Best Practices for stock take management 

Why conduct a stock take? 

Monitor your current inventory levels to maintain accurate records and identify discrepancies, such as damaged or returned items. Conducting a physical inventory count helps reconcile your inventory. 

How to conduct a stock take? 

Here are essential strategies for effective stock take management.  

1. Schedule the stock take: Schedule the stock take during periods of low activity, such as weekends or lunch breaks, to minimise disruption. Communicate the schedule well in advance to all relevant staff to ensure they are prepared. 
2. Form a stock take team: Assign specific roles to team members, such as which shelves or bins each team will count and who will enter the data onto the sheets, printout report or handheld device. 
3. Prepare the warehouse: Clean the warehouse to avoid any workplace injuries during stock take. Work, Health and Safety (WHS) issues need to be complied with to ensure a secure and healthy work environment for your staff.  
4. Prepare stock take materials:  
   1. Prepare sheets, pens, clipboards and calculators; 
   2. Print the Physical Inventory Order Difference List report from Wiise for staff to use when recording their counts.
      
      Note: You can use the Wiise Warehouse on Time app with your handheld scanning device to streamline the counting process and reduce errors.  
5. Freeze movements: Suspend all inventory movements, including receiving and shipping, during the stock take to ensure the accuracy of current inventory counts. 
6. Select and implement a counting methodology: Select a consistent counting methodology. Instruct staff to count items systematically: 
   1. Starting Point: Begin at one end of the section. 
   2. Counting Order: Move sequentially to the other end. 
   3. Shelf Order: Start from the top shelf and proceed to the bottom, ensuring all items in the inventory are counted. 
      
      Note: When managing a complex warehouse system, consider using a controlled cycle counting approach. This involves periodically selecting a sample of items to count, ensuring a consistent and manageable inventory review process without disrupting overall operations. 
      
      
7. Record Counts: Your staff can record the counts on the manual sheets or directly on a handheld device that has the Wiise Warehouse on Time app installed.  
8. Double check counts: Have a second team or check to verify the initial counts to catch any errors or discrepancies ensuring the accuracy of the inventory data.  
9. Match physical counts: Compare the physical inventory counts to the records in Wiise to identify any discrepancies between the actual and recorded inventory. 
10. Investigate discrepancies: Determine the root cause of discrepancies. This may include: 
    1. Miscounting items 
    2. Items placed in incorrect bins 
    3. Shrinkage due to theft or loss 
    4. Damaged or returned items 
11. Update Inventory Records: Make necessary adjustments to the physical order recording as a positive adjustment or negative adjustment to ensure the records match the actual inventory. 
12. Review the stock take process:  
    1. Conduct regular discussions with the team to gather insights and suggestions for enhancing the physical inventory count process.  
    2. Identify and address any issues that may affect the accuracy of physical inventory counts to ensure reliability. 
13. Implement a regular stock take schedule: Establish a consistent stock take schedule (daily, weekly, monthly, quarterly, or half-yearly) to maintain ongoing inventory accuracy and prevent discrepancies. 
14. Enhance security measures: Implement security measures such as installing CCTV cameras and restricting access to certain warehouse areas during stock takes to prevent theft and unauthorised access. 
15. Provide continuous training: Offer ongoing training sessions for staff involved in the stock take process to ensure they are well-versed in best practices and any new procedures introduced. This will help maintain a high level of accuracy and efficiency. 

What’s next? 

Find out how to write off stock in Wiise.  

Need more help?  

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