Aestiva Wiki
Back to Search >

Inventory Stocktake

Inventory stocktake is the process of physically counting the stock of items in a store or warehouse to ensure that the records of the items on hand match the actual quantities. This is done to keep track of what items are in stock, to identify any shortages or excesses, and to ensure that the inventory records are accurate and up to date. Stocktaking is typically done on a regular basis, such as monthly or quarterly, and may be done by one or more designated employees.

Stocktake Vs. Physical Count

Physical count is another term for inventory stocktake. It refers to the process of physically counting the items in a store or warehouse to verify the accuracy of the inventory records. The goal of a physical count is to ensure that the quantity of items on hand matches the records, so that the business can have an accurate understanding of what is in stock and what needs to be ordered.

Conducting Stocktakes

There are several ways to conduct an inventory stocktake, including the following:

    • Inventory CONTROL software: Many businesses use inventory CONTROL software to track their inventory. This type of software allows businesses to conduct a virtual stocktake by entering the quantities of each item on hand and comparing them to the records in the system.

    • Manual counting: In this method, employees physically count each item in the store or warehouse and record the quantities on paper or in a spreadsheet. This can be time-consuming and labor-intensive, but it can be a good option for small businesses with a limited number of items.

    • Barcode scanning: This method involves using a barcode scanner to quickly and accurately count items. Barcode scanners can put their data into spreadsheets or they can be integrated into Inventory Control Software.

Types of Scanners

There are several types of scanners that can be used for inventory stocktaking, including the following:

    • Handheld barcode scanners: These are portable scanners that can be held in the hand and used to scan barcodes on individual items. They are typically small and lightweight, making them easy to use and move around a store or warehouse.

    • Fixed-position barcode scanners: These scanners are mounted on a stand or other fixed position, and are used to scan items as they are placed in front of the scanner. This type of scanner is often used at checkout registers in retail stores.

    • Wireless barcode scanners: These scanners are similar to handheld scanners, but they use a wireless connection to transmit the data they collect to a computer or other device. This can be useful for businesses with multiple locations or large warehouses, as it allows the data to be accessed and analyzed in real-time. These scanners include the use of smart phones with bluetooth scanners and hardware scanners from companies like Zebra.

Barcode Setup

To use the scanning method for inventory management, you will need an inventory control software installed, a scanner or other device that can read barcodes and barcodes tags on your inventory items.

The exact setup will depend on the specific needs of your business and the inventory management software you are using.

In general, you will need to set up the software to recognize the barcodes and then you can use the scanner to input inventory data into the system. This data can then be used to track and manage your inventory.

The setup and maintenance required for scanning may deter some businesses from using this method. Keeping barcodes up to date requires ongoing effort. And labeling all items requires an ongoing maintenance.

Manual Selection of Inventory

If setting up scanners and labeling all your inventory is a barrier, or you you have a limited number of SKUs (stock keeping units), then manually selecting items from lists may be sufficient for your inventory management needs. The best systems provide both scanning and manual selection so you can start manually and use scanners once and if you have decided to create and maintain barocdes for your inventory.

Inventory Stocktake Processes

In some organizations, such as restaurants, stock is counted prior to ordering and used to predict a live stock level at any time. When compliance is the key motivation for stocktakes, stocktakes may only be done annually. And in organizations with busy stockrooms, where there's no opportunity to manually check goods out, stocktakes are done prior to replenishment and used as the only way to know current inventory levels.

In organizations that do a lot of stocktakes, how you count the stock matters a lot too. Do you count an aisle at a time? Do you count a category at a time? Do the goods have varying UOMs?

As such, Inventory Control Software Flexibility is Mandatory For Success.

Aestiva's inventory control software systems are highly customizable and flexible because, Aestiva knows, without enough flexibility adoption rates are greatly reduced.

Costs of Inventory Control Software

The costs of a system are often less than the effort to set up a system when scanning and advanced features are required. In general, setup will require some time and effort from internal staff, including employees who set up the scanning system, as well as individuals who will be responsible for maintaining the system, inputting data, and maintaining scannable labels. The cost in terms of manpower will depend on the number of days that these employees spend on the setup and maintenance of the system, as well as any additional training or support that may be needed.

The cost of inventory control software can vary widely, depending on the specific software and the features it offers. Inventory control software can cost hundreds or even thousands of dollars per month, per user depending on the level of support and features offered.

Aestiva provides customized inventory control software. Aestiva's inventory software and modules are provided free with Aestiva's Software Unlimited Plan.

See Also

Inventory Control Software Processes, What Is Inventory, Inventory Control Software