[OtterMgr1]

Is there a one, two, three list that can easily walk someone through the year end inventory process? I understand how to do inventory (i.e. PIC's list, reports, etc.), but I'm unsure about the sequence of the process and which steps are mandatory, recommended, etc. I have the 8.0 manual, but I'm having difficulty understanding which steps to do first or not at all.

[RetailEdge Moderator]

Can you be more specific with you question? Are you asking about the actual process of walking around the Store? What items to enter first? How to categorize the inventory for data entry?

Or is there some specific procedure you don't understand?

Let us know.

Is there a one, two, three list that can easily walk someone through the year end inventory process? I understand how to do inventory (i.e. PIC's list, reports, etc.), but I'm unsure about the sequence of the process and which steps are mandatory, recommended, etc. I have the 8.0 manual, but I'm having difficulty understanding which steps to do first or not at all.

[OtterMgr1]

Bill - we are actually doing inventory today - January 3rd. What we need help with is what we do after we have counted everything in the store. Meaning, after all merchandise has been entered into the PIC list, what steps do we take to complete the year end inventory process? Do we first do a back-up, run reports, clear inventory? I'm not sure which steps come first. Thank you!

[RetailEdge Moderator]

Here's the summary of what to do when when doing an end of year physical (or cycle count during the year). I think this is in the program help under - Taking Physical Inventory using a Data Collection Terminal, but I will try to elaborate a little.

Hope this is what you are looking for.

1. Run any pre-inventory Inventory Reports that you might want for your records. After you update the inventory, the inventory quantities will be changed so you will need at least the pre-updated inventory totals. We recommend that you print at least an Summary Inventory Report. There are many other inventory reports that can give you additional detail, but the summary report should give you a good overall picture of your inventory totals. This can be done by choosing Items By Category under Inventory|Items|Items folder in the Report Selector.·

2. Set up PICs Device. The PICs Device can be setup to do one prompt or two prompt data collection. Although you have the option of scanning one prompt (scanning one item after another) or two prompt (scanning and then entering a quantity) we recommend that you scan one prompt. This will:

a. minimize the chances that someone scans a bar code at the quantity prompt (creating a false large quantity).
b. create a record of where you scanned a particular item in location to other items.

You can collect data in one large batch and or in multiple smaller batches (each batch representing a room or a defined space). There are advantages to both approaches. The user has to perform an upload and import into RetailEdge only once with the large batch. For the multi-batch approach, the advantage is that if there is a mistake in collection that is made, then the user only has to repeat that one section as compared to a whole physical a second time.

3. Empty the Device as appropriate. If you have done an inventory prior to this one or are doing multiple smaller batches as described above you might want to empty the device prior to starting the collection process.

4. Collect Data. This is a little different for each device, but you will be essentially scanning a barcode and if you are doing a two prompt collection entering a quantity. The information is then stored in the PDT as a list of barcodes and quantities ready for transfer over to the computer.

5. Transfer data from the PDT. This is different for every device. Most devices we sell now come with a USB cradle and a utility from the manufacturer that will take the file from the PDT to the computer.

6. Import the transferred data file into RetailEdge. This is done by choosing Import from the Inventory |PICS menu item and then selecting the file you transferred to the computer. Each device is a little different but the most common file type is Generic CSV - SKU, Quan.

7. View PICs Exceptions. You can view the items you imported into the PICs list by choosing Edit from the Inventory|PICs menu. When you import or manually add items to the PICs list, RetailEdge will get inventory descriptions for the items if they are found in inventory. This will quickly allow you to see the items you scanned that are not currently in your inventory and make any necessary adjustments.

8. Print out PICs reports. These reports are run from the Report Selector by choosing the desired report from the PICs Folder in the Inventory Folder. The reports are as follows:

a. PICS List: To allow you to more easily see the contents of the PICS file.
b. PICS Inventory Compare: Compares what is in inventory with what is in the PICS List. Items not in inventory will show N/A quantities. Useful in determining what might have been scanned that is not in your inventory.
c. Exceptions: Lists any item in your PICs list that is does not have a corresponding stock number or item number in your inventory. This report also lists non-stock items.
d. Differential: Lists any item in the PICs list that has a quantity different than the one found in inventory.
e. Shrinkage: The shrinkage report is an inventory based report that lists all inventory items that are:

• • Not found in the PICs List (to account for shrinkages to 0 that an inventory count would not have found).
  • In the PICs list with PICs quantities less than the inventory quantities.

It is useful when running this report to filter for inventory quantities greater than 0 so that the report does not display all the items in your inventory that have a 0 or negative quantity.
f. Shrinkage - With Costs: Same as the Shrinkage Report but showing costs so that you can determine the cost of shrinkage.

9. Perform a RetailEdge Backup. Backup all your RetailEdge data by choosing Backup from the Tools|Backup menu item. This can be done once at the beginning of the PICs process before any activity has been done and optionally before each zeroing process described below. This way you will have multiple copies that will give you a snapshot of your inventory and PICs file at different points in the process. How many times you do this is up to you. Backing up is fast, but the files can be large and will take up hard disk space and you will have to properly name the files so that you know which one to restore if you have a problem.

10. Zero Out Inventory (Optional). You have the option to zero out your inventory by choosing Zero Inventory from the Inventory|PICs menu item. This might be necessary if you are doing a full physical inventory. When you update the inventory from PICs, the only quantities that will be adjusted will be the ones that will ones in the PICs file. So if an item is not there and has not been scanned then it will not be properly adjusted when you update inventory from the data in the PICs file. If you are doing small batches with sections of the store (e.g, a particular vendor), then you will want to only zero out this vendor. Zero Inventory function can be filtered by Vendor, Department, Class, etc. to allow you to only zero out a section of your inventory. Note: Since this step is very invasive, we require that you set a current filter for Location, Department, Class and Vendor before you run the zero process. If you don't set any filter we assume that you mean that you want No Locations, Department, Classes and Vendors zeroed. This is just the opposite of the way the filter works in all other cases.

11. Run Inventory Summary Report to Confirm a successful Zeroing. You want to be sure after zeroing your inventory that what you have done is what you meant to do. Many people have inadvertently zeroed out all their inventory (even with the safeguards above) or have not zeroed the section of the inventory they meant to zero out. This is an important step because it will allow the items that have not been scanned to be properly zeroed and allow you to properly account for shrinkage.

12. Update PICS to Inventory with an Overwrite. This is done by Choosing Update from the Inventory |PICs menu item. Then Choosing the Inventory Table as the PICs Target Table and Overwrite (Replace) Quantities as the PICs Update Action. PICs can be used for many other functions (updating receiving, receiving off of a PO, creating sales, creating transfers or POs. etc.). The PICs file will be emptied (like the receiving file during the receiving update process) after the update process and the inventory quantities will be adjusted.

Once you have completed these steps you may want to run another set of the inventory reports you ran initially for comparison purposes or if you are doing small batches/sections of inventory at a time, then you can repeat the steps above as necessary.