Stocktake

Completing a Stocktake

Regular stocktakes keep your system healthy. This article explains how to process a stocktake.

Overview

Now that your system is running smoothly, it's good to regularly do stocktakes of some or all of your products to make sure your stock levels are accurate.

If you are new to the system and you've never done a stocktake before, make sure you read Completing Your First Stocktake instead as there are some additional steps for first-time users.

Remember that the end result of a stocktake is to create an adjustment that increases or decreases your inventory and therefore your inventory value.

In order to create an adjustment for all your stock, you will use a tool called Stocktake Master. The Stocktake Master compiles the stock for one particular branch and creates an adjustment for the required stock.

Processing a Stocktake

There are three steps to using the stocktake master:

1 - Preparing a data export

1. From the left navigation, select Stock, then Stocktake Master.
2. When entering the Stocktake Master for the first time, you will be prompted to select a branch. The Stocktake Master looks at stock from one branch at a time.
3. In Stage 1 you filter the products to be counted: make sure Update Mode is set to Stock Counts, and set Type to All.
   In the bottom half of the page you will see a list of all your products to be counted.

2 - Exporting the data into a spreadsheet

1. In Stage 2, select the fields you'd like to export into your spreadsheet. Only the required fields are exported by default.
2. Click Export Data.
3. Click Select Data to select all the data in the box.
4. Either right-click on the data and select Copy or press Ctrl + C or Command + C to copy the data to the clipboard
5. In a spreadsheet, paste the data.

Once you have the data you can go about your stocktake, filling in the Count column. Remember that you are only filling in information for the selected branch; you can only stocktake one branch at a time.

3 - Importing the data back into the system

Once you have your counts in your spreadsheet, import the counts into the system.

1. Copy the contents of the Spreadsheet, and paste that data into the box underneath Update Counts.
2. Click Process Counts.
   You will now proceed through a series of steps, that help you decide how to process the information you have accumulated.
3. If you've missed any products, you will be alerted in the next screen. You can either download those products that are missing and add them to your spreadsheet, or continue without them.
4. In the next screen you will be shown the variances between the current stock on hand in the system and the counts that you have just imported. Because you won't have any stock in the system, the variance should be exactly the same as what you counted.
5. Click Continue with Adjusting these Variances to make the final adjustments

These adjustments will increase or decrease the Stock on Hand in the system.

Balancing your Accounts

For those that are using the perpetual inventory system, you must now import those adjustments into your accounting software. This will make the necessary journals to balance your stock value in Cin7 with the stock value in your accounting software.

If you use the periodic method, and you are stocktaking at the end of a period, you will need to find the total stock value and make the necessary journals in your system. Your accountant is the best person to advise you on this. If you are stocktaking between periods, then you can carry on as usual.

For the difference between the two methods see Periodic and Perpetual Accounting.

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