID and password. b. IDs must NOT be shared.
c. Facility Manager or other designated manager must send email to the AML Compliance Officer for WU IDs.
EOP 40-11 30-1
d. After receipt of your new WU ID and password, login to Western Union WUPOS, you will be prompted to change your password. Password must be a minimum of eight characters and contain at least one number. The password is not case sensitive and after three failed attempts, the system will lock you out. You will also be prompted every 90 days to change your password. e. WU can only reset existing passwords. f. Ensure you SIGN OUT of the WUPOS system when you don’t have a Western Union customer in front of you.
Legal Compliance 30-6.
Anti-Money Laundering Compliance Program
a. As an agent of WU, the Exchange is subject to federal statutes and regulations concerning money transfers. These statutes and regulations are intended to prevent and detect the use of Exchange WU services for money laundering in support of terrorism or other criminal enterprises. They require the Exchange to develop and maintain an AML Compliance Program. b. The Exchange AML program is in Exchange Service Regulation (ESR) 01-18, Anti-Money Laundering Compliance Plan. Compliance with this program is mandatory for all facilities with directoperated WU services. Where WU is provided by an in-store bank or credit union, that entity is responsible for AML compliance. c. Questions about the Exchange AML program should be directed to the AML Compliance Officer at 214-312-3507. This includes requests for customer transaction data from any source, including law enforcement. 30-7. Document Retention Requirements. Document retention requirements for WU documents are found in ESR 01-18. 30-8. Other Compliance Requirements. The following compliance requirements are detailed in ESR 01-18. Each associate is responsible for understanding and complying with his/her duties in relation to AML compliance. a. Customer identification requirements. b. Training. c.
Monitoring for suspicious activity.
d. Annual review of program. 30-9. Currency Transaction Reports (CTRs) and Suspicious Activity Reports (SARs). CTRs are filed by WU for the Exchange. SARs are filed by the AML Compliance Officer. Facilities are not authorized to file CTRs or SARs directly with the Internal Revenue Service (IRS) under any circumstance. See ESR 01-18 for facility responsibilities concerning the reporting of suspicious customer activity witnessed or detected at the facility. 30-10. IRS and Title 31 Examinations. The Exchange is subject to exams conducted by IRS on behalf of the Department of Treasury. These exams determine whether we are in compliance with AML legal requirements. a. All inquiries from IRS, whether by phone, fax, mail, email or in person, must be referred to the AML Compliance Officer immediately. You are not authorized to provide documentation to IRS, or agree to an exam date, unless instructed to do so by the AML EOP 40-11 30-2
Compliance Officer. Failure to follow this guidance may result in your facility failing the IRS exam and could result in disciplinary action. b. The Exchange is not subject to exams by state regulators. If you are contacted by a state regulator, contact the AML Compliance Officer immediately.
Training 30-11. BEFORE conducting a WU transaction, you must pass LEX course 321-G, Anti-Money Laundering. If you are in a Southwest boarder state, it is also mandatory that you pass the LEX AML Western Union Southwest Border Anti-Money Laundering Training. Operator ID’s will not be issued unless the training is complete. Click Here for a message for Southwest border states. a. Training is mandatory for GMs, Ops Manager, MSMs, associates who supervise WU services, associates operating WU, personnel with WU IDs, such as Ops squad, and designated HQ personnel in GC, FA, and Audit. b. Materials are also located on the portal. Go to Directorates > Merchandising > MD-O > Retail Programs > Documents > Retail Programs 2014 > Western Union Folder. c. Refer to your WU binder for how-to instructions for the different types of transactions, or click here. d. WU has a dedicated phone number to assist with all questions from the field. Operator ID questions must go through the AML Compliance Officer. WU staff are available 24 hours a day, 7 days a week, 365 days a year: 1-866-345-8899.
Forms 30-12. Forms Usage a. Green “To Send Money” Form (1) Used for Domestic/International send transactions. (2) Exchange rates change daily for International transactions.
b. Yellow “To Receive” Form (1) Used when requesting money. (2) Customer completes the white area; agent completes the gray area.
EOP 40-11 30-3
Procedures To Add/Deactivate a Facility To/From Western Union 30-13. ADDING Western Union a. At least three weeks prior to opening, fill out the WU Add Location Template, except the items in RED. Located on the Store Operations Portal > Retail Programs > Documents > Retail Programs 2014 > Western Union Folder > WU Addition and Removal Forms folder. b. Send filled out form to store execution at
[email protected]. c. Once received by WU, they will email all POCs listed on the form and the Information Technology Directorate (IT) with the Agent ID, Term ID (Internet Protocol [IP] Address), and status of the shipping equipment and supplies for that facility. d. Process may take up to two weeks for locations outside CONUS. e. Once ID is given, facilities must complete training: Lex 321G, Anti Money Laundering. f.
Facility must request operator IDs by contacting the AML compliance officer.
g. Once training is complete, you can begin operating as a Western Union Agent. 30-14. DEACTIVATING Western Union a. Three weeks prior to closure date, complete the WU Location Deactivation Template, except for the Check information. b. Send filled out form to store execution at
[email protected]. c.
Store execution forwards to WU, who will request a box to be shipped to the facility.
d. Store sends printer and cables back to WU. e. Use the enclosed Return shipping labels to send back to WU. f.
Form closure date is the last day of business.
g. WU will submit the service to be turned off the next morning. h. Once facility is closed, the facility must resubmit the form with the check numbers that must be deleted. (1) Provide all digits from the checks. (2) If they are a series (blocks of 400), you can put the first and last check numbers. i.
Once resubmitted, the facility can shred the remaining checks.
EOP 40-11 30-4
Ordering Supplies 30-15. The agent can order money transfer supplies online by using the following steps: a. Click on Agent Portal from the WUPOS main menu. b. Click on Supplies; You will be directed to the My Tools Tab c.
Click on Order supplies
d. Select Account and Shipping Priority e. Enter quantity for applicable items f.
Click Submit order
g. From the Order Supplies Summary screen, Confirm order
Note: Checks are ordered through the WU call center
Agency Referral System 30-16. WU agents can search for other WU locations throughout the U.S. and internationally through the Agency Referral System. a. Login to WUPOS system b. Click “Other Services” c.
Select F4 Agent Search (or press F4 button on keyboard)
d. Enter search criteria in fields; to search by address or agent
(1) Select Country (2) Enter Agent Name (optional) (3) Enter Zip/Postal Code or City and State Province to search (4) Select Western Union Services (optional) e. Click “Go” button to proceed f.
System will display search results and show corresponding locations on the map (1) Click the Hours & Info button to display hours of operation and services offered in the
location (2) Click the Directions button to display directions to the selected Agent location (3) Click the Share link to email location address and link to the map
EOP 40-11 30-5
Daily Deposits 30-17. A WU agent must do daily deposits for the money transfer funds collected, as stated in their contract with WU. The agent must follow these practices for deposits: a. Deposit funds collected into the designated account no later than 10:00 a.m. the following business day. Example: Sales on Tuesday should be deposited Wednesday, by 10:00 a.m. local time. b. Friday’s business will be withdrawn on the same date as Saturday’s business. c.
Sunday’s business will be withdrawn on the same date as Monday’s business.
d. The amounts of the deposit(s) must equal the amount of the total day’s send transactions. e. Separate deposit slips must be completed for each day’s transactions. f. If there is not a separate bank account for WU transactions, the agent can use a separate deposit ticket for the WU money transfer product. g. Or, the agent can separate the two as line items on the deposit ticket.
Example: WU Business
$2,150.95 $5,233.20
Total Deposit
$7,384.15
h.. It is a good idea to attach a copy of the deposit slip(s) and bank receipt to the applicable daily record. i.
The cut-off time for each business day is midnight Eastern Time.
EOP 40-11 30-6
Chapter 31
Food Stamp Program Purpose and Applicability 31-1. Chapter 31 gives the procedures for accepting and handling United States Department of Agriculture (USDA) food stamps by Exchange facilities. It applies to Exchange facilities in CONUS, Alaska, Hawaii, and U.S. possessions.
Policy 31-2. All Exchange facilities that qualify must participate in this program. Authorization to participate must be obtained from the Food and Nutrition Service (FNS), a branch of the USDA. Only the FNS can judge a facility’s qualifications and issue authorization to participate. If FNS denies authorization, the facility won’t participate in the program. 31-3.
To qualify for FNS authorization, a facility must:
a. Have a recognizable grocery department where staple items (not snack or convenience items) make up more than 50% of food sales. b. Allow customers to shop after regular commissary hours or on a commissary non-operating day. 31-4. The GM at each installation requests authorization from the FNS for each Exchange facility that appears to meet the qualifications in paragraph 31-3. Don’t request authorization for any facility already holding a FNS-254, Food Stamp Authorization Card (see Figure 31-1). This card is valid only for the facility it’s issued to; it can’t be transferred and must be displayed in a conspicuous place.
Food Stamp Authorization Card
Figure 31-1
EOP 40-11 31-1
Approval Procedures 31-5.
To get approval for a facility to take part in the program, a GM must: a. Decide the facility meets the qualifications in paragraph 31-3.
b. If the facility meets the qualifications, the facility manager should contact the nearest FNS field office and fill out FNS-252, Application Form, found at: http://www.fns.usda.gov/fsp/retailers/ retailer_app/default.htm. c.
Be prepared to give detailed information about the facility, including: (1) The name, location, and operating hours of the exchange asking to participate in the
program. (2) A statement on the facility’s annual gross sales and food department sales. The sale of staple food items must account for more than 50% of total eligible food sales. 31-6. Since the FNS doesn’t issue blanket approval for Exchange facilities to take part in the program and doesn’t allow the transfer of any authorization between facilities, each GM must ensure a facility receives FNS approval, FNS Card 254, before taking part in the program.
What is Electronic Benefit Transfer? 31-7. Electronic Benefit Transfer (EBT) is an electronic system that allows a recipient to authorize transfer of their government benefits from a federal account to a retailer account to pay for products received. EBT is currently being used in many states to issue food stamp and other benefits. Over 99.8% of food stamp benefits are currently being issued by EBT.
How Do Electronic Benefit Transfers Work? 31-8. In EBT systems, food stamp recipients apply for their benefits in the usual way, by filling out a form at their local food stamp office. Once eligibility and level of benefits have been determined, an account is established in the participant's name, and food stamp benefits are deposited electronically in the account each month. A plastic card, similar to a bank card, is issued and a personal identification number (PIN) is assigned or chosen by the recipient to give access to the account. Recipients are offered the opportunity to change the PIN number at any time and are offered ongoing training if they have any problems accessing the system. 31-9. All but two states have systems that use magnetic stripe cards and "on-line" authorization of transactions. When paying for groceries, the food stamp customer's card is run through an electronic reader or a POS and the recipient enters the secret PIN number to access the food stamp account. Electronically, the processor verifies the PIN and the account balance and sends an authorization or denial back to the retailer. The recipient's account is then debited for the amount of the purchase and the retailer's account is credited. No money and no food stamps change hands. Payment is made to the retailer through a settlement process at the end of the business day. 31-10. States may also use "smart card" microprocessor chip cards in systems that are "off-line." In these systems, the transaction is authorized between the chip in the card and the POS device. The PIN is verified by the chip and the chip is debited for the purchase amount. There is no online communication with a host computer during the transaction. At the end of the business day, the POS electronically contacts the host to perform settlement and update the database information.
EOP 40-11 31-2
Is This New Technology? 31-11. EBT systems using magnetic stripe technology for online authorizations use the same EFT technology that many grocery stores use for their "debit card" payment systems. EBT is a special application of EFT technology, which takes money directly from one account and transfers it to another. (Credit cards, by comparison, simply record a sale for payment later.) EFT became familiar to most people in the early 1980s when banks began using automatic teller machines. Since then, EFT has found increasing use in the private sector. 31-12. Smart card technology for off-line authorizations is used for many applications in Europe (EUR), but is not common in the United States. Legislative changes to the Food Stamp Act in August 1996 allow states to choose any technology for their EBT systems as long as the system remains cost neutral and meets other standards.
What Are the Benefits of EBT? 31-13. EBT eliminates the cumbersome processes required by the paper food stamp system. In Fiscal Year 1997, the Food Stamp Program issued almost $20 billion worth of benefits. In a single month, retailers made 1.7 million deposits of food stamp coupons in more than 26,000 banks. Banks, in turn, made almost 27,000 deposits in Federal Reserve District Banks. Coupons are counted at each step, making the accounting enormously complex and labor intensive. EBT eliminates much of the paper handling involved in the food stamp system and automates the accounting process. 31-14. By eliminating paper coupons that may be lost, sold or stolen, EBT may help cut back on food stamp fraud. EBT creates an electronic record of each food stamp transaction, making it easier to identify and document instances where food stamps are "trafficked" or exchanged for cash, drugs or other illegal goods. 31-15. Recipients have reported they like the convenience and security of EBT. They no longer have to go to the food stamp issuance office to pick up their food stamps. They can draw their benefits as needed, instead of receiving a month's allotment at one time. If the card is lost or stolen, it can't be used by anyone who doesn't know the PIN and can be easily canceled and replaced. Surveys have shown that most participants prefer an EBT system to the paper coupon system it replaced. Many recipients have said EBT reduces the stigma associated with food stamp coupon use. 31-16. Retailers and bankers like EBT because it offers simplicity of accounting and reduces labor costs since there are no coupons to sort, count, and bundle. All the accounting is done automatically. The Federal government saves time and money by moving to EBT. The process of printing, transporting, safeguarding, distributing, accounting, and destroying the food stamp coupons is eliminated. 31-17. For more program information, go to http://www.fns.usda.gov/fsp/retailers/default.htm.
