Inventory counting is to accurately calculate the operating conditions of the current month and the current year. Generally, the company’s goods (finished products and materials) are counted on a monthly/quarterly/semi-annual/annual basis. Through inventory counting, we can know whether there is a deviation between the actual warehouse data and the system data, and how large the deviation is, so as to understand the cause of the data deviation and make improvements.
Inventory counting is very important for enterprises. It can help us better manage inventory, deal with unsalable products in a timely manner, and improve inventory turnover. At the same time, inventory counting difference indicators can also be used as a basis for performance appraisal of warehouse managers.
Inventory counting is divided into three types: fixed inventory counting, sampling inventory counting, and temporary inventory counting.
Regular inventory counting: Regular inventory counting refers to inventory counting of warehouses on a fixed cycle, which can be monthly, quarterly, semi-annual, annual, etc., or weekly, depending on the product type. For example, some high-value commodities are relatively liquid. In order to avoid losses caused by errors, inventory counting can be conducted once a week; conventional goods can be counted once a week, and then a comprehensive inventory can be conducted on a semi-annual and annual basis.
Sampling inventory: Sampling inventory refers to taking some goods as samples for inventory, and calculating the warehouse inventory situation based on the sample data. It usually occurs in enterprises with a large number of goods. Sampling inventory classifies the value of goods according to the ABC classification method. For example, Class A is high-value goods, Class B is medium-value, and Class C is low-value goods. In this case, you can choose to take a full inventory of Class A goods and a random inventory of Class B and Class C goods.
Temporary inventory: Temporary inventory refers to inventory that is required for a specific purpose. It is sudden and accidental. No relevant preparations are made beforehand, and the inventory is started directly.
Regarding the type of inventory, enterprises can determine the inventory strategy based on the nature of their own products. Some goods with low value and low liquidity do not need to be counted monthly, and inventorying once a quarter is also acceptable; if it is high-value goods, it can also be counted once a week. Conventional goods are usually counted once a month, and a combination of comprehensive inventory and sampling inventory is carried out according to the nature of the goods.