Physical Inventory and Cycle Count Module

 

Selecting the option", default", "Physical Inventory" in the Inventory Menu will allow that module to be selected. If the Physical Inventory option is selected, the Physical Inventory Menu shown below will appear.

 

6.1.1 Audit WIP

 

WIP stands for Work In Process on the manufacturing floor.  If you have any work in process on the manufacturing floor you must make sure the WIP quantities in pc/MRP’s Inventory Module are correct before Entering Physical Inventory Counts for your stores areas.     WIP quantities should be corrected by running the Audit WIP Function.   See section 5.1.18 for instructions and an overview of this function.

 

 

6.1.2 Pre-seed Physical Inventory

 

This option appears on the above screen in pc/MRP Versions 7.94 and higher.   This option pre-seeds your physical inventory counts (invarea1 – invarea6) with your current inventory quantities for all areas.   Option 76 in the settings and utilities must be set to allow physical inventory to be pre-seeded for this button to work.

 

 

 

6.1.3 Generate Blank Physical Inventory Forms

 

This selection uses the partmast.dbf file to generate blank physical inventory forms (blankinv.frx) for inventory teams to take the inventory count. Generate as many blank Inventory Forms as there are inventory teams. It is important to remember that each team takes inventory in its own area and not the area of another team as this would result in a double count of the same items. Both areas can contain parts with the same part numbers as in the other areas. The "Total the area counts and print out a variance report" option will total the count for each part number. It is important to note that WIP quantities should be corrected using the Audit WIP function (section 5.1.18) prior to entering the physical inventory in stores.

 

 

6.1.4 Enter Physical Inventory Count

 

Allows users to enter the count from each area into the inventory's physical inventory fields (invarea1-invarea6), without altering or disturbing your present inventory (onhand, area2qty-area6qty). The counts for each area may be entered manually or imported from a comma delimited ASCII file. If you select to enter the count from an ASCII file, the ASCII file must have the part number and quantity as the first two data elements within the file (file structure must be: part number 'comma' 'space' quantity). Any additional data elements will be ignored. Please see chapter 16.4.3 & 4 to create ASCII files using a BarCode reader. If you select to enter the counts manually, pc/MRP will prompt you to enter the counts in the order you selected (by part number or by location). In either case, the counts are entered into the inventory invarea1 through invarea6 fields. pc/MRP will allow you to add or enter (replace) the current count for that part number.

 

If you elect to import your physical inventory counts from an ASCII file, only the part numbers in the list will be appended (added to the existing count) or replaced (replace the existing count). Pc/MRP uses a program named ldtxtqty.prg to import the inventory counts.

 

When entering your first count, pc/MRP versions 7.54 to 7.93 higher will ask users if they wish to pre-seed the physical inventory team counts with the current inventory quantities.  (Option 76 in the settings and utilities must be set to yes).    If any team count quantities are greater than zero, the team counts will not be pre-seeded.   You will not see a progress bar indicating that it is pre-seeding the counts.  This could happen if one or more counts were accidentally entered during a prior date without completing the physical inventory (update).   If that is the case the counts (invarea1 – invarea6) can be zeroed out by calling Software Arts.   pc/MRP versions 7.94 and higher have a pre-seed button as described in 6.1.2.

 

 

6.1.5 Total The Inventory Counts And Print Variance Report

 

This report (costinv.frx) sums the area counts (invarea1-invarea2) and places the totals into the inventory invtot field. It also sums the current quantities (onhand, area2qty-area6qty) and places the total into the inventory prevqty field. This report allows you to compare the current counts with the current quantity in inventory. This report is designed to help locate any abnormal deviations in individual stocking levels and provide a dollar value for the physical inventory count with sub- totals by product type. Once this report has been approved as to its accuracy THEN AND ONLY THEN should you run the option "UPDATE THE ONHAND QUANTITY AND ZERO OUT THE TEAM COUNTS". If you do not run this report before updating the onhand quantities, no damage will be done. However, you will miss your chance to compare your pc/MRP's on hand quantities.

The deviation values represent the difference in dollars and quantity that pc/MRP calculates you should have as compared to the audit's count. These deviation figures would only be accurate if you had used all of pc/MRP's modules (Invoice, Receiving, Purchasing, Stock Transaction, and Sales) and the previous physical inventory had been accurately taken with pc/MRP. If you do not use the Receiving and Stock Transaction Modules, which adjust the Onhand Quantities, the deviation values represent the change in quantity and value of each part number from the last physical inventory. We recommend not including WIP with this function.