EOP 40-11 31-3
Chapter 32
You Made the Grade and Other Reward Programs Purpose and Applicability 32-1. The Exchange "You Made the Grade" coupon books are for students in grades 1 through 12 with a B or higher average. The program is designed to reward academic excellence among authorized family members. The coupons are not for use in school-wide presentations. Extra coupon booklets are available through the DDDC; CRC 3795994.
Execution 32-2. Keep booklets at a central location for distribution; coupon booklets should be handed out in accordance to the target market of the booklet. Students must present a valid ID card and proof of an overall B average or better in order to participate. Participating students must be attending a public or private school, to include Department of Defense Dependent Schools (DoDDS). If a child is homeschooled, the student should provide written affirmation of their scholastic aptitude from a parent or other community-authorized education provider.
You Made the Grade
Figure 32-1
EOP 40-11 32-1
You Made the Grade Coupons and Special Offers
Figure 32-2
Other Reward Programs 32-3. The Welcome Home, Congratulations and other Coupon Book programs have been replaced by a new editable coupon sheet. This coupon sheet can be printed by the GM for use in various events. Management discretion is used in dissemination of this program.
EOP 40-11 32-2
Chapter 33
Expense Supplies Purpose and Applicability 33-1.
Chapter 33 outlines expense supplies used in retail facilities.
33-2.
All retail Exchange facilities will control expense supplies consistent with this policy.
Policy 33-3. Management must utilize authorized expense supplies sourced by HQ whenever possible. Management must maintain adequate on-hand supply of all expense items. There is no autoreplenishment for expense items. The sources are listed in order of source preference: a. DDDC expense warehouse. b. ESABs/iProcure. c.
Retail inventory (transfer from retail account to expense account).
d. Office supplies not available via the HQ contract. e. Self-service supply centers (SSSCs) and/or General Services Administration (GSA) on most bases/posts. f. 33-4.
Local sources.
Retail items taken from shelf stock for expense use can include, but are not limited to: a. Housekeeping supplies (waxes, cleaners, soaps, and so on). b. Tools and hardware (hammers, pliers, nails, screws, and so on). c.
Paper products (toilet tissue, towels, and so on).
d. Office supplies (tablets, pens/pencils, tape, staples, and so on). Note: Management must ensure proper controls over the authorization, selection, and transfer of retail merchandise to expenses are established (click here for information on ASAP Transfers). 33-5. Non-repetitive purchases of expense supplies from commercial sources and purchases using the Exchange Procurement Card are authorized. Dollar restrictions will conform to those of the Exchange Procurement credit card. 33-6. Bring needed expense supplies that can’t be obtained from the sources listed in paragraph 33-3, or purchased locally, to the attention of the Region Retail Program Specialist. The CONUS/OCONUS Region Retail Program Specialist is also responsible for making recommendations, with proper justification, to HQ-MD-O for additions to the expense stock assortment.
EOP 40-11 33-1
Responsibilities 33-7. a. Monitor the control of expense supplies, as detailed in this chapter. b. Ensure all Exchange associates comply with the procedures for supply of requirements from sources, as noted in paragraph 33-3, for support of small/isolated activities. c. Set up procedures to control the handling of one-time requirements, such as unforeseen delivery delays, extended shortages of cost/expense warehouse stocks, emergency requirements to meet operational needs, and sanitary or appearance standards.
EOP 40-11 33-2
Chapter 34
Store Visitation Authorization for Vendors Purpose and Applicability 34-1. Chapter 34 establishes procedures for local authorization of store visits by vendors, vendor employees, and vendor representatives (after this, called "vendor"). It primarily applies to vendor visitations of CONUS activities, but also covers requests from U.S. vendors wanting to visit our overseas stores.
General 34-2. Vendors having a contract with the Exchange to provide in-store merchandising services or instore rebate compliance review are authorized entry to our stores. We encourage vendor participation in providing in-store services because, with their help, the Exchange can increase sales. Vendor services include, but are not limited to the following: a. Early morning stocking. b. Building promotional displays. c.
Stock counts and recommended order preparation.
d. Associate training. e. Product demonstrations. 34-3. Vendors not having a contract that calls for in-store services or requires rebate compliance review will be allowed access to our stores on an exception basis only (see paragraph 34-7). 34-4. Vendors in the U.S. requesting overseas store visitation will work directly with the respective OCONUS GMs for access authorization and will provide the following information: a. Name of individual(s) visiting. b. Company or firm they represent. c.
Purpose of the visit.
d. Location(s) to be visited. e. Duration of the visit. Based on concurrence, the GM will locally prepare a Letter of Authorization granting limited authorization, as necessary.
EOP 40-11 34-1
Procedures 34-5. Contracts that call for in-store service or provide for rebate compliance verification stipulate the extent of the service or required verification. 34-6.
Upon request from the stores, category team members can provide pertinent vendor information.
34-7. Vendors not authorized access to Exchange stores on a regular basis, as written in their contracts, are allowed to access our stores on an exception basis only. In these situations, provide vendors with a courteous explanation of the Exchange policy regarding store visits. Authorization must be in writing, as locally determined by the GM. If the request is denied, reasons must also be furnished the vendor in writing.
Responsibilities 34-8.
Local Exchange management must: a. Give the vendor a courteous explanation of the Exchange policy on store visits. b. When a vendor calls for an appointment, make the appointment at a mutually agreeable time.
c. If vendors don’t have a company name tag, give them a temporary vendor/visitor name tag. Make sure they follow established sign-in, control, and sign-out procedures. d. When speaking with vendors, emphasize the importance of not offering our associates sample merchandise. Such conduct is inappropriate and may result in termination of the vendor/ Exchange relationship. e. Ensure vendors understand Exchange policy concerning the removal of promotional or giveaway merchandise from the facility.
EOP 40-11 34-2
Chapter 35
Identifying and Controlling Merchandise Sold Purpose and Applicability 35-1.
Chapter 35 explains how to control and identify items sold in retail facilities.
35-2.
This chapter applies worldwide.
Policy 35-3.
Control and identify merchandise sold to customers and associates.
Procedures – Customer Purchases 35-4. Don’t let customers, particularly relatives or friends of associates, in retail facilities before opening or after the close of business. Cashiers/Checkers should not check out purchases of their relatives in any branch that’s staffed by two or more associates. 35-5.
Dressing room policy and procedures are addressed in Chapter 16.
35-6.
Channel customer traffic through the authorized entrances and exits of the store.
a. The entrance to the stockroom and other non-sales areas must have “EMPLOYEES ONLY” signs posted. b. Chain or block unattended central checkout lanes. If a customer tries to exit through an unattended central checkout lane and is carrying un-bagged merchandise, he/she should be stopped tactfully and the purchase verified. 35-7. Process merchandise in open cartons and luggage that’s not in sealed cartons through central checkout counters. The cashier/checker must inspect the item to make sure it’s complete, undamaged, and that smaller items aren’t hidden inside. 35-8. Management should keep the lines at the checkout counters short and moving rapidly. To keep checkout lines to a minimum, follow these procedures: a. When there are no customers in line, cashiers/checkers should move to the main traffic aisle in front of their register and make a brief public address telling customers their lane is available for immediate checkout (e.g., “Register #4 is now open with no waiting”), and then move to the front of the checkout stand to greet customers and invite them to pay for their purchases at the vacant register. This results in improved customer service and an improved image. It will also help reduce the PA message traffic often used to advise customers that checkout lanes are open. Central checkout supervisors and store management are responsible to routinely predict and check staffing levels at central checkout during the course of every business day, to be certain enough registers are always open and properly staffed.
EOP 40-11 35-1
b. When unexpected business exceeds the anticipated staffing requirements for any given day, immediate action should be taken to properly staff the registers. When a checkout exceeds three customers in line, an additional checkout register will be opened to ensure quick and efficient customer service. If necessary, associates from other departments will be called to assist in the back-up and help customers through the lines. Anything that slows the lines should be the first focus of the central checkout supervisor. When necessary, waiting customers should be directed by the supervisor to registers with no lines or lines with less customers waiting. All supervisory and store management should be monitoring the lines at central checkout throughout the day, but should make a point to be on the sales floor during the peak hours of lunch and rush hour for personal oversight. c. The store manager may assign a person to monitor the front checkouts to ensure enough cashiers are available to keep the number of customers in line at three or less. Identify additional cashiers and have change funds in place. All store supervisory personnel must be alert and support this requirement. d. Stores must post a sign behind the central checkout showing the three-in-line policy (see Figure 35-1). These are the specifics: (1) Size: 11" x 14". (2) Color: Blue print on white background. (3) Placement: As a guide, post one sign for every six checkouts. The sign(s) should be behind the central checkouts in full view of the customers. e. Posting this sign is mandatory for all facilities that have more than one register. f. Make all customer contact personnel aware of this policy. Adherence to this policy is a matter of review during store visits of all management personnel. g. Where POS systems are implemented, specific data is readily available to show the peak times for customer transactions. Management should use information from the coverage monitor in Kronos for scheduling and planning purposes, and open more checkouts in anticipation of increased customer traffic.
EOP 40-11 35-2
Store Three-in-Line Policy Sign
Figure 35-1 35-9. Merchandise sold at central checkout registers should be bagged, but it’s not necessary to staple the bag closed. For this policy, central checkout registers are those registers at store exits where customers are directed away from the sales areas. Cash register receipts should be placed in the bag with the merchandise. Don’t use security tape at central checkouts. a. Do not remove manufacturer’s hanger(s) from clothing at the checkout register. Give it to the customer unless he/she tells you he/she doesn’t want it. Always give the hanger(s) (Exchange or vendor) to the customer when the item (such as a suit) should remain on the hanger. For all clothing supplied on a hanger, use garment bags. Use common sense when carrying out this policy; for example, we don’t want to use the poly garment bag for infant’s clothing or a boy’s shirt due to the large size of the bag. Instead, fold the item on the hanger and place in a bag. EOP 40-11 35-3
b. Do not put clothing in bags with hardline merchandise, such as cleaning supplies, shoe polish, food items, etc. 35-10. When completing sales at internal departmental cash registers (other than central checkout registers), use the following procedures: a. Put all merchandise sold (except processed film) in the correct size bag. b. Staple bag closed with the cash register receipt clearly visible. c. Don’t bag processed film unless it’s part of a multiple purchase. Instead, be sure the envelope containing the processed film is closed securely and the cash register receipt is stapled to it. d. When items are too large to bag, attach the cash register receipt to the item with security tape (a pressure-sensitive, tamperproof, breakaway label available through expense supply channels). The sales associate must date, initial, and put the price of the item on the security tape with a ball point (not felt tip) pen. Exchange management must control the use of security tape, as in EOP 16-01, to keep unauthorized people from accessing it.
Discipline of Shelf Labels 35-11. Shelf labeling is an important part of a store’s integrity and customer acceptance. a. It is management’s responsibility to ensure whenever markdowns or markups occur and labels are printed, this is the first priority of the day. Once price changes are downloaded, the POS terminal will automatically register the new, correct price of the item. If changes are not accomplished before the store opens, a price difference will be noticed. This procedure should be done in every facility on the installation. b. If the customer wants an item, it is the store’s responsibility to charge the correct price. If an incorrect price is found when ringing up the customer’s order, the associate should professionally and politely explain that the shelf label is not reflecting the correct price and the correct price will be charged. In these cases it’s important to protect Exchange assets, while at the same time using common sense and the DTRT program approach when dealing with customers, as addressed in Chapter 1.
Policy and Procedures – Associate Purchases 35-12. According to AR 215-8/AFI 34-211(I), and except as qualified by SOFAs and local customs requirements in overseas areas, all Exchange associates who don’t have dual patronage privileges (such as off-duty military people and military dependents) have only limited buying privileges. In CONUS, associates with limited privileges may buy all merchandise and services for themselves and their dependents (or as bona fide gifts), except for: a. Articles of military clothing. b. State tax-free tobacco products. c.
State tax-free alcoholic beverages.
EOP 40-11 35-4
35-13. Procedures apply to all on-duty associates regardless of their civilian, military or dependent status or dual-patronage privileges. Store managers must make sure all associates are aware of the procedures covering purchases in their orientation sessions and, periodically, at store training meetings. To remind associates of these procedures, each store manager must post a copy of the “Associate Purchases” statement on the facility bulletin board in the associate’s break room. Figure 35-2 may be reproduced at the local store level.
