Cycle Counting

Cycle counting verifies physical inventory against system records and automatically adjusts stock levels for discrepancies. This is the preferred method for physical inventory corrections and systematic accuracy programs without requiring full operational shutdowns.

All counts create audit trails and automatically generate inventory adjustments (issues for shortages, receipts for overages) upon posting.

Access: Inventory → Stock → Cycle Counts

Understanding the Cycle Count Screen

The cycle count screen provides a complete view of expected versus actual inventory with variance analysis and posting controls.

Screen Components:

• Warehouse: Select warehouse for counting (required)
• Location: Choose specific locations or count all
• Supplier: Filter by supplier (optional)
• Category: Filter by product category (optional)

Count Views:

• All Items: Complete count listing
• Counted Discrepancies: Items with variances only
• Counted Overages: Items with excess quantities
• Counted Shortages: Items with shortage quantities
• Not Posted Items: Unposted count adjustments

Key Operations:

• Run New Cycle Count: Creates new count session with selected filters
• Found Column: Enter actual physical quantities counted
• Post Checkbox: Select items to include in posting
• Check All: Mark all items for posting
• Post Receipts and Issues: Finalizes count and updates inventory
• Submit for Approval: Route to approval workflow (Admin Option 170)

Search and Filtering

Quickly locate items within active count sessions using the search functionality:

Searchable Fields:

• Item ID (partial match)
• Item Description (keyword search)
• Location (bin/shelf identifier)
• Serial Number
• Serial2 (if Admin Option 290 enabled)

Column Display Options:

• Hide/Show Serial: Toggle serial number column visibility
• Hide/Show Serial2: Toggle secondary serial column visibility (Admin Option 290)

Additional Operations:

• Refresh: Update count data without losing entered quantities
• Review: Generate Cycle Count Review report (Report 146) for current session
• Select All/Deselect All: Quickly toggle post checkboxes for all visible items

Counting Methods

Desktop Cycle Counting

Desktop counting provides full variance analysis, filtering, and approval capabilities for comprehensive inventory verification.

Workflow:

1. Navigate to Inventory → Stock → Cycle Counts
2. Click “Run New Cycle Count” or select existing count
3. Configure count parameters:
   • Select warehouse
   • Choose locations (specific or all)
   • Optionally filter by supplier or category
4. System generates count lines showing:
   • Item ID and description
   • Expected quantity (system quantity)
   • Location information
   • Serial numbers for tracked items
5. Enter actual counted quantities in Found column
6. Review variances (shortages/overages highlighted)
7. Check Post checkbox for items to adjust
8. Submit for approval if required (Admin Option 170)
9. Click “Post Receipts and Issues” to finalize

Features:

• Real-time variance calculation as counts entered
• Color-coded variance indicators
• Serial number verification for serialized items
• Split units feature for partial quantity counting (Admin Option 174)
• Multiple location support
• Partial posting capability
• Comprehensive variance reports

Tips:

• Use Check All to quickly select all items for posting
• Review high-value variances before posting
• Save progress without posting for multi-session counts
• Filter views to focus on discrepancies only

Mobile Cycle Counting

Mobile counting enables on-the-floor inventory verification with barcode scanning and immediate data entry at item locations. The mobile interface uses a two-tab design for efficient counting and review.

Count Types:

• Blind: Count without showing system quantities (prevents bias)
• Edit Count: Continue or review a previous unposted count session
• Fast Movers: System-generated list based on high transaction frequency
• Slow Movers: Infrequently moved items
• Low Value: Items below configured value threshold
• High Value: Items above configured value threshold
• Random: Randomly selected items for unbiased sampling

For Fast/Slow/Low/High/Random types, specify “Lots to Count” quantity (defaults from Admin Option).

Workflow:

1. Login to Inventory Pro Mobile
2. Select your warehouse
3. Navigate to Inventory Management → Cycle Count
4. Choose count type:
   • For Edit Count, select previous session from dropdown
   • For numbered counts (Fast/Slow/etc.), enter quantity to count
   • For Blind, proceed directly
5. Click “Run Cycle Count”
6. Count Tab - For each item:
   • Scan barcode or search/select item
   • Enter or select location
   • Enter units found
   • Optionally enter serial numbers, RFID, or UOM
   • Click “Add” to save line
   • Use Skip to defer item and move to next
7. Review Tab - Review entered counts:
   • Filter saved count lines
   • Edit quantities directly in list
   • Remove incorrect entries
   • Click “Reset Count” to clear all and restart
8. Click “Submit” then “Submit Count” when complete

Line Item Fields

Understanding field behavior helps ensure accurate count entry:

Features:

• Barcode scanning for faster item identification
• Real-time data entry at physical locations
• Plus/Minus buttons for quick quantity adjustments
• Serial number auto-load for tracked items (Admin Option 333)
• Progress tracking with skip list for deferred items
• Two-tab interface: Count for entry, Review for validation
• Filter and search within saved count lines
• Edit or remove lines before submission
• Submit for desktop review and posting

Admin Options:

Tips:

• Use Skip button to defer difficult counts and return later (builds skip list)
• Enable locked location mode (Admin Option 345) when counting a single location to prevent accidental changes
• Use Plus/Minus buttons for quick quantity adjustments without keyboard
• Review tab allows filtering and editing saved counts before final submission
• Edit Count mode useful for multi-session physical inventories spanning multiple days
• Zero count feature (Admin Option 325) records items physically verified as absent

Important: Mobile counts do not automatically update inventory. They save to desktop for review, approval, and final posting.

