Physical Stock Count / Stock Audit
Physical Stock Count, also known as Stock Audit, is the process of physically verifying the actual quantities and conditions of inventory items in your warehouse or storage locations. This process helps ensure that the stock recorded in the system matches the real stock available, identifying any discrepancies caused by damage, loss, theft, or errors.
Importance
Conducting regular physical stock counts is critical for maintaining accurate inventory records, improving financial reporting, and preventing operational issues such as stockouts or overstocking. It also helps organizations comply with audit requirements and supports better decision-making.
Key Features
- Schedule and conduct periodic or ad-hoc stock counts.
- Record physically counted quantities and compare them with system records.
- Identify and categorize stock discrepancies.
- Use barcode scanning or manual entry to speed up the counting process.
- Approve and post inventory adjustments to correct discrepancies.
- Maintain a detailed audit trail of stock counts and adjustments for transparency.
Typical Workflow
- Plan and Schedule: Define the scope and timing of the stock count.
- Physical Counting: Manually count inventory items in the warehouse.
- Data Entry: Input counted quantities into the system.
- Reconciliation: Compare counted data with system stock levels.
- Approval: Review and approve any necessary stock adjustments.
- Update Records: Post approved adjustments to update inventory balances.
Access in PrismERP
Navigate to Physical Stock Count / Stock Audit
Summary
Physical Stock Count / Stock Audit is essential for verifying inventory accuracy. PrismERP offers tools to simplify and automate this process, enabling your business to maintain control over stock and reduce risks associated with inventory inaccuracies.