Sample Associate Purchase Policy 1.
The following procedures apply to all officially on-duty associates of this facility regardless of any dual patronage status: a. Associates will never make sales to themselves. Associate purchases will be made only at the time(s) and register(s) designated by the store manager. b. A responsible associate(s) will be assigned by the store manager to ring up associate purchases. The purchase will be bagged and the cash register receipt – initialed by the associate making the sale – will be attached. c.
Purchases bagged, with receipt attached, will be taken to a holding area specified by the store manager until the associate who made the purchase exits the building. Associate may request an eReceipt, but must also have a printed receipt attached to the purchase.
d. Associates (on or off duty) may not purchase any manually (store directed) clearanced merchandise until it's been on the sales floor for at least one full business day, plus an additional day following each successive markdown. Associates may not hold merchandise for themselves or for other associates for future purchase. e. HQ directed markdowns, including was/now clearance and price cut merchandise, may be purchased after being on the sales floor for one full business day. f.
The manager or designated representative will inspect associate packages on a random basis at least once a week. The inspection will be as the associate leaves the store or while the package is in the holding area.
g. Associate refunds with a sales receipt will not require management approval. Refunds in excess of $25 without a receipt will need prior approval of the store manager or designee. 2.
Unless on official duty, associates shopping in a store (including the one they are employed in) cannot go into areas other than those normally open to customers.
Figure 35-2 35-14. Unless on official Exchange business, an associate who enters a facility (including the one he/she works in) must not have access to areas other than those usually open to customers.
EOP 40-11 35-5
35-15. Exchange associates (on/off duty), including those who are also military dependents and regardless of position/assignment location, are prohibited from buying merchandise "marked down" for manual clearance until it’s been on the sales floor at least one full business day (24 hours) following the manual markdown. Manual markdown is any markdown that is not HQ directed. The same limitation of at least one full business day (24 hours) applies to successive manual markdowns before an associate can purchase merchandise "marked down" for clearance. For example, if a clearance manual markdown is taken on Wednesday (the initial manual markdown or successive manual markdown), Exchange associates cannot purchase the merchandise until Friday. Exchange management must ensure all associates and managers know about this policy. All Exchange associates and managers are responsible for following this policy. Exchange associates will not identify or hold any merchandise for themselves or any customer for future purchase without following layaway procedures. 35-16. Internet Shopping. Associates (on- and off-duty), including those who are also military dependents and regardless of position/assignment location, are prohibited from buying closeout merchandise on the Internet at shopmyexchange.com. As stated above, you cannot purchase closeout merchandise until it’s been online for at least one full business day at the closeout price. The same limitation of at least one full business day applies to successive closeout prices. This applies to active associates and their immediate family members, but does not apply if the spouse of an associate is active duty, reserve or a military retiree. 35-17. Purchases made by associates at the facility where they work must follow these rules: a. An associate must never make a sale to himself/herself. Associate purchases will be made only at the time(s) and register(s) designated by the store manager. Associates shopping while off-duty will be treated as any other customer and shouldn’t wear associate uniforms, name tags or other identification. b. The store manager assigns responsible associate(s) to ring up associate purchases. The purchases must be bagged or packaged and the cash register receipt (initialed by the associate making the sale) attached. Associates making a final layaway payment must follow the same procedures, with the completed layaway ticket attached to the package. c. Take purchases, bagged and with a receipt attached, to a holding area specified by the store manager until the associate leaves the building. At the discretion of the store manager, items for immediate use (food, panty hose, sanitary products, etc.) may be given to the associate at time of purchase. Record, file, and store new layaways in the same manner/location as other customer layaways. d. Just before leaving the building, purchases should be claimed from designated holding area. e. The manager or representative must inspect associate packages weekly on a random basis. Do this as the associate leaves the store or is in the package holding area.
Associate Refunds 35-18. Document all associate refunds on the cash register. At POS locations, an Automated Refund Fraud Indicator System (ARFIS) report is pulled. This report shows employee refunds and it is used for review by HQ-LP. Handle vouchers in the following way: a. An associate must never make a refund to himself/herself. Refunds may be made at the register(s) designated for associate purchases or the refund/adjustment counter, at the manager’s discretion. b. A sales receipt should accompany all associate refunds, but this isn’t mandatory. Refunds with a sales receipt don’t require management approval. Refunds over $25 without a sales receipt require prior approval of the store manager or his/her designee. EOP 40-11 35-6
35-19. The CONUS SVP/OCONUS CDR may set up more associate purchase controls, as needed, to comply with or monitor local conditions.
Vendor Participation 35-20. Contractors and their representatives are authorized to perform in-store services only as specified in their Exchange contracts. Never let contractors complete a sales transaction (ring up sales) or stock merchandise in any area reserved for competitive use (unless authorized by the facility manager). When scheduling permits, manufacturer’s representatives should be allowed in facilities before they open, especially when they’re conducting training or stocking shelves. 35-21. The use of Exchange premises, facilities or personnel by firms or their representatives for any corporate promotion or solicitation is prohibited. This restriction specifically prohibits distributing free samples, gifts, bonuses, and premiums to Exchange personnel. This does not preclude: a. Store manager control of distribution to authorized customers of vendor premiums, samples or literature of minimal intrinsic value (less than $5) to promote products stocked (must be voluntarily offered by suppliers). b. In-store vendor demonstrations on the use/application of products stocked. c.
Promotional displays of products being featured in Exchange programs.
d. Discriminating use of vendor-provided, POP promotional/informational materials as authorized by the Director/CEO. e. Free clinics for inspection and servicing of a vendor’s products. f.
Vendor merchandising assistance and training of Exchange sales personnel.
35-22. No Exchange associate must take part in or support contractor-conducted surveys. 35-23. Contractor aid in no way relieves Exchange management from the responsibility of stock rotation, inventory management, merchandise presentation, and sales associate training in product knowledge. 35-24. Contractor associates (such as route personnel and truck drivers) who frequently deliver Exchange contracted merchandise or who restock/replenish fixtures with such commodities as bread, beverages, magazines, etc., require no contractor representative identification for admittance to Exchange facilities. Post/base admittance must be according to local command requirements. 35-25. Don’t allow contractors or their representatives who aren’t authorized customers to buy any merchandise from an Exchange retail facility. 35-26. Don’t allow contractors who have patronage privileges (for example: active military, retired military, dependent) to buy or make returns during those hours when they’re actively servicing an Exchange store. When not actively serving an Exchange store, those contractors who don’t perform customer contact functions during their usual duties will be considered customers, subject to the same shopping privileges and restraints given other regular customers. Contractors performing customer contact functions (for example: cosmetic vendor representatives) are subject to the same internal security controls and purchasing procedures that apply to Exchange associates (see paragraphs 35-12 through 35-17).
EOP 40-11 35-7
35-27. Retail branch managers must: a. Keep a contractor sign-in register and issue a vendor badge (usually produced locally; must be worn while on the sales floor). Customer contact vendors who perform customer selling functions may use their own company’s distinctive vendor badges/name tags. b. Decide how much surveillance each vendor representative needs while in the store and arrange for that surveillance, accordingly. c.
Ensure contractor representatives neither sell nor accept any form of payment from Exchange
patrons. d. Notify the GM if a contractor doesn’t comply with contract requirements or Exchange controls. For more details on activity control of vendors, see EOP 16-01.
Empty Merchandise Boxes 35-28. When merchandise is taken from a box for display, keep the box if it will enhance the future sale of the displayed merchandise (for example: computers, camcorders, and other high-end merchandise). Store these display boxes in the stockroom in an accessible area, separate from regular merchandise. Put a sign in the area that reads, "Display Boxes." All sales associates should know about this designated area in case customers ask for boxes. Review the box storage area occasionally. Throw away boxes when the merchandise is no longer on the sales floor.
Use of Fragrance Testers 35-29. Any fragrance bottle made available to customers as a “tester” must be clearly marked with a label identifying it as such. When a regular stocked item is used as a tester, apply a tester label (V807031, CRC 731-7746; available from the Atlanta Forms Warehouse, #1059934) and do the following: a. Receive fragrances acquired from an open-order contract at no charge or charged back to the vendor. b. If vendor tester is not provided and one is needed, charge fragrances received as a one-time buy and used as a tester to store Miscellaneous Expense Account 355-01. c.
Safeguard tester labels at all times.
35-30. Don’t sell or give unused testers to customers or associates. Instead, write them off (no charge) or give them to the Chaplain’s Fund; or, if it’s in the best interest of the Exchange, return it to the vendor. If you return testers to the vendor or his/her in-store representative, have the vendor/representative fill out and sign a memo showing the testers were transferred from the Exchange back to the vendor. Don’t let the vendor/representative leave the facility with testers unless he/she has documents proving the testers have become the property of the vendor and aren’t being removed illegally.
EOP 40-11 35-8
Chapter 36
Disposition of Money or Lost, Abandoned or Unclaimed Personal Property Found on Exchange Premises Purpose and Applicability 36-1. Chapter 36 establishes worldwide procedures for disposing of money and lost, abandoned, or unclaimed personal property found on Exchange premises. It doesn’t apply in cases where the customer may have transferred ownership to the Exchange of uncalled for items, by virtue of signing a transfer statement contained on a claim ticket or service order. Nor does the chapter apply to military uniform articles which must be disposed of according to installation directives.
Policy 36-2. Consider money and personal property found on Exchange premises as lost or abandoned. The facility manager must safeguard these items until they have been returned to the owner or disposed of, as stated in this chapter. 36-3. The disposition of unclaimed money or personal property in the hands of a concessionaire is under the terms of the concessionaire’s contract.
Money 36-4. Money found by an Exchange associate or a customer and reported to an Exchange associate must be turned over to the facility manager. 36-5. The facility manager must fill out, as needed, Sections I, II, and III of Form 6100-001, Record of Money or Property Found (see Figure 36-1), which is available for local reproduction at the Exchange Forms website, http://timon.aafes.com/Forms. Give the money and the original record to the cashier and file the duplicate record. 36-6. The cashier issues Form 7200-007 to the person from whom the money was received. Credit Miscellaneous Income, Other Category in Account 290-01 within CONUS, as appropriate. Account 99501 has been deleted. Overseas and offshore exchanges should credit the proper miscellaneous income account. 36-7. The GM publishes a notice in the installation’s newspaper stating a sum of money was found, giving general information. The amount of money and denomination of the bills, as well as the location where the money was found, should not be divulged. The notice must state the owner may claim the money by making a written request to the GM, citing details of the loss and adequately describing the money being claimed. a. The branch manager and the GM review the request to see if there's sufficient evidence to conclude the claimant is the owner. b. If the claimant is the owner, issue a working-fund check or petty-cash voucher charged against the proper miscellaneous expense account. Complete Section III of Form 6100-001 and keep it on file for one year.
EOP 40-11 36-1
36-8. If the money is not claimed after 120 days, the GM must notify the finder, in writing, that he/she may apply for it within 30 days. If the finder applies for the money within the 30-day period, issue a PettyCash Voucher or Working Fund Check (charged against the proper miscellaneous account) and complete Section III of Form 6100-001. If the finder can’t be found or doesn’t request the money, the money becomes the property of the Exchange.