Bulk Import

For large-scale physical inventory operations or importing count data from external systems, use bulk import of cycle count data.

Access: Utilities → Import and Export → Cycle Count Import

Supported File Formats: CSV, XLS, XLSX

Available Fields:

Workflow:

1. Prepare data file with count results
2. Navigate to Utilities → Import and Export → Cycle Count Import
3. Upload file (CSV, XLS, or XLSX)
4. System validates and creates cycle count session
5. Review imported counts in Cycle Count screen
6. Post to update inventory

Use Cases:

• Annual physical inventory imports
• Third-party count data integration
• Opening balance adjustments when implementing system
• Large-scale inventory reconciliation

See the Import & Export documentation for templates and detailed procedures.

Variance Analysis and Posting

Variance Types:

• Shortages: Expected > Found (creates issue transaction)
• Overages: Found > Expected (creates receipt transaction)
• Location Moves: Item found at different location (creates move transaction)

Posting Process: When clicking “Post Receipts and Issues”:

1. System validates count data
2. Automatically generates adjustment transactions:
   • Issues for shortages using cycle count reason code
   • Receipts for overages using cycle count reason code
   • Location moves for location discrepancies
3. Updates inventory levels in real-time
4. Creates complete audit trail
5. Generates adjustment reports

Variance Investigation:

• Review significant variances before posting
• Investigate root causes of recurring discrepancies
• Recount high-value items with large variances
• Document investigation findings for audit trail

Admin Options

Key configuration options affecting cycle count operations:

Count Management

Count History: Navigate to Inventory → Stock → Cycle Count List to view all cycle counts:

• Count ID and status (open, posted, partial)
• Warehouse and creation date
• Variance summaries
• Posting history

Count Status:

• Open: In progress or awaiting completion
• Posted: Completed with adjustments processed
• Partial: Some items posted, others pending
• Pending Approval: Awaiting approval workflow

Best Practices

Planning and Scheduling:

• Establish consistent count frequencies based on item value (ABC analysis)
• Count high-value items more frequently
• Schedule counts during low-activity periods
• Plan adequate staff and time allocation

Count Execution:

• Organize count areas before starting
• Provide clear counting procedures to staff
• Verify serial numbers match documentation
• Use barcode scanning for accuracy

Variance Management:

• Investigate significant variances before posting
• Set appropriate variance tolerance levels
• Document root causes of recurring discrepancies
• Implement corrective actions based on patterns

Quality Control:

• Recount items with large variances
• Verify location accuracy during counts
• Train counters on procedures and system usage
• Review count accuracy reports regularly

Troubleshooting

“Cannot create cycle count for specific location”

• Problem: Location not active or user lacks permissions
• Solution: Verify location exists and is active, check user permissions
• Prevention: Regular location master maintenance

“Count quantities not saving”

• Problem: Session timeout or network interruption
• Solution: Refresh browser, check network connection, re-enter counts
• Prevention: Enable Admin Option 526 for auto-save

“Cycle count fails to post”

• Problem: Approval required, variance thresholds exceeded, or inventory holds
• Solution: Check approval requirements, review variance levels, verify inventory status
• Prevention: Monitor approval workflows and variance thresholds

“Large unexplained variances”

• Problem: Location inaccuracies, recent transactions not reflected, or count errors
• Solution: Investigate location accuracy, check transaction history, recount items
• Prevention: Regular location audits and counter training

Key Reports

Access cycle count reports via Reports → [Search] or Inventory → Stock → Cycle Count List.

Cycle Count Review (Report 146): Detailed variance report showing expected vs counted quantities with financial impact. Displays item-level discrepancies, serial numbers, locations, and variance costs. Use for variance investigation before posting adjustments.

Cycle Count List (Report 253): Summary view of all cycle count sessions with status, warehouse, creation date, and variance summaries. Filter by count session, date range, or status (open, posted, partial). Useful for tracking count progress and history.

Cycle Count Differences (Report 158): Focused view of items with variances only, excluding zero-variance items. Shows shortages and overages with financial impact for targeted variance analysis and investigation.

Cycle Count History (Report 213): Historical analysis of posted cycle counts with trend data over time. Track accuracy improvements, identify problematic locations or categories, and analyze count frequency effectiveness.

Cycle Count (by Expiration Date/Serial & Supplier): Specialized count reports for items requiring specific tracking. Filter by expiration dates for perishable inventory or by serial numbers and suppliers for serialized item verification.

All reports support filtering by date range, warehouse, item, and count session. Export to Excel for further analysis.

Related Topics

• Receive Stock - Receiving inventory and positive adjustments
• Issue Stock - Issuing inventory and negative adjustments
• Mobile Cycle Count - Mobile cycle counting with barcode scanning and offline capabilities
• Warehouse Reports - Cycle count history, variance, and performance reports
• Import & Export - Bulk data loading procedures
• Locations - Managing warehouse locations and zones