Materials Management Cycle Counting And Physical Inventory David

Materials Management Cycle Counting And Physical Inventory David Mc. Cusker, Senior Consultant CISTECH, Inc. David. mccusker@cistech. net

Materials Management Cycle Counting & Physical Inventory Objectives ü To incorporates the best capabilities from IM and MPA’s Physical Inventory/Cycle Counting, then expand with Power Architecture technology ü Provide inventory tag support ü Provide bar code support ü Deliver customization capabilities to greatly enhance productivity

Inventory Count Groups

Materials Management Cycle Counting & Physical Inventory Report Options will allow user to tailor the reports to their preference!

Materials Management Cycle Counting & Physical Inventory Ease of Entry! User can either enter tags sequentially by tag number or. . .

Materials Management Cycle Counting & Physical Inventory Random Count Entry by Item OR by Tag It’s the user’s choice!

Materials Management Cycle Counting & Physical Inventory Count items will list in a ‘spreadsheet’ format Columns may be moved, items can be changed, created, located…all from this screen. You’ll have a ‘window’ of opportunities!

Inventory Count Groups With Subsets • Single Warehouse • Cycle Count Class • Range(s) • • • – item numbers within • a Warehouse • – item classes – stock locations Transaction Activity By Timed Interval Forced Count Negative On-Hand Balance Include – Line Locations for REP – Unapproved Locations for QC

Inventory Count Groups • Turnaround Documents – Both “Count Entry List” and “Inventory Tags” – Bar Coding is available without PM&C being installed • Two Inventory Lockdowns – Entry On-Hand Quantity • Captured at the time the actual count was entered – Cutoff On-Hand Quantity • Captured at the time the count was activated

Inventory Count Groups • Speed Data Entry – Random Entry • By Item • By Tag • By Barcode – Sequential Entry • Warehouse/Location/Item • Warehouse/Item/Location • Tag Number

Inventory Count Groups • • • Warehouse Highlight Warehouse File Host Jobs Physical Inventory

Inventory Count Groups • Inventory Count Entry List

Inventory Count Groups • Inventory Tags

Inventory Count Groups Counting can be entered either by Random or Sequential Entry

Inventory Count Groups • Random count entry by tag • Random count entry by bar-code • Random count entry by item

Inventory Count Groups Sequential Entry is the fastest format but requires the items being entered to be in order. Notice the Bypass Key.