Lost, Abandoned or Unclaimed Personal Property 36-9. Lost, abandoned or unclaimed personal property is any privately owned, personal property that has come into the possession, custody or control of an Exchange employee. Property is considered abandoned after efforts have been made to find the owner. 36-10. Turn in personal property found on Exchange premises by an Exchange associate or a customer, and reported to an Exchange associate, to the branch manager. 36-11. The branch manager must try, using PA system announcement, if possible, to find the owner before he/she leaves the facility. If the owner is found immediately and establishes proof of ownership, return the property. 36-12. If the owner of found property can't be located, the branch manager fills out (in duplicate) Sections I, II, and IV (as needed) of Form 6100-001. File the original; attach the duplicate to the property. Depending on the nature of the property and its apparent value, the branch manager must immediately place the found property in a secure storage area, vault or safe where it is kept for 120 days (unless claimed sooner). Exceptions are: a. Send identity papers, ration cards, and similar documents needing re-issue, if not recovered by the owner, to the security/military police within 24 hours with the duplicate Form 6100-001. Keep the original. b. Keep perishable items not stocked by the Exchange in a secure area for a maximum of 30 days, unless claimed or the condition of the item(s) (i.e., rot, mold, odor, etc.) requires earlier destruction. Complete Section IV of Form 6100-001, as needed. c. Keep perishable items stocked by the Exchange in a secure area for no more than 24 hours, unless claimed or the condition requires earlier destruction. If in salable condition after 24 hours, return items to stock. Complete Section IV of Form 6100-001, as appropriate. 36-13. When a claim is made for personal property, the branch manager decides if the claimant is the owner. If sufficient evidence is presented and the claimant’s identity can be verified (ID Card, driver’s license, etc.), give the property to the claimant. Have the claimant sign the original Form 6100-001 (see the last line of Section IV) and file it for one year. 36-14. Process unclaimed personal property within the periods previously stated in the following way: a. Return salable items stocked by the Exchange to stock. Fill out Section IV of Form 6100-001 and file. b. Turn in un-salable items stocked by the Exchange and usable items not stocked by the Exchange to the Defense Resale Management Office (DRMO) or other receiving authority appointed by the installation commander. Fill out Section IV of Form 6100-001 and file. Under the authority of DoD Regulation 4160.21-M, local Exchange management should work with the local installation commander to ensure any money realized from the sale of lost or abandoned personal property, found on Exchange premises, is turned over to local Exchange management. Local Exchange management will then turn money over to the finder. EOP 40-11 36-2
c. Destroy unclaimed perishable items (or return them to stock) within the prescribed periods. Have an associate witness the destruction. Complete Section IV of Form 6100-001 and file. 36-15. Dispose of military uniform articles (including insignia) according to installation directives. 36-16. Follow these procedures to dispose of lost, abandoned or unclaimed perishable items or salable items stocked by the Exchange unless local installation directives state otherwise. 36-17. Exchange Gift Cards. If a customer expressly abandons a Gift Card (that is, the customer deliberately leaves the Gift Card in our facility), give the abandoned card to the store manager who, in turn, will destroy the card. The funds on the Gift Card will eventually come back to the Exchange as breakage. However, if a customer or an Exchange associate finds a lost Gift Card in an Exchange facility, then follow the guidelines in this chapter. In this instance, the Gift Card will be treated as Unclaimed Personal Property Found on Exchange Premises. 36-18. Records for found money or property are to be maintained for one year.
Record of Money or Property Found, Form 6100-001
Figure 36-1 EOP 40-11 36-3
Chapter 37
Morale, Welfare, and Recreation Commercial Sponsorship and Donations to Top Charity and Fund-Raising The Exchange and Morale, Welfare, and Recreation 37-1. Chapter 37 clarifies what you can do on commercial sponsorship. The following re-emphasizes the Exchange role in the MWR Program. AR 215-1, Morale, Welfare, and Recreation Activities and Non-appropriated Fund Instrumentalities, dated 6 October 2008, paragraph 11-8(h) states: “MWR management will coordinate with Exchange management prior to entering into an agreement if commercial sponsorship proposals and agreements promise Exchange displays or signage and to ensure there is no impact to Exchange existing policies and practices.” 37-2. Exchange activities worldwide are encouraged to participate in special events, which are held on military installations and sponsored by commercial companies. Examples of such events are 10K runs, bike races, festivals, and celebrity appearances. These negotiated events must be military communitywide and of a short duration. A community-wide event is a public event, which, at a minimum, is open to all active-duty members and preferably should have some level of supplier support with in-store promotional tie-in possibilities. Exchange support typically includes articles in base/post newspapers, PA spot announcements, in-store signing, and promotional inserts. If there is no promotional tie-in, participation is authorized as goodwill. The Exchange is not authorized to contribute to fund-raising events for national or local charities, foundations or similar type organizations. Commercial sponsorships that include the sales or “give away” of products/services, which compete with those offered under existing Exchange contracts, cannot be approved. In addition, customer solicitation through signups, distribution of customer contact cards or referrals to a sponsor’s place of business (websites) are not allowed. 37-3.
Use the following guidelines when considering participation in an event: a. The Exchange may participate, but will not solicit for or sponsor the event.
b. The Exchange may promote a sponsor’s products or service only to the extent they are currently in the local Exchange stock assortment. The Exchange will not endorse any commercial supplier and appropriate disclaimers to the effort will be included in all materials. c. The Exchange may participate in an event sponsored by a tobacco or alcoholic beverage supplier if the event is not directed predominately or exclusively to the military market. While minor giveaways are authorized, the DoD prohibits tobacco and alcohol products as giveaways. d. The event will be of a short-term nature and the Exchange must have adequate planning time to prepare properly for the promotion of any product or service. The terms and conditions of the sponsored event must be detailed in a letter between the sponsor and the Exchange. e. Exchange GMs may authorize expenditures for prizes up to $250 per event, with a maximum expenditure of $3,000 per year. The Region SVP/OCONUS CDR may authorize up to an additional $250 per event. Total Exchange expenditures (not counting advertising in flyer production or PA announcements) will not exceed $6,000 per year or .015% of total retail sales (whichever is lower) for any one event.
EOP 40-11 37-1
f. Exchange earnings generated by participation in special events will be reflected through normal dividend distribution. However, when the Exchange provides a special food/concessionaire function at the event, a maintenance fee may be paid. This fee will be expressed as a percentage or dollar amount of the special function profit and will be addressed in a detailed proposal. This will be completed and forwarded by the GM to the SVP/OCONUS for approval. The region will forward a copy of this proposal to HQ-MD. g. Any activities or requests the Exchange can clearly comply with can be handled locally to build a sense of community. Requests the Exchange cannot participate in or that are questionable should be forwarded to
[email protected] for research and/or response. Use this email address to forward the original request or to send a summary of conversation along with any applicable contact information. Our Customer Relations staff will monitor this email address, enter into ECCP and send to applicable HQ staff for research and response. 37-4. You are encouraged to participate in these special events held on military installations. Your exchange and the Exchange as a whole will benefit from this activity.
Donations to Charity and Fund-Raising 37-5. The Exchange is not authorized to donate money, personnel resources or any other Exchange asset to charities or private organizations. This includes charities or organizations on military installations or those conducting fund-raising on military installations with the approval of the installation commander. a. Exchange associates may raise funds for the annual Combined Federal Campaign (CFC) for donation, consistent with applicable regulations. Exchange associates may also raise funds when specifically authorized by the Office of Government Ethics. b. Do not ask vendors or contractors to contribute to fund-raising or charitable efforts. Refer requests for donation directly to the vendors or contractors. Exchange associates will avoid any appearance of endorsing the request and must not even imply they expect the vendor or contractor to honor it. c. Questions about the Exchange's participation in charitable events should be referred to the Designated Ethics Official in GC. 37-6. Exchanges frequently receive requests from installation organizations and charities to conduct fund-raising events inside or outside Exchange facilities. Examples include bagging merchandise, car washes and pumping fuel by youth groups for tips. The following applies: a. Exchanges are not authorized to permit any fund-raising events: (1) In or around Exchange service stations. (2) Inside Exchange facilities, except as authorized below. (3) Through passive means to collect funds, such as collection boxes or jars. b. Exchanges may permit fund-raising in areas outside an Exchange facility or in a lobby, interior mall or store entrance. The GM is the sole approving authority. The group conducting the fundraising must have prior approval for their event from the installation commander. c. Exchanges will not help with the collection, safeguarding or accounting of funds. If the event includes persons under the age of 18, the fund-raising must always have an adult supervisor at the event. Exchange associates will not be responsible for, or involved in, supervising or assisting with the events. EOP 40-11 37-2
Your Dollars at Work! 37-7. MWR Contribution Boards are posted in our stores to provide customers information as to how much the Exchange has contributed to the MWR. We want to keep them informed so they will be more inclined to shop the Exchange. 37-8. The value the Exchange offers the military community extends far beyond its ability to provide quality merchandise and consumer services. With the support of Exchange dividends, MWR, Community and Family Support Center (CFSC) and Air Force Services have completed hundreds of community enhancement projects at Army and Air Force installations around the world. The Exchange supports the mission of the services’ MWR to improve the troops’ quality of life and the well-being of the overall military community. The Exchange will continue to focus its efforts on providing value by offering low-cost shopping options and delivering an annual dividend.
Annual MWR Contribution Board
Figure 37-1
EOP 40-11 37-3
Chapter 38
Food Inspection, Storage, Merchandising, and Sanitation Purpose and Applicability 38-1.
This chapter gives procedures for operating Exchange Express facilities worldwide.
38-2. OCONUS CDRs/CONUS VPs may issue supplementary guidance (prior HQ approval required) to satisfy those Express facilities authorized for an overseas stock structure; for example: fresh vegetables, fruit, meat, poultry, fish, and so forth. 38-3. This guidance addresses only those aspects of Express operations that merit special management attention or are uniquely different from those in non-Express stores. Otherwise, standard Exchange procedures apply, as detailed in other Exchange directives.
Receiving Procedures 38-4. All Express facilities must use the receiving methods and procedures described in EOP 41-05, Stockroom Procedures. Receive and process all merchandise promptly and carefully, to ensure there’s accurate branch accountability. Check manufacturer age code dates to ensure the merchandise is as fresh as possible and complies with contract requirements for minimum remaining shelf-life at receipt. 38-5. Immediately upon receipt, inspect all food and beverage items to find out if any irregularities could make an item non-salable or unfit for human consumption. If some are found, place them in a separate area (to prevent any possibility of it being put on the sales floor), and immediately contact the installation food inspection services. 38-6. Dispose of any food and beverage items unfit for human consumption or unsuitable for its intended purpose, as recommended by the military food inspector or as directed by the contracting officer (that is, return it to the vendor for credit). 38-7. Report food and any beverage items received from an Exchange warehouse that, when received, are close to or over the prescribed shelf life but fit for human consumption, to the DC.
Inspection at Delivery 38-8. All food of animal origin (meat, milk, eggs, ice cream, cheese, etc.) and perishable foods (food that is not shelf stable at room temperature, fresh fruits and vegetables, etc.) are subject to inspection by installation food inspection services, at their discretion. A trained receiving associate will thoroughly inspect all such products. Contact installation food inspection services if you need assistance/guidance on receipt determinations. 38-9. Semi-perishable foods (canned fruits and vegetables, mustard, ketchup, soups, flour, cereals, sugar, and canned drinks) aren’t usually inspected by the installation food inspection services. So, a thorough inspection by Exchange associates is required at delivery.
EOP 40-11 38-1
38-10. Exchange warehouse shipments haven't been inspected by military medical personnel. Although it’s Exchange-owned, it must be inspected for suitability for sale. If it looks non-salable (swollen rusty cans, damaged cans, torn bags, and so forth), have it inspected by the food inspector before it is sold. Call the local military food inspection services to come over and inspect it. 38-11. The military food inspector may tell you certain food is unwholesome, or wasn’t manufactured in an approved food source, or is being delivered in an unsanitary vehicle. If any of these conditions are reported to the Express by food inspectors or found by Express personnel – reject the product. Don’t accept it under these conditions. 38-12. Check delivery documents to ensure the quantity received agrees with the amount shown as shipped. Check for compliance with contract requirements. For example, make sure merchandise ordered frozen is delivered frozen. 38-13. Express facilities authorized for an overseas stock structure provide receiving scales and use them to check the delivered weight against the weight shown on the invoices. 38-14. All perishable food must be wholesome, clean, and handled in a sanitary way. Should food be delivered decomposed, insect infested, wormy, moldy or otherwise unsatisfactory, reject it. If there’s any doubt as to the quality or sanitary condition of merchandise at delivery, don’t accept it until it’s been inspected by the installation food inspection services. Immediately tell the contracting officer of all rejections. 38-15. Usually, substitutions aren’t accepted. However, when a different item than what’s been specified is delivered and refusing it would cause disruption of service due to an out-of-stock condition, the manager may accept the item. The manager or supervisor must immediately notify the responsible contracting officer of action taken. Write on the delivery ticket the substitution and have the delivery person acknowledge it. 38-16. When canned goods, groceries, semi-perishables, and supplies are received from commercial sources, carefully inspect them to decide if they're acceptable. Don't accept damaged merchandise (such as swollen or broken containers). Note on the delivery ticket the damaged condition; the driver of the delivery vehicle must acknowledge this. Report damaged food received from the Exchange warehouse according to instructions issued by the DC. 38-17. Never let delivery persons place incoming shipments of any food commodity or supplies in storage. The shipment must be thoroughly inspected and received, then stored only under the supervision of an Exchange associate. 38-18. Chilled dairy products and ice cream must be delivered in clean containers. a. Check for leaky fiber, paper or plastic containers. Reject the leakers. b. Read the imprint on the containers. The date it was packaged or pull date must be shown. Normally, 72 hours is allowed from the time of pasteurization until delivery for fluid products. Other dairy items have different delivery times which the receiving clerk should know. c. Check the temperature of milk and cream. It must be between 33-41 degrees Fahrenheit (F)/ 0.6-5 degrees Celsius (C) at delivery. 38-19. Ice cream and frozen dessert containers, whether packages or in gallon multiples, must be scrupulously clean. All ice cream, sherbets or other ices must be solid, with a temperature of 0° F/-18° C, or less. The product must not be more than 90 days old.
