Visual Streamline FAQ

Transcription

1 Inventory Count Initialization Visual Streamline FAQ The system allows different count methods as per screen below and product inclusion filters by warehouse with ability to further restrict it by Product line and/or Sub Category and/or bin location. The count method allows the user is to specify how the count will be entered so that the count entry screen presents products in that manner. When the inventory count is initialized, the on hand value of each product is written to a count file. These quantities are used later for comparison against the actual count entered into the system to calculate the adjustment required by the count. The system enters the adjustment to the inventory history file not the quantity counted. It is important to have processed all confirmed shipments, receipts and inventory adjustments etc. to make sure the system is up to date with what is in your warehouse before you initialize the physical count. If you must remove stock from the warehouse after initializing then setup a system to record what was taken from the shelf and add that quantity to the count, see more on this in summary notes at end of this document. Page 1 of 7 Created Document Name Last Updated 18-Sep-2007 R:\WP6DOC\SISL\SUPPORT\FAQ Attachments\Physical Inventory Process.doc 20-Mar-2014

2 Count Sheets Count sheets are printed in the order as defined in the initialization. There are options to include or not to include the on hand quantity on the report. Page 2 of 7

3 Enter Physical Counts Counts are entered into the system in the same order as specified in the initialization. If an item is lot or serial number controlled, they must be verified by product to equal the count entered. If an item is not counted, no entry is made and an adjustment is not calculated. If an item is counted and there were 0 in the warehouse, the zero count button is used to change the count to 0. This triggers an adjustment between the initialized on hand value and the counted value of 0. All counts entered show in red. Page 3 of 7

4 Print Count Variance Report Visual Streamline FAQ The count variance report is printed and it displays initialized on hand value, count entered, cost per unit and resulting extended adjustment per product. Page 4 of 7

5 Update Physical Count The system writes the adjustment calculated, as the difference between the number counted and the initialized on hand quantity, to the inventory transaction file. Below the count was for 0 and the initialized on hand figure was 3, thus the adjustment was +3 units at the warehouse weighted average cost. Adjustment = 0-(-3). The transaction is recorded on the date that the count was updated. Page 5 of 7

6 Inventory > Processing > Inventory Register Visual Streamline FAQ The Update Physical Count creates a inventory register to record the accounting impact of the count adjustment and you must update the register in order for it to post the impact of the inventory count to the GL. This figure is posted to the G/L on the date that the inventory register is updated. Page 6 of 7

7 Summary Notes: The system does not record the count as an on hand figure, but rather calculates an adjustment based on the difference between that count and the on hand figure at the time of initialization. As such, shipping and receiving in the system after initialization will NOT be taken into account. We generally advise against shipping and receiving due to the possibility for error but, if adequate controls exist, a reasonable count can be obtained. In order for the count to be successful, the user must establish procedures to track all shipments of goods taken out of the warehouse bins and all receipts put in the warehouse bins prior to the actual count of the bin. (Items shipped out or stocked away after the item is counted will have no impact as the count is compared to the initialized value.) Possible ideas to make the count easier: (after initializing physical count) Do not stock bins for goods received until some time after they have been counted and verified and ensure that no counts are made in that day once the goods received start being put away. Institute a procedure to write on each bin all goods taken for sales. If a tagging system is used, no sales or receipts need to be recorded once the bin has been counted and verified. Variances should be checked against the inventory transaction history file to see if goods were received or shipped as that may have created a count error as the manual control of good in or out is subject to failure. When recounts occur, they will have to be adjusted for anything received or shipped since the initialization. A procedure is required to ensure that recounts are adjusted for inventory transactions or else the final count adjustment will be incorrect. Page 7 of 7