Top Tips for Counting Your Physical Inventory
As this is an uncertain time for everyone at the moment with the Coronavirus causing havoc around the world, it may be a good time to have a look at your inventory and how you do your stock takes. As a retail furniture business, you will likely have plenty of stock to account for. The fact is, you need to make sure you stock enough styles to appeal to your wider audience. But how do you know if your inventory management technique is up to scratch? Are you counting your physical stock through inventory control software, or a cloud based POS?
If not, it may be time to start thinking about moving your stock control standards into the modern age. Here are a few top tips on managing physical inventory which will apply to all furniture store operations.
Scan for Smart Inventory Management
One of the great benefits of using inventory control software is that it takes away the need for physical counting. While physical stock collation is reliable to an extent, product scanning and digital record-keeping are much more trustworthy.
Can you use a furniture store POS to collate data on stock you have available? Can you delegate product scanning to your team? By scanning up products regularly, your cloud based POS will always let you know where you stand.
Be Smart About Scheduling with Inventory Control Software
It’s often a good idea to count stock on the go but think carefully about planning ahead. Are you up to date on your furniture stock for the big Christmas rush? How often do you run checks at all?
Setting up a schedule means you can always safely prepare for potential issues. You can’t always fall back on precedents. A POS will help you to set reminders to check stock. It could also give you plenty of advance warning to check scheduling in plenty of time.
Educate Your Team with a Cloud Based POS
Stock management may seem simple. However, it’s only so effective when you have a team available who knows what they are doing. Make sure you roll out training modules to emphasise the importance of inventory counting.
You could instil a concept of ‘always checking’. Without disrupting the working day, your staff could work to count stock as they go. They won’t have to do this by hand. They can scan and collate data through a Point of sale system.
Therefore, make sure to use inventory POS standards that are easy to get to grips with. Set up modules and check knowledge at regular intervals.
Encourage Perpetual Checking
Finally, the most efficient inventory management technique is to keep it ticking over, constantly. That is easily manageable through a POS. Rather than spending hours catching up on missing items and stock, you can set up a POS to run a program to handle it all for you.
In a day and age where furniture retail has more demands than ever before, delegation and automation are key.
How to Do a Stock Count: Step-by-Step Checklist
- Pick the right time. Count when the shop floor and warehouse are quiet, or run rolling counts by area so trading isn't disrupted.
- Control stock movements. Pause goods in and dispatch for the area being counted, or record every movement that happens during the count.
- Prepare locations. Make sure every bay, shelf and display area has a clear location label, and that each item can be seen and scanned.
- Assign counters. Give each person or pair a set of locations, and have a second person recount high-value items.
- Scan, don't write. Scan barcodes with a handheld device or mobile app so counts go straight into the system without re-keying.
- Check variances. Compare counted quantities with system quantities and recount anything that doesn't match before adjusting.
- Investigate and adjust. Find the cause of genuine differences, such as unrecorded transfers, damage or missed deliveries, then update stock records.
- Review and repeat. Use what you learn to decide how often each area or product group should be counted.
Stock Counting FAQs
What is the difference between a stock count and a stock take?
The terms are often used interchangeably. A stock take usually means counting everything at once, while a stock count can also mean a smaller, regular count of one area or product group.
How often should a furniture retailer count stock?
Many retailers do a full physical inventory count at least once a year, often at year end, with regular cycle counts in between. Fast-moving and high-value lines are worth counting more often.
What is perpetual inventory counting?
With perpetual inventory, stock records update every time an item is sold, received, transferred or adjusted. Regular cycle counts then confirm that the records still match what's physically there, instead of relying on one big annual count.
Conclusion
Keeping regular inventory management in furniture retail is crucial. Are you keeping up to customer demands? Ordorite’s flexible, adaptable inventory management and POS system could be just what you need. Click here to find out more about booking a live demo.
