Physical Inventory
Physical inventory involves the counting of products and handling units for stock control and financial reporting on balance sheets. This process involves comparing the actual physical stock in the warehouse with systematic stock in the EWM warehouse.
You can carry out a physical inventory for the following stock types:
In Putaway and the Warehouse
-
Unrestricted use
-
Blocked stock
-
Quality inspection stock
- Number ranges are year specific. If maintain year “9999”, then no need to maintain during year ending activities.
- It is recommended that you lock the relevant storage bins during the physical inventory. This is not necessary in the radio frequency (RF) environment.
Benefits
- Inventory accuracy that helps to streamline the warehouse operation
- Compliance: Assists in fulfilling regulatory and financial reporting obligations.
- Preventive and corrective action: on theft and damaged products
Fig. illustrates the options for Physical Inventory procedures.
In addition to the procedures listed above, an External Procedure (Storage Bin and Product Specific) can also be performed.
Physical Inventory Process
Process starts with creation of PI document (status can be active or inactive based on default value set in the PIDs creation app)
The figure below illustrates the various possible statuses encountered during physical inventory processing.
Storage bin check: you cannot enter quantities. You simply specify whether the product is available in the storage bin or not.
Display Book quantity: System displays the Inventory book qty, when the count results are entered.
HU Complete: a handling unit can be counted as "complete"
Example -if a handling unit is packed and opening it would destroy it."
Serial Number Product:
- System suggests the serial number (for C = Inventory Management level serialization) if configured to suggest serial number in PI area.
- You must enter serial numbers, If the product has a serial number requirement
B (Serial Number Requirement at Warehouse Number Level)
C (Serial Number Requirement in Inventory Management)