 

 

6.1.6 Update The Onhand Quantity And Zero Out The Team Counts

 

Replaces the present onhand inventory quantities (onhand, area2qty-area6qty) with the new count from the physical inventory count (invarea1-invarea6). It stores the count in the lastqty1-lastqty6 fields and zeros out the inventory count fields (invarea1-invarea6) for the next count. This should be done only after the "Total The Inventory Counts And Print Variance Report" option has been run and approved. One last time, we recommend not including WIP with this function as WIP counts were corrected using the Audit WIP function. As of pc/MRP Versions 7.01L and 7.02Q and higher, the Update option will only run if the user has inventory delete rights (provided the password module has been activated).

 

 

6.1.7 The Inventory Movement Report (Parmovp.frx)

 

The inventory movement report (parmovp.frx, movement.dbf) will list all inventory movements during a specified period based on the last physical inventory count, receivers, issues, adjustments, and invoiced sales orders. The report will compare the theoretical count with the physical inventory count. pc/MRP versions 6.82AG, 6.80AE, 6.87D, and higher will provide the correct starting and ending balances after you have taken a physical inventory. With this report you should check the include WIP check box.

 

 

6.1.8 Physical Inventory History

 

pc/MRP version 7.50F and higher have a Physical Inventory History Option. Selecting this option will bring up a screen with the following screen.

 

Selecting H, History Reports & Process Reversal will display all prior physical inventories. You can then display, print, and/or restore past physical inventories. This option will restore the last physical inventory quantities, date, team counts, and areas 1-6 quantities as they were just prior to when you pressed “Update the OnHand Qty and Zero out the Team Count”. It will not change WIP quantities. If existing part numbers no longer exist after restoring, pc/MRP will give you an error message and add the part numbers without any quantities.

This option is great for restoring a physical inventory count if you have hit the U button twice and deleted your inventory and team counts.

 

6.1.10 Cycle Count Options

 

Selecting the Cycle Count Option will display the menu below:

 

 

6.1.11 Generate Blank Cycle Count Forms

 

Generates a blank Physical Cycle Count Form. The form will contain 1/20th of all of the class A parts, 1/60th of all the class B parts, and 1/120 of all the class C parts. The above figures were derived from 20 working days/month, 60 working days per quarter, and 120 working days per 1/2 year. The second time the form is printed it will contain the second set of class A, B, C parts. In this manner, all class A parts will be inventoried at least once a month, all class B parts once a quarter.  If you have less than 20 class A part numbers, some of the cycle counts may not contain any class A part numbers.  For example if you had 3 class A part numbers, the first 3 cycle counts would display one class A to be counted.  The remaining cycle counts would be blank until you got to the 21^stcycle count, which would display the first class A part number. 

 

6.1.12 Enter Cycle Count

 

Allows users to rapidly enter the cycle counts into the inventory ONHAND QUANTITY field for each part number counted. The counts may be entered manually or imported from a comma delimited ASCII file. The ASCII file must have the part number and quantity as the first two data elements within the file. Any additional data elements will be ignored. Please see chapter 16.4.3 & 4 to create ASCII files using a BarCode reader.

This option allows you to enter the count for each part number for all areas in one screen. pc/MRP stores the new quantities in the stores areas (onhand, area2qty-area6qty, and wipqty). In addition, pc/MRP also updates the last physical date and quantity fields (lastphydate, lastqty1-lastqty6, lastqtywip) similar to the physical inventory program. This provides another opportunity for pc/MRP to establish base line inventory quantity and dates allowing the pc/MRP’s Inventory Movement Report to calculate and print out inventory quantities on a given date based on inventory movements prior to or following the base line date and quantities.

 

6.1.13 Automatically Fill Class Fields For All Parts

 

This selection will ask you to enter the dollar amount used per week to classify a part as a class A part. pc/MRP will then automatically determine the class of each part based on cost and usage.

 

If the cost of a part is greater than $4.99, or it's cost x usage/week exceeds the dollar amount you entered above, it will become a class A part.

 

If the cost of a part is less than $5.00 and greater than $0.49 and it's cost x usage/weekis less than the dollar amount you entered above it will become a class B part.

 

If the cost of a part is less than $0.50, and it's cost x usage/weekis less than the dollar amount you entered above, it will become a class C part.