Inventory Counting - Manual and File Upload

In versions of iVend Retail 6.5 and above, the system allows users to perform physical stock counts of inventory products. It also enables the user to reconcile the system inventory against the actual inventory in a store or location.

Note: With the Inventory Counting functionality, users can perform the counting process at the store level individually.

Business Case

Retailers who are using the iVend application would like to count the inventory at the store and along with the physical count, the inventory needs to be reconciled with the system inventory. This counting process can be performed weekly, monthly and yearly, based on the organization’s business practices and policies.

Benefits of Inventory Counting

· It helps the retailers to match the system stock with physical stock.

· For any differences, the system will generate the IN (Goods Receipts) or OUT (Goods Issues) inventory transaction updates.

· Inventory counting helps to recognize any stock losses or damages during the physical match.

Setup and Configuration

Log into the iVend Management Console and navigate to: Operations > Business Transactions > Inventory Counting – the inventory Counting Search screen comes up.

      Figure 1 – Inventory Counting Search Screen

Steps to create a new Inventory counting

1. On the Inventory count screen, search for an existing count and press the [F4 Edit] button to edit the existing open count or click on the [F3 New] button to create a new count.

                                       Figure 2 – Inventory Counting Setup Screen

The following are the field details for the above screen:

2. Once the information has been entered as per Step 1, the user then needs to click on the [Count Inventory] button to initiate the counting process and move to next screen, which is Inventory Counting.

                                     Figure 3 – Inventory Counting Screen

On the Inventory Counting screen, the Inventory Counting Process can be executed in two (2) ways:

a. Manual Counting: - In this process, the user has to enter the physical quantity in Counted Quantity field. Based upon the entered values, differences in the quantities will be calculated automatically. After entering the values, the Reconcile flag is checked by the system.

                                                      Figure 4 – Inventory Counting Screen

As per the above screen image, the difference is calculated by the system based upon the entered Counted quantity.

As an example, in the first row, the In-stock quantity is 232 and the Counted quantity is 300 which is higher, therefore the difference in the quantity calculation is:

Counted Quantity – In store Quantity

300 – 232 = 68 [A positive difference – When reconciled, the system will produce a Goods Receipt for this line item variance]

And if we look at the third row, the In-store quantity is 668 and the Counted quantity is 500 which is lower, therefore the difference in the quantity calculation is:

500 - 668 = (168) [A negative difference – When reconciled, the system will produce a Goods Issue for this line item variance]

To confirm, based upon the type of differences, the system will generate and post the Inventory transactions as follows:

· If Difference Quantity is on the Positive side, then the system will create Goods Receipt transaction documents automatically when the user clicks on the final button, [Reconcile Inventory].

· If the Difference Quantity is on the Negative side, then the system will create Goods Issue transaction documents automatically when the user clicks on the final button, [Reconcile Inventory].

b. Import File Counting: With this process, the user will create a text file to import the counted quantity to the Inventory Counting screen. When using an import file, there will be no need to enter the final count manually. Values will be imported to the system using the file, which is a considerable time saving if the count should contain large numbers of items.

The calculation will work the same as it works for the manual inventory counting method. The only difference between the Manual Counting method and Import Counting method is the elimination of the need for entering the values in the Counted Quantity field manually.

The following are examples of the import format required for creating the .txt import file – Values are entered, Comma-Delimited (i.e. separated by a comma):

Normal Product: Product ID, Quantity

100102,5

100103,6

100104,10

Serial Product: Serial Number, Quantity

1001,1

1002,1

1012,1

Batch Product: Batch Number, Quantity

B100,8

B101,9

B121,5

User can obtain a copy of the standard Inventory Counting template, which is available in the system where the iVend application is installed:

Path: C:\Program Files (x86)\CitiXsys\iVendRetail\ManagementConsole\Import Templates

From the above path, users can find the following template: InventoryCounting.txt

4. Once the physical inventory count has been updated as per Step 3, click on the [Reconcile Inventory] button to complete the process, the system will produce a pop-up message asking the user to confirm that they wish to proceed further – Click [Yes] to proceed or [Cancel] to cancel the reconciliation process.

                                   Figure 5 – Reconciliation Pop Up Screen

After clicking on the [Yes] button, the system will create the reconciled inventory document showing the differences in quantities should they exist. The user can also print this out for the inventory counting process.

                                            Figure 6 – Inventory Counting Receipt

Note: Based upon the above differences, the iVend system will post the Goods Receipt and Goods Issue documents, which can be viewed via the Management Console.

Goods Receipt path: Operation > Business Transactions > Goods Receipt

The Goods Receipt document will be posted on the date used to reconcile the Inventory Count.

Goods Issue Path: Operation > Business Transactions > Goods Issue

The Goods Issue document will be posted on the date used to reconcile the Inventory Count.

This concludes the KB on Inventory Counting - Manual and File Upload.