Cycle Count Walk Thru

Cycle Count Walk Thru

Cycle Count Walk Thru

Cycle Count Walk Thru

Cycle Count Walk Thru

Cycle Count Walk Thru

Cycle Count Walk Thru

Cycle Count Walk Thru

Cycle Count Walk Thru

Cycle Count Walk Thru

Cycle Count Walk Thru

Cycle Count Walk Thru

Cycle Count Walk Thru

Physical Inventory Walk Thru

Physical Inventory Walk Thru

Physical Inventory Walk Thru

Physical Inventory Walk Thru

Physical Inventory Walk Thru

Physical Inventory Walk Thru

Physical Inventory Walk Thru

Cycle Count/Physical Inventory Walk Thru

Cycle Count/Physical Inventory Walk Thru

Cycle Count/Physical Inventory Walk Thru

Cycle Count/Physical Inventory Walk Thru

Cycle Count/Physical Inventory Walk Thru

Cycle Count/Physical Inventory Walk Thru

Cycle Count/Physical Inventory Walk Thru

Cycle Count/Physical Inventory Walk Thru

Cycle Count/Physical Inventory Walk Thru

Cycle Count/Physical Inventory Walk Thru

Cycle Count/Physical Inventory Walk Thru

Cycle Count/Physical Inventory Walk Thru

Cycle Count/Physical Inventory Walk Thru

Cycle Count/Physical Inventory Walk Thru

Cycle Count/Physical Inventory Walk Thru

Cycle Count/Physical Inventory Walk Thru

• • • • • • • • • • COUNT GROUP- 39 INVENTORY COUNTED/UNCOUNTED REPORT DATE 9/11/06 TIME 20. 02. 44 PAGE 1 AXTG 660 PHYSICAL INVENTORY WALK THRU ** BOTH COUNTED AND UNCOUNTED ITEMS ** OPER MCCUSKERD Physical Inventory Walk Thru ** COUNT 1 ** BATCH/ ---------COUNTED-------WHSE ITEM NUMBER DESCRIPTION LOCATION LOT FIFO DATE TAG # BY DATE QUANTITY U/M XWH XO 6000101 COLORANT - NAVY BLUE 6001 DMM 9/11/06 2000. 000 KG XWH XO 6000102 COLORANT - HUNTER GREEN 6002 DMM 9/11/06 3000. 000 KG XWH XO 6000103 COLORANT - SILVER SPARKLE 6003 DMM 9/11/06 40000. 000 KG XWH XO 6000104 COLORANT - DEEP PURPLE 6004 DMM 9/11/06 100. 000 KG XWH XO 6000105 COLORANT - BRIGHT WHITE 6005 DMM 9/11/06 200. 000 KG XWH X 613 CHROME PLATED TAP PLATE 6012 DMM 9/11/06 400. 000 EA XWH X 614 1/4" SCREW 6013 DMM 9/11/06 500. 000 EA XWH X 615 1/2" SERRATED WASHER 6014 DMM 9/11/06 600. 000 EA XWH X 616 RUBBER BASE PAD 6015 DMM 9/11/06 700. 000 EA XWH X 620 BASE SUBASSEMBLY 6016 DMM 9/11/06 800. 000 EA XWH X 621 CHROME PLATED CARBON 6017 DMM 9/11/06 800. 000 EA XWH X 622 CHROME PLATED CARBON 6018 DMM 9/11/06 900. 000 EA XWH X 623 CHROME PLATED FASTNER PIN 6019 DMM 9/11/06 10. 000 EA XWH X 624 #7 SPRING 6020 DMM 9/11/06 20. 000 EA XWH X 625 CHROME PLATED FOLLOWER 6021 DMM 9/11/06 30. 000 EA XWH X 630 MECHANICAL INSERT ASSEMBLY 6022 DMM 9/11/06 *** VOID *** EA XWH X 632 POLYETHYLENE DRY COMPOUND 6023 DMM 9/11/06 60. 000 GM XWH X 633 DISTILLED WATER 6024 DMM 9/11/06 70. 000 ML XWH X 634 COLORANT BASE SOLUTION 6 025 DMM 9/11/06 80. 000 ML XWH X 635 RUBBER COMPOUND 6026 DMM 9/11/06 90. 000 KG XWH X 650 SIZE 6 SCREENPRINTED BOX 6027 DMM 9/11/06 100. 000 EA XWH 1600 STAPLER, MODEL 600 6028 DMM 9/11/06 200. 000 EA XWH X 610 MOLDED PLASTIC TOP RA 01 3/10/06 6009 DMM 9/11/06 110. 000 EA XWH X 610 MOLDED PLASTIC TOP RA 01 8/15/06 6010 DMM 9/11/06 120. 000 EA XWH X 600 MODEL DESK STAPLER (FG) RA 01 A 1 1234567890 1/06/06 6006 DMM 9/11/06 140. 000 EA XWH X 600 MODEL DESK STAPLER (FG) RA 01 A 1 1234567890 3/13/06 6007 DMM 9/11/06 150. 000 EA XWH X 600 MODEL DESK STAPLER (FG) RA 01 A 1 1234567890 3/16/06 6008 DMM 9/11/06 160. 000 EA XWH X 611 MOLDED PLASTIC BASE RA 01 A 1 1/06/06 6011 DMM 9/11/06 180. 000 EA REPORT TOTALS: COUNTED ITEMS: 27 UNCOUNTED ITEMS: 0 VOIDED ITEMS: 1