EOP 40-11 38-2
38-20. Meat a. Ensure all fresh meats are delivered chilled from a refrigerated truck and in a sanitary condition. b. Ensure frozen meats are delivered solidly frozen. Reject them if they're thawed. c. Check all incoming shipments for condition (for example: slime, excessive moisture, strong odors, and bleeding). d. Ensure the meats are as ordered (for example: 1-pound packages of bacon, not 12-ounce packages; or, all beef frankfurters, not frankfurters that contain pork). 38-21. Poultry a. Check the brand, package size, and type of product. b. If the poultry was to be delivered frozen, don’t accept it if there’s evidence of thawing and/or refreezing. 38-22. Eggs a. Look for the grade and size of eggs on the outside of the carton. b. Egg cartons must be clean. 38-23. Bread and Bakery Products a. Bread and bakery products must be very fresh when delivered. Bread must be delivered within 24 hours after it’s baked. It isn’t unusual for delivery people to try to leave old bread picked up after inspection. b. Know the code or other markings indicating freshness. c. Look for torn packaging, squashed items, and condensation inside the wrapper. Moisture encourages mold growth. d. Count the items. Don’t take the delivery person’s word. 38-24. Other Food a. Inspect all shipments of canned items for physical damage and the presence of rust or swelling. b. Inspect glass-packaged products for broken items. Look for evidence of leaking on the outside of the case. Many glass-packed items (such as baby food and salad dressing) are freshnessdated. Check the date. c. Inspect boxes of cereal, soup, Bisquick, and so forth, for physical damage. Also, look for insects or powder in the case caused by insects. Check the date. d. Look closely at paper bagged/boxed dog and cat food for insect infestation. e. If any of the above conditions are found, reject the items; make proper reductions to the delivery ticket or request inspection by the medical service before accepting the shipment.
EOP 40-11 38-3
Code Dates 38-25. Code dates on perishable foods are a primary means by which Express associates can decide if an item should be returned to the vendor for credit, marked down for clearance or destroyed. However, coding methods vary widely by manufacturer, and the meaning of their codes can vary significantly. Express managers and associates must be familiar with the code dates applied to items stocked and know whether they represent pack, preparation, pasteurization, expiration or maximum freshness dates. Your food inspector can help if you have problems with code dates.
Stock Rotation 38-26. A continuous and systematic rotation of perishable merchandise (from time of receipt to time of sale) is mandatory, both to ensure freshness of the products sold and for the customer’s health protection. The rotation of perishable merchandise in Exchange Express stores is on a First-in, First-out (FIFO) basis, unless unusual or unexpected circumstances clearly show that merchandise received more recently must be sold to avoid spoiling.
Storage of Perishable Foods 38-27. All fresh and frozen foods are highly perishable and subject to rapid deterioration when improperly stored. Storing fresh or frozen food at temperatures too high or too low, under unfavorable conditions of humidity and improper air circulation, or in unsanitary storerooms, results in rapid spoiling and the eventual loss of the product. Perishable merchandise in storage is to be frequently inspected, and decayed items or frozen items showing freezer burn are to be removed. Following the FIFO method is mandatory. 38-28. Frozen foods must be in a solidly frozen condition when received. They must be stored immediately. This rule applies to chilled food items delivered by refrigerated trucks. All shipments should be segregated and marked to ensure the oldest lot is issued first, unless it's necessary to issue a lot quickly to avoid loss by spoilage or when the older lot is in a better condition for continued storage. 38-29. All food items received in a frozen state must be stored and sold in the same frozen condition. An exception is a product normally sold in a chilled state, but frozen for overseas shipment. Some of these items, when approved by the manufacturer, may be thawed and sold in a chilled state. Strict adherence to the manufacturer’s guidelines must be followed when assigning a new expiration date. Items received in a chilled state must be stored and sold in a chilled condition. 38-30. Because dairy products rapidly absorb odors that change their flavors, arrange them in storage and when on display in this order: Fluid dairy products, eggs, butter, margarine, strong cheese, mild cheese. Ice cream also absorbs foreign odors rapidly. 38-31. Besides proper temperatures and humidity, air circulation in the storeroom is an important factor for properly storing perishable commodities. Containers should be raised off the floor by using pallets, and individual lots should be stacked in a way that allows the free circulation of air. The use of a fan or duct system may be desirable in some cases to keep proper circulation in all parts of the room. 38-32. Fresh fruits and vegetables (where authorized in the stock structure) that require a storage temperature above the medium temperature walk-in storage box (+35° F) must be in a cool place in the storage room or protected by covering. The introduction of outside air into cold storage rooms housing fruits and vegetables isn’t necessary.
EOP 40-11 38-4
38-33. To keep each type of perishable food or beverage fresh and in salable condition, each must be stored in a temperature-controlled walk-in box or storage cabinet. Recommended storage temperatures are: Frozen items (including juices, vegetables, meat, poultry, and seafood)
-10 F or lower
Ice cream
-20 F
Dairy products
+35 F
Non-frozen fruits and vegetables
See paragraph 38-32.
Beer and soda
+35 F if chilling before sale is desirable; however, don’t let them freeze. Once chilled, don’t let them return to room temperature.
o
o
o
o
38-34. Perishable foods and beverages can spoil quickly, if stored in walk-in boxes or storage cabinets that fail to maintain appropriate temperature levels. So, the temperature of each walk-in box and storage cabinet must be noted daily and recorded on an Form 6500-019, Temperature Chart (see Figure 38-1), which is available for local reproduction at the Exchange Forms website: http://timon.aafes.com/Forms. When a major temperature variation is noted, or if a unit doesn’t keep the proper temperature, then management must consider temporary alternative storage possibilities and repair or replacement of the unit. Ask the food inspection office to inspect the food in the unit and approve continued sale of the items.
Storage of Semi-perishable Foods 38-35. Food items, no matter how they are packaged, must not be stored on the floor. If quantities received exceed the maximum display/shelf space, store these excess quantities on shelves or pallets in the stockroom. Don’t put canned or packaged goods received in questionable condition on sale, but store them separately and show them to an installation food inspector for his/her recommendation(s) on how best to dispose of the item(s). 38-36. Don’t allow beer and soft drinks to freeze, and never store them in direct sunlight. Constantly inspect bottled beer for cloudiness or sediment. Take cloudy beer or beer with sediment off the sales floor; don’t sell either. 38-37. Segregate and mark all items with a manufacturer's production date or open date in such a way as to ensure the oldest lot is issued to the sales floor first.
Aged Merchandise 38-38. Fresh fruits and vegetables and frozen food items are highly perishable and subject to rapid decomposition, especially when improperly stored, handled or subjected to temperature fluctuation. Commodities such as perishable products, canned goods, candies, and so forth deteriorate if they are mishandled, improperly stored or exposed for excessive periods on shelves, either in storage or at POS. 38-39. Managers should review products for freshness on a daily basis, to ensure their sale before expiration of their anticipated total shelf life. Total shelf life is the optimum safekeeping period from the vendor's date of packaging to the time the merchandise is sold. If merchandise isn't sold before the end of the shelf life, it is termed over-aged. Edible merchandise so classified isn’t necessarily unsatisfactory for human consumption. The installation food inspection service gives help, when asked, as to the wholesomeness and additional shelf life of these items. EOP 40-11 38-5
38-40. When it’s determined that merchandise is over-aged, managers must take immediate action to sell, return to the vendor or write it off. Type and condition of the merchandise indicates which action is appropriate. a. If the merchandise was procured on an open-end or direct-delivery contract allowing a return or exchange (for fresh merchandise) by the vendor, do one of those options; if a return, process a charge voucher. b. If the over-aged merchandise is a food or beverage item and can’t be returned to or exchanged by the vendor, contact the installation food inspector to decide if it’s appropriate for human consumption and salable, or requires a write-off. c. If an over-aged food, beverage, tobacco or film item is considered salable, mark it down according to EOP 55-10, Exchange Accounting Procedures, paragraph 4-14c. 38-41. Never sell baby food, formula or over-the-counter (OTC) drugs during or after the expiration month on the package, jar, can or other container. If there’s doubt about the condition of baby food or formula before it reaches its expiration date, have the military food inspector look at it. 38-42. Express facilities aren’t authorized: to freeze or defrost items (except as noted in paragraph 3829) but sell them in the state received; to freeze or refrigerate fresh bakery products (bread, rolls, pastry, and so forth) to extend their shelf life. Exceptions must be requested, except for frozen, pre-prepared, refrigerated sandwiches made available for sale and immediate heating and eating.
Cooperage Accountability 38-43. Cooperage is the collective term for accountable shipping containers. These are transferred to the facility by the food plant, fresh-food warehouse or vendor for ease in handling and to protect items from breakage or damage. Use cooperage only for the purpose for which it was designed. While cooperage remains in the Express, segregating it makes it easier to transfer.
Food Merchandise Display Techniques 38-44. HQ-MD publishes sales plans for specific categories of merchandise. This chapter provides guidance only for the display of select, more perishable foods that are commonly stocked in Express stores. 38-45. Bakery Products. Display bakery products on a standard Exchange gondola fixture. Available merchandising space, anticipated sales volume, and vendor delivery schedules all have a bearing on the way bakery products should be displayed. Use the POGs as guidelines to achieve an acceptable customer-oriented display. a. Place bakery products on shelves so customers can clearly see the item or, if packaged, the contents, name of the item, and price. Place only attractive items on display. Don’t display damaged goods or those in torn or crushed wrappings or packaging. b. When more than one type of item is displayed on the same shelf, place the higher demand item(s) at the far end of the shelf so customers are led past the lesser demand items. c. Display all breads (other than specialty breads) on the bottom shelf. Display specialty breads, coffee cakes, pan rolls, brown-and-serve rolls, hamburger and frankfurter buns on the second shelf from the bottom.
EOP 40-11 38-6
d. Display pies, 7" and 10" cakes, cheesecakes, fruit-filled and cinnamon buns on the third shelf from the bottom. e. Display loaf cakes, brownies, cupcakes, cookies, doughnuts, pastries, and other small items on the top shelf. f.
Place cream, German chocolate, meringue pies, and éclairs in a refrigerated case.
g. When new merchandise is received, put older products having a shelf life of more than one day in front of the new items. h. It's essential that Express associates know how bread and pastry is coded to ensure outdated products aren’t displayed for sale. 38-46. Dairy Products. Display dairy products in temperature-controlled (+35° F) fixtures. While the order in which these products are displayed depends on the fixtures used (upright or horizontal), consider the following requirements, also: a. Space allocation must be given for any product based on sales; the high-demand items in the dairy department are milk, butter, margarine, and eggs. They’re usually displayed in the lower section of the refrigerator case. Milk and cream are at one end of the display, butter and margarine in the center, and eggs at the other end. b. Impulse items play an important part in the dairy department. Impulse items are the products shoppers usually decide to buy at the POP (for example: cheeses, table-ready meats, and certain specialties). Place these items on the upper section of the dairy case, first in line of the traffic flow. Many cheese products (such as cream cheese, natural cheese, and others, as well as bacon and ham) are semi-demand items; place them last in the line of traffic flow. Merchandise cheeses in sections proceeding from mild to sharp varieties. When possible, separate cheese by color for better eye-and-buy appeal. c. Control dairy display cabinet temperature by thermostats connected to the upper and lower sections of the cabinet. For the proper function of thermostats and freshness of dairy products, air must circulate freely. Stack items away from the front glass and rear of the chill case. Keep products below the load line. Turn off display lights at closing time and use night covers to reduce equipment running time. d. When refilling display cabinets, place new stock at the bottom and rear of the display case and move older stock to the front and top of the unit. Display only enough products for the day’s sale. Place one-day amounts on display the evening before the next day’s sale. e. Storage temperatures can affect the quality of milk and milk products. Even a minor change in temperature can shorten or lengthen the expected shelf life. This table shows how fresh milk is extremely sensitive to temperatures: Temperature
Average Expected Shelf Life
32° F
24 days
27° F
10 days
45° F
5 days
EOP 40-11 38-7
50° F
2 days
60° F 70° F
1 day
80° F f. It is the intent of the Exchange to sell the freshest product possible. Fluid milk is the largest selling dairy product. Since milk usually has a 10-day shelf life, it should be delivered when it is no more than 3 days old; that gives 7 days to sell it before the pull-date/freshness-date is reached. Adjust your inventory so it’s sold within 3 days after you receive it. This gives the customer 3 to 4 days to use it before the freshness date is reached. Briefly restated: you receive it in 3 days, sell it within 3 days, and the customer can use it within 3 to 4 days. If milk is sold within 1 or 2 days of the pull date, review your ordering procedure. The Exchange must give the customer a fresher product. 38-47. Ice Cream. Display ice cream in a temperature-controlled (20° F) fixture – preferably a vertical upright unit. a. Ice cream is an impulse item. It must be sold by display and promotion techniques designed to appeal directly and quickly to customers. Arrange ice cream in the display case by flavor and size of container. Display pints and half-gallons with the stamp (stating the flavor of the ice cream) facing the customer. b. Specialty items must remain in their original cartons. Remove the tops of cartons so the items may be easily identified by the customer, create a neater display, and conserve space. c. FIFO is most important since all ice cream products are date-coded on the over-wrap only. Place leftover packages on top of the new stock when replenishing it. Stack cartons only to the freeze line; ice cream stacked over this line becomes soft and crystallizes. d. Keep the display orderly by frequent inspection and rearrangement. Display toppings, cones, sauces, and similar items on or near the ice cream cabinet. e. Particular care is needed when you handle ice-sticks. Don't expose them to temperatures above -10° F, as the sugar in them forms a concentrate on the surface and won't refreeze. Eventually, the color “bleeds” into the wrapper and becomes unsightly and messy. When this happens, you have lost a salable product and must write it off.
