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OmnifulKnowledge BaseCycle Count

Cycle Count

What is Cycle Count?

Omniful's cycle counting is a systematic inventory auditing process where locations within a warehouse is selected for counting at regular intervals. Unlike traditional physical inventory counts that involve counting all items in the warehouse at once, cycle counting breaks down the counting process into smaller, manageable cycles. This approach allows businesses to maintain accurate inventory records while minimizing disruption to daily operations.

Key Features

Key features of cycle counting include:

  • Regular and Ongoing: Cycle counting is an ongoing and regular process, often performed daily, weekly, or monthly. It replaces the need for periodic, full-scale physical inventory counts.
  • Selective Counting: Only a portion of the inventory is counted during each cycle. The locations to be counted are typically selected by the admin while keeping in mind the strategic considerations.
  • Systematic Selection: Locations for cycle counting are selected systematically using predetermined criteria such as location prefix.
  • Accuracy Improvement: By consistently counting a subset of inventory, cycle counting helps maintain accurate inventory records. It enables the identification and correction of discrepancies between recorded quantities and actual stock levels.
  • Minimized Disruption: Because only a portion of the inventory is counted at a time, cycle counting minimizes disruption to daily warehouse operations compared to traditional physical counts that may require temporary shutdowns.
  • Continuous Monitoring: Cycle counting provides continuous monitoring of inventory accuracy, allowing businesses to promptly address issues such as discrepancies, stockouts, or overstock situations.
  • Efficiency and Productivity: The efficiency of cycle counting lies in its ability to distribute the counting workload over time, making it more manageable for warehouse staff. This leads to increased overall productivity. Omniful allows the admin to assign several users the same cycle count.
  • Root Cause Analysis: When discrepancies are identified during cycle counting, hub managers can conduct root cause analysis to understand and address the underlying reasons for inventory inaccuracies.

How does it work?

To initiate a cycle count, the authorized user must designate the specific locations for which cycle counts are required, along with assigning responsible individuals for the counting tasks. The system generates cycle counts for the designated users, indicating the due date for completion. Users can then fulfill their assigned tasks for each location, reporting any discrepancies encountered. The system updates the status of each location on the dashboard, providing administrators with insights to take appropriate actions.

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