Count stock and fix differences (stock reconciliation)

Over time, the stock in OLY ERP and the stock on the shelf can drift apart, for example because of spillage or a missed entry. A Stock Reconciliation records what you counted. OLY ERP then corrects its quantity and posts the value difference to the stock adjustment account.

Before you start

• Submit all open receipts, deliveries and stock entries for the warehouse first.
• Plan the count for a quiet time, for example after the last shift on a Saturday. Stop stock movements in that warehouse while you count.
• Print a count sheet from the Stock Balance report, filtered by warehouse, without the system quantity if you want a blind count.
• You need the Stock Manager role to submit.

Steps

1. Go to Stock in the sidebar and open Stock Reconciliation, then click + Add Stock Reconciliation.
2. Keep Purpose as Stock Reconciliation.
3. Set the Posting Date and Posting Time to when you counted. Tick Edit Posting Date and Time to change them.
4. Click Fetch Items from Warehouse and select the warehouse, for example "Raw Materials - EF". OLY ERP fills in every item with its current quantity and valuation rate.
5. In each row, change Quantity to the number you counted, in the stock unit. Example: the system says 1,250 Kg of corn grits, Abebe counted 1,230 Kg. Enter 1,230.
6. For batch items, enter the count per batch.
7. Remove rows you did not count, so they are not changed by mistake.
8. Leave Valuation Rate as it is unless your accountant tells you otherwise.
9. Click Save. Check the Difference Amount at the bottom. In the example, 20 Kg at 45 ETB is a difference of minus 900 ETB.
10. Ask Meron (accountant) to review, then click Submit.

Opening stock at go-live

When you start using OLY ERP, your opening stock is also entered with a Stock Reconciliation, with Purpose set to Opening Stock. Your OLY ERP consultant does this with you at go-live. Do not create a second opening entry yourself.

Good to know

• A large difference usually means a missed document, not lost stock. Look in the Stock Ledger before you submit, and let your accountant review large differences.
• Count in the stock unit (Kg, Pack, Roll). If you count in Bags or Cartons, convert first: 25 Bags of corn grits = 1,250 Kg.
• Count regularly. A small monthly count of key items is easier than one big yearly count.
• A submitted reconciliation changes your stock value in the accounts. To correct it, Cancel and Amend.

Related

• Stock reports: balance, movements and ageing
• Month-end checklist
• Batches and expiry dates