EOP 40-11 38-8
38-48. Frozen foods and juices must be displayed in temperature-controlled fixtures (-10° F is recommended). a. Group items by type so customers have no difficulty in making their selection(s). In CONUS, separate them into four groups: juices, fruits, prepared foods, and vegetables. Overseas Express facilities may add separate groups for meat, poultry, and fish. b. Stack packages loosely for easy removal. Displays that are too tight are difficult to stock, difficult for the customer to get the item of his/her choice, and often result in torn packages. Place packages face forward for better identification and easier handling. Keep displays below the fill-line of the showcase. Use special dividers to keep an orderly display of items packaged in irregular sizes. Check display cases often and rearrange as necessary to keep a neat and attractive display. c.
Never combine table-ready (unfrozen) foods with frozen foods and never freeze table-ready
foods. d. Never refreeze frozen food once it’s thawed. 38-49. Beverages should be available to customers both chilled and room temperature, space/sales permitting. Display requirements are: a. Allocate space and display beverages separately by type and brand. Keep beer, soft drinks, and mixes (club soda, tonic water, and so forth) separate. This also makes restocking easier and helps customers make their selection faster and easier. b. Never display beverages directly on the floor, regardless if they’re chilled or un-chilled. Use a standard gondola, wall or platform fixture to stack them on the sales floor. Stack chilled beverages on pallets or duck boards in walk-in coolers.
Price Marking 38-50. Price marking in Express facilities is done with shelf labeling on the floor and in the coolers. Most foods now have a bar code on the packaging, which can be scanned through the POS system.
Damaged Food 38-51. How to handle damaged food containers: a. Dented Cans (1) Write off or return to the vendor cans dented on their seams or identified as non-salable by the military food inspector. Segregate them from salable stockroom items in a closed container and mark them as waiting for disposal. (2) Have the military food inspector check cans dented in areas other than the seam to approve them for sale. Mark them down a minimum of 25% and place them with other marked down merchandise on the sales floor in a special location.
EOP 40-11 38-9
b. Bags or Boxes (1) Never sell torn boxes or bags. Immediately remove them from the shelf and clean the area. Place torn boxes or bags in a closed container until they’re written off. If damage occurred during shipment and the loss is significant, try to charge the carrier or return the item(s) to the vendor. (2) Remove slightly crushed (but not torn or opened) boxes from the regular stock area. Mark them down a minimum of 25% and put them with the marked down merchandise. (3) Remove, segregate, and identify for disposal unsold damaged food. Place it in a closed container to be either returned to the vendor or destroyed. This prevents accidental restocking. c.
Refrigerated and/or Frozen Foods
(1) Take any refrigerated or frozen food item with the wrapper partially or totally removed, and any leaking food, from the sales area and either return it to the vendor or write it off. (2) Place damaged chilled/frozen merchandise in a secure refrigerated area, identified as non-sold food, and dispose of it when possible. 38-52. We want to ensure we’re selling good merchandise to our customers. If we don’t remove bad items from the regular sales area, our customers get the impression we are negligent in inspecting our food items. By removing these items from their regular stock area, our customers know we are constantly looking out for their best interest.
Personal Hygiene 38-53. It’s important that all Exchange associates are neat and clean. Those who work in Express facilities (and especially those who handle foods and beverages) must be particularly conscious of their personal hygiene and appearance. Poor personal hygiene practices and a lack of cleanliness not only contribute toward the contamination of foods and beverages, but customers instinctively question the quality and freshness of edible products handled by Exchange associates who don’t look clean and well groomed. 38-54. Express associates’ medical examinations and immunizations must be scheduled following installation medical service requirements. 38-55. Express associates must reflect good personal hygiene practices by: a. Being sure their hair, face, and hands are clean. Each associate must always wash his/her hands thoroughly after any visit to the restroom, after smoking or handling non-edible merchandise, and before handling any beverage or food (including packaged foods or beverages). b. Ensuring their clothing (personal) is clean, neat, and presentable. c. Not smoking in areas where foods and beverages are processed, stocked or displayed for sale. You cannot smoke in any Exchange facility. Associates must smoke in designated smoking areas only.
EOP 40-11 38-10
Sanitation and Housekeeping 38-56. Sanitation and housekeeping are vital functions requiring persistent, daily attention by all Express managers, and the full, continuous cooperation of all Express sales associates. Express managers must: a. Maintain an active on-the-job training program concerning sanitation and personal hygiene, for all associates. During training, refer to the installation veterinary/environmental health unit requirements. On request, this unit may conduct special presentations tailored to local conditions. b. Where required by installation medical authorities, keep an up-to-date file of associate foodhandler certificates and tell associates when they are due for reexamination or re-immunization. c.
Make sure clothing worn by associates is always clean and presentable.
d. Maintain contact and liaison with installation veterinary/environmental health authorities, and ask that a copy of each sanitation inspection report be left in the facility inspected. e. Immediately mail the Sanitation Inspection Report(s) to the GM and HQ Staff Veterinarian (within five workdays of the inspection date) upon receipt of any unsatisfactory sanitation inspection report. Also forward a copy to the Europe Region Staff Veterinarian for unsatisfactory sanitation inspections on facilities in Europe and Southwest Asia. 38-57. Daily attention to housekeeping functions can help ensure proper sanitation within the Express. Here are the essential functions: a. Express managers must develop a daily house cleaning schedule for the store and assign cleaning tasks to each associate by name. Managers must examine routine cleaning each day to make certain the schedule is followed. b. Wash bakery display shelves daily, more often if needed. Remove garbage and trash each day from the premises. Dispose of products declared unfit for human consumption (such as insect or rodent-infested or spoiled food) as soon as detected. c. Clean ice cream cabinets weekly, or more often if needed. Remove the ice cream from one section of the cabinet; scrape the sides and bottom of the inside; dispose of the accumulated frost (use an ice scraper, not a sharp or pointed tool). Don’t turn off or disconnect the unit to defrost it. Replace ice cream and repeat the process until the whole inside is scraped. d. Turn off and disconnect, from the electrical outlet of walk-in coolers, reach-in boxes, and display cases for cleaning. Remove the food from the fixture and place it in another refrigerated fixture. After cleaning, leave the fixture doors open at least 1 hour to let the fixture dry and to neutralize the odor of the cleaning compound. When the fixture is dry, start the refrigeration; let the unit cool before replacing food items. e. Whenever possible, remove storage shelves, dunnage, and wooden fixtures from storage areas before cleaning them. After the fixture has been aired and dried, return it to the storage area for restocking. f. Keep the outside premises clean and the lawn mowed, to present a pleasing appearance to the customer and discourage rodent harborage. g. Keep racks for storing mops and brooms used for cleaning outside the building or indoors when there is a specific design for this purpose. Hang mops head down to allow the air to circulate freely through the strands.
EOP 40-11 38-11
h. Provide refuse receptacles outside for cigarette butts and in hallways for scrap paper, chewing gum, and other waste. Empty these receptacles once a day or more often, if necessary. Do not allow dunnage, cooperage, salvage, equipment, and so forth to gather at the back entrance to the Express.
Insect and Rodent Control 38-58. Insects and rodents are frequently attracted to Express facilities by the presence of food and beverages, particularly if the facilities aren’t clean and/or if garbage is allowed to accumulate in improperly covered containers. Good sanitation and housekeeping are essential and a major means of controlling these germ-carrying pests. The use of insecticides can also be effective, but Express associates should apply only those approved by entomology service people (post engineer or base civil engineer). 38-59. Even if Exchange associates are diligent in doing their sanitation and housekeeping duties, some rodents and/or insects may inhabit a facility. So, from time to time, ask the base/post entomology service team for an application of more effective rodent/insect control material(s). Before an entomology team arrives to do its service, the Express manager must ensure the facility has been thoroughly cleaned and all food, beverages, equipment, and working surfaces are covered and protected against potential damage from fumigation and/or the use of insecticides, rodenticides, or sprays. Keep a record of the entomology services performed at the facility. 38-60. Occasionally, items are found that need to be returned to the vendor for credit or written off. Open containers with food or food residue in them attract pests. Store all items in a closed container (such as a small plastic garbage can) until they are disposed of.
Self-Service Snack Bar 38-61. Express facilities having mini self-service snack bars providing pre-prepared sandwiches, hot dogs, nachos, and similar items must comply with the Army and Air Force food service regulations. Your Exchange food manager can advise you. Review U.S. Army Technical Bulletin (TB) Med. 530, Food Service Sanitation, if you’re at an Army exchange; or the current FDA Food Code, if you’re at an Air Force exchange.
Shopping Carts and Baskets 38-62. Shopping carts and baskets should always be available and neatly arranged at the Express entrance. Telescope carts to conserve space; stack baskets on a suitable stand not directly on the floor.
EOP 40-11 38-12
Temperature Chart, Form 6500-019
Figure 38-1 EOP 40-11 38-13
Chapter 39
Ice Merchandising Program Purpose and Applicability 39-1. Chapter 39 gives guidelines for merchandising bagged ice in Exchange retail facilities. It applies worldwide.
Policy 39-2. Bagged ice sold by Exchange retail facilities is considered retail merchandise (Department 11), regardless if the ice is manufactured by the retail facility or purchased directly from a commercial source. 39-3. Each GM is responsible for properly managing the ice merchandising by following the guidance in this chapter.
Branch Selection 39-4.
GMs must use the following guidelines to decide which retail facilities will sell bagged ice: a. Bagged ice must be sold in all Express stores. This is a mandatory program.
b. Consider selling bagged ice in any retail facility that regularly stocks Department 11 merchandise if average sales of bagged ice can be projected at $250 or more each month. c. Consider selling bagged ice in retail facilities that aren’t stocking Department 11 merchandise (i.e., automotive parts stores) if average bagged ice sales can be projected at $250 or more a month; and if another retail facility offering bagged ice isn’t in the immediate vicinity. Where facilities are close together, consider the hours of operation and customer traffic anticipated at each before identifying which will sell bagged ice.
Ice Sources 39-5. Retail facilities must get bagged ice from these Preventive Medicine/Public Health locally approved sources (in order of priority): a. By direct manufacture within a retail facility. The purchase, installation, operation, and maintenance of this equipment must conform to existing RE directives and local Military Public Health/Preventive Medicine guidance. b. By direct procurement from a military-approved commercial source, subject to contract approval by the CONUS SVP/OCONUS CDR or designated representative. Refer any questions about commercial source sanitation approval directly to the installation medical service.
EOP 40-11 39-1
Cost Pricing 39-6. Compute the cost of bagged ice supplied by Exchange food facilities at 70% of the Exchange sell price, as established in paragraph 39-8. 39-7. The cost of bagged ice procured from a commercial source is the invoice cost. If this cost exceeds 70% of the Exchange sell price, established by survey, the retail facility must try in the future to get ice from an Exchange food facility or produce its own.
Sell Prices 39-8. Bagged ice sell prices for CONUS exchanges are set by HQ and represent a savings of about 20% to the customer. a. Each GM surveys at least five local (non-Exchange) retailers twice a year (or more often, if needed) and prices Exchange ice at 20% below the average commercial price (rounded up to the nearest nickel). b. Retail and food facilities at each exchange sell bagged ice only at the established price, no matter if the ice is supplied by an Exchange food facility, manufactured by the retail facility or acquired by local procurement. 39-9. The controlling region SVP, or designated representative, adjusts bagged-ice sell prices for offshore exchanges twice a year (or more frequently, if needed). Generally, the price of ice in offshore exchanges is set by using the survey method in paragraph 39-8. 39-10. Commanders, Europe and Pacific Regions, or designated representatives set up/adjust baggedice sell prices for overseas retail Exchange facilities twice a year, at levels ensuring a minimum 30% retail gross profit.
Accountability 39-11. Receive ice supplied by an Exchange food facility on a standard Form 6500-007, Food Activity Storeroom Control (see Figure 39-1), available for local reproduction at the Exchange Forms website, http://timon.aafes.com/Forms. The associate responsible for receiving the ice must: a. Immediately count and put the units delivered into a low-temperature ice storage area or merchandiser. Never accept delivery of any bag that’s not sealed properly, is torn, leaking or has liquid rather than solid contents. b. If you reject any bag of ice for any reason, note the number of units and reason for rejection on both copies (original and duplicate) of Form 6500-007, which accompanied the delivery. Note: If the reason for rejection is due to sanitary conditions or suspected product tampering, the receiving facility manager must contact the installation Public Health/Preventive Medicine office or Food Inspector so further action can be taken, if deemed necessary. c. Sign both copies; give the original to the delivering agent and the duplicate to the branch retail operations clerk. The branch retail operations clerk matches accumulated duplicate copies to TVs issued monthly by the Exchange food activity. The TVs show, at sell price, all ice delivered to the retail activity (merchandise Account 031-11).