• • • • • • • • • • • COUNT GROUP- 39 INVENTORY COUNT VARIANCE REPORT DATE 9/11/06 TIME 20. 02. 45 PAGE 1 AXTG 670 PHYSICAL INVENTORY WALK THRU COMPARE QUANTITY - CUTOFF OPER MCCUSKERD Physical Inventory Walk Thru ---- VARIANCE -------WHSE ITEM NUMBER DESCRIPTION U/M COUNTED QTY COMPARE QTY QUANTITY LOCATION BATCH/LOT FIFO DATE TOLERANCE UNIT COST XWH XO 6000101 COLORANT - NAVY BLUE KG 1* 2000. 000 10. 5000 (W) Item exists in another count group. XWH XO 6000102 COLORANT - HUNTER GREEN KG 1* 3000. 000 10. 5000 (W) Item exists in another count group. XWH XO 6000103 COLORANT - SILVER SPARKLE KG 1* 40000. 000 420000 Y 10. 5000 (W) Item exists in another count group. XWH XO 6000104 COLORANT - DEEP PURPLE KG 1* 100. 000 1050. 0000 Y 10. 5000 (W) Item exists in another count group. XWH XO 6000105 COLORANT - BRIGHT WHITE KG 1* 200. 000 2100. 0000 Y 10. 5000 (W) Item exists in another count group. XWH X 613 CHROME PLATED TAP PLATE EA 1* 400. 000 28. 0000 Y. 0700 (W) Item exists in another count group. XWH X 614 1/4" SCREW EA 1* 500. 000 1. 7500 Y. 0035 (W) Item exists in another count group. XWH X 615 1/2" SERRATED WASHER EA 1* 600. 000 2. 3400 Y. 0039 (W) Item exists in another count group. XWH X 616 RUBBER BASE PAD EA 1* 700. 000 Y (W) Item exists in another count group. XWH X 620 BASE SUBASSEMBLY EA 1* 800. 000 56000. 0000 Y 70. 0000 (W) Item exists in another count group. XWH X 621 CHROME PLATED CARBON EA 1* 800. 000 24. 8000 Y. 0310 (W) Item exists in another count group. XWH X 622 CHROME PLATED CARBON EA 1* 900. 000 27. 0000 Y. 0300 (W) Item exists in another count group. XWH X 623 CHROME PLATED FASTNER PIN EA 1* 10. 000. 0550 Y. 0055 (W) Item exists in another count group. AMOUNT OU 21000. 0000 Y 31500. 0000 Y

Cycle Count/Physical Inventory Walk Thru

Cycle Count/Physical Inventory Walk Thru

Cycle Count/Physical Inventory Walk Thru

Cycle Count Steps • • • • Select Items for Cycle Count Add/Delete Items To/from the Audit Control Group Create Cycle Count Inventory Count Group Generate and Print Inventory Tags Generate and Print Inventory Count Entry List Activate the Next Count Group Work with Inventory Count Groups Work with Inventory Count Items Random Count Entry Sequential Count Entry Generate and Print the Counted/Uncounted Items Report Generate and Print the Variance Report Post Count Adjustment

Physical Inventory Steps • • • Create Physical Inventory Count Group Generate and Print Inventory Tags Generate and Print Inventory Count Entry List Activate the Next Count Group – Required Work with Inventory Count Groups Work with Inventory Count Items Random Count Entry Sequential Count Entry Generate and Print the Counted/Uncounted Items Report Generate and Print the Variance Report Post Count Adjustment

Requirements for maintaining accurate records • A good and well documented process for recording all receipts, issues, and dispositions that affect inventory unit balances • A well thought out system of inventory locations • Record activities which match physical activities • Well defined responsibilities and accountabilities for accurate records

Requirements for maintaining accurate records • An effective system for maintaining high levels of training and understanding among all employees • An effective audit program

Cycle Counting involves: • Counting selected items frequently and testing their record accuracy • Identifying causes of errors in the records • Showing change in the quality of records as time goes on

A Short Way to Get Started • Get your team together and read the procedure • Make whatever few changes to terminology that are absolutely necessary • Select a group of 25 items • Make assignments including counters, warehouse supervisor, inventory analyst, etc. • Let management know what you are doing • Schedule a count tomorrow • Learn by doing • Post the results!

Physical Inventory Day 1 • Identify Count Personal (Counters/Checkers/Entry etc. ) • Create Physical Inventory Count Group • Generate and Print Inventory Count Entry Lists /or Tags • Training Day 2 • Activate Next Count • Count Items (Random/Sequential Count Entry) • Generate and Print Inventory Count Reports • Post Count Adjustments

Cycle Count Inventory Day 3 • Identify Count Personal (Counters/Checkers/Entry etc. ) • Select and Code Items for Cycle Counting • Create Cycle Count Inventory Count Group • Generate and Print Inventory Count Entry Lists /or Tags • Training Day 4 Activate Next Count • Count Items • Enter Counts (Random/Sequential Count Entry) • Generate and Print Inventory Count Reports • Post Count Adjustments

THANK YOU