There are several areas that I would suggest. Absolutely, daily cycle counts are mandatory. Here's the business case. What's one hour of asst downtime vs 1 hour of a storeroom clerk conducting a cycle count? I used several measures for my warehousing operations.
-Inventory accuracy
-Net dollar accuracy
-Gross dollar accuracy
-Location verification accuracy
-Inventory turnover
I honestly believe an annual physical inventory causes more harm than good. My definition of a daily cycle count is "Quality Audit". Are we doing the correct credits and debits. As for ABC classifications, absolutely! I need to manage what's important to the business. There are several ways to use ABC classifications. Value, Usage, Criticality, etc.
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Andrew Gager CAMA, CMRP, CPIM, CRL, CSSGB
CEO / President
Wake Forest NC
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Original Message:
Sent: 10-15-2021 12:03 PM
From: Harold Kohal
Subject: Inventory Cycle Counting
What are some of the issues to take into consideration when trying to implement cycle counting on inventory? Do you divide into ABC parts? How much time out of an 8 hour day should be dedicated to cycle counting? Should there be a single person responsible for cycle counting?
Harry Kohal |
VP of Business Development and Customer Satisfaction |
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