EOP 40-11 39-2
39-12. Any retail facility that makes and sells its own ice must account for its inventory according to the following procedure: a. Ice manufactured by a retail facility is bagged only in Exchange poly bags secured by twist ties. Bags with ties are available from expense warehouses:
Exchange Stock No.
Checklist Description Bag, ice with tie, 8-lb. size poly on wicket
8# CRC 2297882
Clear poly with “Don’t Forget the Ice” 1500 count Bag, ice with tie, 20 lb. size poly on wicket
20# CRC 2297875
Clear poly with “Don’t Forget the Ice” 500 count
b. Poly bags are ordered through the servicing warehouse as an expense item and later sold as retail merchandise. This is a unique situation and requires special accounting procedures. Ensure the following controls are implemented and followed in any retail facility which manufactures and sells ice: (1) Receive merchandise from the Expense Warehouse on a requisition crediting the warehouse Account 071-07 and debiting the retail facility’s Account 314-01. (2) Log the receipt on Form 3050-001, General Purpose Form (see Figure 39-2), referencing the number of bags received and the date (Column 1), plus the requisition number (Column 2). Do this for all poly bags received at the store, despite the source. Move the bags to their normal storage location. Make sure they’re identified "FOR RETAIL USE ONLY" to avoid their use for any other purpose. (3) As locally manufactured ice is bagged for retail sale, the number of bags placed on sale will be entered in a separate column of Form 3050-001 (Column 3). It’s important for all associates to ensure the numbers of bags filled for sale are accounted for and on the form as they are filled. (4) If bags are noted as unusable, they don’t need to be accounted for on the form and should be disposed of. If a bag is not salable after it has been placed for sale, it must be listed in a separate column of the form (Column 4) as damaged/defective merchandise, before being disposed. (5) Turn in Form 3050-001 to the exchange/branch accounting office monthly, before cut-off. The accounting office will subtract the number of damaged/defective bags from the number of bags placed on sale during the same period, and transfer the net figure into Account 031-11 as retail merchandise. Debit retail Account 031-11 with the current sell price for bagged ice. Credit expense Account 314-01 at the most recent cost per empty bag. This must be done before month-end cut-off and immediately before year-end physical inventory. Ensure the TV numbers are cross-referenced on the General Purpose Form and a file is kept by each branch in the program. This file will be reviewed by Exchange field accountants and audit associates, as well as during Internal Management Operations Reviews (IMORs) and Internal Management Team Reviews (IMTRs). c. Make periodic spot checks (quarterly is suggested) to ensure the actual weight of bagged ice is as stated on the bag. d. When conducting year-end physical inventory, don’t count empty ice bags as merchandise on-hand. Only inventory filled bags on-hand (already transferred into Account 031-11). 39-13. Ice procured from a commercial source is subject to standard Exchange accounting procedures for direct delivery of retail merchandise. EOP 40-11 39-3
Public Health Requirements 39-14. Since ice is considered a manufactured food, it must comply with Good Manufacturing Practices (GMP) Regulations for Foods established in the CFR, Title 28, Chapter 1, Parts 20 to 110, and applicable Army and Air Force instructions governing food sanitation, vulnerability assessments and protection. Installation Public Health/Preventive Medicine Inspectors or Food Inspectors will evaluate all aspects of the Exchange Packaged Ice Manufacturing Program for compliance with these instructions. Retail facility managers must immediately notify the GM and HQ Staff Vet Office whenever a medical inspection of ice or ice-making equipment results in a sanitary discrepancy or unsatisfactory rating. 39-15. To meet the intent of the GMP and military regulations, facility managers must follow these rules: a. All ice machines used in this program must be approved by the National Sanitation Foundation (NSF) (as indicated by the NSF logo on the equipment and listed in the "NSF Listings" Food Service Equipment and Related Products, Components, and Materials). Installation of ice production machines must meet current plumbing codes, to include the utilization of approved water source and prevention of cross connections and backflow. Note: A potential or absolute cross-connection between an ice machine and the sewer system is cause for immediate closure of ice production until the plumbing is corrected. b. Ice machines must be installed in a clean and sanitary area that allows adequate space for safe handling/packaging operations and does not pose a risk for contamination of ice. The area surrounding the machine will be maintained in a clean and sanitary manner. Merchandise or supplies will not be stored on or against the machine. Storage of chemicals, pesticides or open food/beverages in the immediate vicinity of the machine is prohibited. c. Responsibility for ice packaging and sanitizing of the machine is restricted to associates who have received the appropriate food handler and sanitation training. Training should be task specific and emphasize sanitation and food handling as it pertains to the operation. This training will be given upon initial assignment and annually thereafter. Facility managers are responsible for documenting, assessing competence, and enforcing training. Note: Associates must also comply with local Food Handler Health Card Certification, when required. (1) The filling operator must wear clean clothing (a clean apron or full-length smock is acceptable) and a clean, effective hair restraint during the packaging operation. He/she must wash and sanitize his/her hands (in accordance with [IAW] Prescribed Food Code/TB Med 530 Procedures) before commencing with ice packaging operation and after taking any breaks during the process. (2) Associates must not eat food, drink beverages or smoke in the ice manufacturing and packaging area. d. Clean and sanitize the filling spout or ice scoop before starting each packaging operation. Use disposable towels or clean wiping cloths. Sanitize with 100 parts per million (ppm) chlorine solution or the equivalent. Note: Each location is to develop their own formula for mixing chlorine solutions to achieve a 100 ppm solution. e. Store empty ice bags in a manner that protects them from potential contamination or damage.
EOP 40-11 39-4
Note: DO NOT package ice in bags that are torn, damaged or have been exposed to a potential contaminant. f. DO NOT sell ice in bags that have been filled, then inadvertently torn while in frozen storage or in a merchandiser. g. DO NOT merchandise or sell bags of ice containing melted ice. Never refill bags with new ice or refreeze them. h. Program ice production at a proper rate to reduce the quantity of bagged ice requiring storage. Storage bins/containers should be suitably constructed (with covers) as to prevent ice from melting, keep out foreign material and prevent bagged ice contact with the floor. Storage bins must also be securable, limit access, and prevent deliberate contamination or adulteration. i. Sanitation and maintenance of ice manufacturing machine and in-line filtering system. Facility Managers are responsible for establishing, posting, and enforcing a Cleaning and Sanitization schedule for all aspects of the ice production program to include the ice machine, surrounding area, and storage/display units. A cleaning chart will be posted on the machine to indicate the dates the machine was previously cleaned, the person that cleaned it, and the next projected cleaning date. Ice production machines will be cleaned and sanitized in accordance with the manufacturers’ guidance (Operating Manual). The minimum cleaning frequency is as follows: (1) DAILY: General housekeeping, maintenance, and upkeep of the ice manufacturing area, to include removal of any debris that may have accumulated, and assessing area for potential compromise of food sanitation or security. (2) MONTHLY: Clean exterior of machine and remove any accumulation of dust, grime, mold, slime or foreign material. Follow the manufacturer’s operating manual, disassemble removable parts to facilitate cleaning and check for needed repairs. Clean interior of machine with soap and water, rinse with portable water, and then sanitize with a chlorine solution or other approved sanitizing agent. Test strips/kit should be used to verify appropriate concentration of chlorine or other approved sanitizers, when available. Empty the ice merchandiser or display coolers, remove any build-up of dirt/debris, wipe down gaskets, and remove any mildew or slime build up. Inspect and remove any dirt or debris from the area surrounding outside ice merchandiser units. Run the first batch of ice following cleaning and discard to ensure any residual chlorine is removed from the equipment and product. Note: Chlorine solution should be 100 ppm concentration. j. Laboratory Analysis of Ice. The Exchange does not routinely pull ice samples for laboratory analysis. However, the installation Preventive Medicine/Public Health or Bioenvironmental Engineer may require access to pull samples in support of routine monitoring programs or due to increased Force Protection measures. Managers will ensure full compliance with these requests to include placing product on medical hold or halting production when deemed necessary. Managers must notify the below address when positive test results are received: (1) Positive results worldwide – notify the Staff Vet via email and send a copy of nonconforming laboratory results to: The Exchange HQ MD-P/Q (QA – ATTN Staff Vet) P.O. Box 660202 Dallas, TX 75266-0202
EOP 40-11 39-5
(2) Positive results in Europe and Southwest Asia Regions also notify the HQ-Europe Region Staff Veterinarian via email and send a copy of non-conforming laboratory results to: HQ-EUR-VET Unit 24580 APO AE 09245-2458
Merchandise Presentation 39-16. The preferred location for an ice merchandiser is on the inside sales floor within a retail facility, rather than outdoors. While certain outdoor locations may offer greater exposure to passing customers and can stimulate some impulse sales, an indoor location is more advantageous because: a. Security, accountability, and customer self-service controls can be applied with less difficulty. An outdoor location, by contrast, generally requires locking the merchandiser and providing clerk service in order to comply with current food vulnerability and Installation Force Protection guidance. b. Power outlets are generally more readily available indoors. c. An indoor location enhances the operating efficiency of the merchandiser. An outdoor location may expose it to abrupt climatic change, which can affect efficiency and cost of operation. d. Maintenance and cleaning procedures can be done more easily indoors and are generally required less frequently. An outdoor location inevitably results in a build-up of dust, dirt, and grime that requires frequent removal. e. An indoor location generally eases product delivery, receiving, loading of the merchandise, and subsequent replenishment procedures. 39-17. Merchandising ice properly requires more than a simple stacking process. Other equally important factors that can affect ice sales include: a. Exterior and Interior Appearance of the Merchandiser. Check all surfaces of the merchandiser daily and, if necessary, clean thoroughly. Customers are instinctively “turned off” by a dirty ice merchandiser; reasoning if the merchandiser is dirty, then the ice inside may be contaminated. b. Loading. Bagged ice must be loaded using the FIFO merchandising principle. When the merchandiser’s contents have dropped to 25% of capacity, load it systematically, placing new bags on the bottom and to the rear in neat orderly rows and stacks. Note: Any indiscriminate “dumping” of bagged ice into a merchandiser can result easily in unsalable broken bags, cause unsightly cube clutter, hasten an accumulation of frost, complicate cleaning, reduce merchandiser capacity, and make replenishment more difficult. c. Ice Removal. Check merchandiser daily and remove broken bags, loose cubes, and cubes that may have melted (partially or totally) then re-solidified into a single, solid mass. Note: Broken bags, loose cubes, and mass ice are not only un-salable, but could result in a loss of customers’ confidence in the quality of the product and the facility’s merchandising capability. 39-18. Moisture and low-temperature conditions inside ice merchandisers make individual price marking of bagged ice impractical. It’s important the current price is clearly stated on a locally produced 5" x 7" sign. Flip chart pricing at each cash register is required for cashier/checker reference. Adjust the price on the flip chart and 5" x 7" sign when a new ice price is established by the GM.
EOP 40-11 39-6
39-19. Carefully select ice equipment for a retail facility to attain maximum sales and yet reduce installation and operating costs. GMs initiate requests for ice making and/or merchandising equipment on an “as required” basis. Coordinate equipment selections with the region Facility Management Office (FMO) before taking any equipment procurement action. 39-20. When programming ice equipment for a retail facility, remember the ice-making, bagging, and storage functions must be restricted to non-customer access areas; only the ice merchandise occupies sales space.
Food Activity Storeroom Control, Form 6500-007
Figure 39-1 EOP 40-11 39-7
General Purpose Form, Form 3050-001
Figure 39-2
EOP 40-11 39-8
Chapter 40
Ring Resizing and Watchband Adjustment Purpose and Applicability 40-1. Chapter 40 establishes guidelines for resizing rings and adjusting watchbands on merchandise sold by exchanges.
Policy 40-2. The Exchange pays the full cost of resizing a ring or set of rings (i.e., a bridal or trio set) made of karat gold. Karat gold rings are defined as having a karat gold stamp in the ring shank; that is, 10K, 14K or 18K with a sell price of $199 or more. Some rings may have a “KP” stamped after the number. This stands for “Karat Plumb” and qualifies for resizing, excluding platinum. The Exchange does not recommend rings be increased or decreased more than 1½ size by a resizing source. (Any exceptions to this policy may be made at the discretion of the store manager/GM.) 40-3. The Exchange pays the full cost of adjusting watchbands on any watch sold by an exchange with a regular sell price of $99 or more. This is for band size reductions only. No allowance is paid to add links or increase the watchband size. 40-4. In CONUS – If the ring resizing/watchband expense was less than $2,500 in the previous fiscal year, an Exchange concessionaire should be recommended. If a concessionaire is not available, the GM should set up a local contract (PO) with a reputable jeweler. 40-5. In CONUS – if the ring resizing expense was greater than $2,501 in the previous fiscal year, the GM must contact a contracting officer in HQ-PZ for assistance in setting up contracts. 40-6. In OCONUS – when the ring resizing expense in the previous fiscal year was $25,000 or less, the GM may set up local contract(s)/PO(s). 40-7. In OCONUS – when the ring resizing expense was $25,001 or more in the last fiscal year, exchanges in Europe must contact PZ for assistance; exchanges in the Pacific must contact the Business Contracting Division, MD-V. 40-8. In Guam – when the ring resizing expense was $5,000 or less, the GM can set up local contract(s)/PO(s) (see ESR 65-01, Exchange Purchasing Policies). If the ring resizing expense was $5,001 or more in the previous fiscal year, the GM must contact MD-V for assistance. 40-9. The resizing/adjustment allowance applies only at the time of purchase or, if on layaway, at the time final payment is made. The allowance applies to all karat gold rings and all watches, including those on temporary promotions or on permanent markdown. 40-10. Never use the resizing allowance to defray repair costs or to resize any ring needing an increase/ decrease of more than 1½ sizes.
EOP 40-11 40-1
Ring Resizing Procedures 40-11. To ensure proper documentation, do the following: a. If it’s decided at the time of sale that a ring must be resized, the sales associate must: (1) Properly fill in Form 6550-004, Watch Band Adjustment/Ring Resizing Certificate (CRC 523-9343) (see Figure 40-1, which is available for local reproduction at the Exchange Forms website: http://timon.aafes.com/Forms). In the field where it shows “NO,” enter your exchange name and a consecutive number (this can be the date or any sequence of numbers). No number will be on this form; you must write it on the form. Note: If you still have the forms with numbers printed on them, then you do not need to follow these directions. (2) Print two copies of this form after you have entered the required information. The customer signs both copies. Give the first copy to the customer. (3) At the end of the work day, send the duplicate to the branch office for filing. b. When the work is done, the concessionaire or contracted jeweler receives the original copy of the form. The customer must sign this copy when the work is finished so the concessionaire or contracted jeweler can send it to the Exchange accounting office for payment (charge Account 383-34). Don’t charge the customer. c. File the duplicate (store copy) of each form by issue date in the branch office. Destroy the duplicate after 18 months. d. If the Exchange does not have a concessionaire or contracted jeweler to do this work, then the customer must return the form and a copy of the jeweler's receipt to customer service or the cashier cage for a refund. 40-12. When an adjustment/resizing certificate is issued, it’s important the customer fully understands the terms of the certificate. Sales associates issuing the certificate must review it in detail with the customer to avoid any misunderstanding. Make sure the customer knows the certificate expires 30 days from issue.
Watchband Adjustment Procedures 40-13. For watches with a regular sell price of $100 or more, the Exchange concessionaire or contracted jeweler adjusts the watchband. Follow the same procedures as for ring resizing.
EOP 40-11 40-2
Watch Band Adjustment – Ring Resizing Certificate Form 6550-004 DATE
ARMY & AIR FORCE EXCHANGE SERVICE
*WATCH BAND ADJUSTMENT/ RING RESIZING CERTIFICATE EXCHANGE NAME
BRANCH NO.
CUSTOMER'S NAME (PRINT) ADDRESS
PHONE
TERMS * Subject to the following terms, the customer identified above is eligible for a ring resizing or watchband adjustment. 1.A contracted jeweler or a AAFES concessionaire is available for watchband adjustment/ring resizing. Customer must present this certificate and the item to receive adjustment/resizing service. 2. The exchange does not recommend rings be increased or decreased more than 1 112 size by a resizing source. 3. The original copy of this certificate will be redeemed directly by the concessionaire or the contracted jeweler. 4.If a contracted jeweler or an AAFES concessionaire is not available, the customer may take the item to a reputable jeweler for the adjustment. The receipt from the jeweler will be attached to this form for payment by AAFES. This must be within the 30 days from the issue of this form. THIS CERTIFICATE EXPIRES 30 DAYS FROM ISSUE DATE WATCH OR RING DESCRIPTION SIZE SELL PRICE $
RESIZE TO
CERTIFICATE ISSUED BY
DATE
CUSTOMER'S SIGNATURE
DATE
MANAGER'S SIGNATURE WATCH/RING PICKED UP BY
THIS SECTION FOR CONCESSION/JEWELER USE ONLY CONCESSION/MERCHANT NAME CUSTOMER'S SIGNATURE
DATE
Figure 40-1
EOP 40-11 40-3
DATE WATCH/RING WILL BE READY AMOUNT $
Chapter 41
Changing Watch Batteries Purpose and Applicability 41-1. This chapter sets up guidelines and procedures for changing watch batteries in Exchange facilities. This program applies to all exchanges.
Policy 41-2. With the ever-changing watch technology, many of our vendors’ warranties are voided if batteries are incorrectly changed, which can cause damage to other watch parts. Store associates are not authorized to change a customer’s watch batteries.
Changing Watch Battery Procedures 41-3. Follow these procedures when a customer wants to change watch batteries at any Exchange facility: a. Ask the customer requesting the repair of his/her defective watch(es) if the manufacturer can repair it, when possible. Direct contact with a manufacturer usually results in faster repair and return of the watch to the customer. b. When the customer insists on Exchange processing, send the watch to an authorized warranty repair service center to have the watch repaired. Information on processing watches out for repair is outlined in EOP 40-05. Locations of authorized repair service centers can be obtained from the watch’s warranty information. c. Depending on the price of the watch, the customer may not elect to send it out for repair and may wish to have the battery changed in the Exchange. Ensure that associates have the proper battery changing tools and training materials. 41-4.
The above guidelines apply to all watches, whether or not they are under warranty.
41-5. Watch batteries can be ordered from the ADC (#105-9903). Eveready supplies Exchange activities with a manual which provides information on replacing batteries for each watch battery they manufacture. Order these materials by contacting: Paul R. Huensch E-Mail:
[email protected] Phone: 314-985-1733 41-6.
So that associates can change watch batteries upon request, exchanges can order tools from: Jules Borel & Company 1110 Grand Avenue Kansas City, MO 64016 Phone: 800-776-6858
EOP 40-11 41-1
41-7. Each main exchange is recommended to keep the following tools on hand for watch battery replacement purposes:
Tool
Purpose
Model CO790 Case
Removes notched case wrench backs found on many waterresistant watches
Model CO625 Case Knife
Removes conventional press fit case backs
Model MH175.00 Case Holder
Serves to immobilize the watch, while removing the case back
Model CRY905.00 Case Press
Reattaches press fit case backs
EOP 40-11 41-2
Appendix 1
Glossary of Acronyms ACRONYM
DEFINITION
A ADA ADC ADH AFI AFMAN AK AM AMEX AML ANSI AOG APO AR ARFIS ASAP ASER ASI ASYMCA AT
Americans with Disabilities Act Atlanta Distribution Center Accidental Damage from Handling Air Force Instruction Air Force Manual Alaska Area Manager American Express Anti-Money Laundering American National Standards Institute Act of God Army/Air Force Post Office Army Regulation Automated Refund Fraud Indicator System AAFES Store Automation Project Armed Services Exchange Regulations Associate Satisfaction Index Armed Services Young Men's Christian Association of the USA, Inc. Anti-Tip
B BA BI BoD BOSS
Bad Address Business Intelligence Board of Directors Base Operating Support Service
C C CAC CCN CDR CEO CF CFC CFR CFSC CG CI CIC CMO
Celsius Common Access Card Customer Care Network Commander Chief Executive Officer Can’t Fit Combined Federal Campaign Code of Federal Regulations Community and Family Support Center Coast Guard Critical Items Critical Item Control Chief Marketing Officer
EOP 40-11 A1-1
ACRONYM
DEFINITION
C continued CONUS CPSC CRC CRV CSI CTR
Continental United States Consumer Product Safety Commission Computer Reference Code Cash Receipts Voucher Customer Satisfaction Index Currency Transaction Report
D DC DD and DoD DDC DDDC DEERS DLATS DMM DO DOB DoDDS DoDI DRMO DSCP DSD DSN DTRT DVD
Distribution Center Department of Defense Direct Delivery Center Dan Daniels Distribution Center Defense Enrollment Eligibility Reporting System Defense Logistics Agency Troop Support Divisional Merchandise Manager Delivery Order Date of Birth Department of Defense Dependent School Department of Defense Instruction Defense Resale Management Office Defense Supply Center Philadelphia Direct Store Delivery Defense Switched Network Do the Right Thing! Digital Video Disc
E EBT ECCP EFGC EFT EHDS EOP EPA EPP E/SAB ESR ESRB EUCT EUR
Electronic Benefit Transfer Enhanced Customer Comment Program Exchange Free Gift Card Electronic Funds Transfer Exchange Home Delivery System Exchange Operating Procedure Environmental Protection Agency Exchange Protection Plan Equipment/Supply Availability Bulletin Exchange Service Regulation Entertainment Software Rating Board End-User Computer Technician Europe Region
EOP 40-11 A1-2
ACRONYM
DEFINITION
F F FA FDA FIFO FinCEN FMO FNS FPOS
Fahrenheit Finance and Accounting Directorate Food and Drug Administration First-In, First-Out Financial Crimes Enforcement Network Facility Management Office Food and Nutrition Service Food Point-of-Sale
G GC GJV GM GMP GP GPS GSA
General Counsel General Journal Voucher General Manager Good Manufacturing Practices Gross Profit Global Positioning System General Services Administration
H HBC HI HPP HQ HSPS
Health and Beauty Care Hawaii Hourly Pay Plan Headquarters Highway Safety Program Standards
I IAB IAW ICE ID IDA IGLAS IMCOM IMOR IMTR IP IRS IT
InComm Activated Barcode In Accordance With Interactive Customer Evaluation Identification Intrusion Detection Alarm Integrated General Ledger Accounting System Installation Management Command Internal Management Operations Review Internal Management Team Review Internet Protocol Internal Revenue Service Information Technology Directorate
J JROTC
Junior Reserve Officers Training Corps
K KP
Karat Plumb
EOP 40-11 A1-3
ACRONYM
DEFINITION
L LDU LF LG LP
Lowest Distribution Unit Learning Facilitator Logistics Directorate Loss Prevention Directorate
M MAC MACOM MAJCOM MCS MCX MD MD-O MDO MOD MPA MSM MSR MWR
Material Acceptance Form Major Command (Army) Major Command (Air Force) Military Clothing Sales Marine Corps Exchange Merchandising Directorate Merchandising Directorate, Store Operations Division Market Delivery Operation Manager on Duty Merchandise Processing Area Main Store Manager Magnetic Swipe Reader Morale, Welfare and Recreation
N NAF NAFI NAH NBFF NCC NCO NEW NEX NIS NOAA NSF
Non-Appropriated Fund Non-Appropriated Fund Instrumentality Not at Home Name Brand Fast Food National Claims Center Noncommissioned Officer National Electronics Warranty Navy Exchange Not in Stock National Oceanic and Atmosphere Administration National Sanitation Foundation
O OCONUS ODL OPR OSHA OTC OTP
Outside Continental United States Outdoor Living Office of Primary Responsibility Occupational Safety and Health Administration Over-the-Counter Other Tobacco Products
EOP 40-11 A1-4
ACRONYM
DEFINITION
P PA PAC PAR PB PC PCV PDA PIN PLU PO POC POG POL POP POS POSA ppm PR
Public Address Pacific Region Planning, Allocation and Replenishment Pay Band Personal Computer Price Change Voucher Personal Digital Assistant Personal Identification Number Price Look-Up Purchase Order Point of Contact Plan-o-Gram Petroleum, Oil and Lubricants Point-of-Purchase Point-of-Sale Point-of-Sale Activated Parts Per Million Puerto Rico
R RAD RMDS RMS ROR ROTC RPOS RTA
Responsible Appliance Disposal Report Management Distribution System Retail Merchandise System Record of Return Reserve Officers Training Corps Retail Point-of-Sale Ready-to-Assemble
S SAR SBM SEA SHD SKU SNA SOFA SSN SSSC SVP
Suspicious Activity Report Services Business Manager Senior Enlisted Advisor Sears Home Delivery Stock Keeping Unit Systems Network Architecture Status of Forces Agreement Social Security Number Self-Service Supply Center Senior Vice President
EOP 40-11 A1-5
ACRONYM
DEFINITION
T TB TDY TG TSS TV
Technical Bulletin Temporary Duty Training Guide Top Secret Security Transfer Voucher
U UPC USC USDA USO USS
Universal Product Code United States Code United States Department of Agriculture United Services Organization United Seaman's Service
V VMag VP
V Magazine Vice President
W WBL WIC WLP WU
Web-Based Learning Women-Infants-Children Work Load Planning Western Union
EOP 40-11 A1-6
