The end of year Stocktake

As the beginning of a new year approaches, it becomes an appropriate time for a business to conduct an annual stock take. This is especially for businesses who work with non-perishable and inexpensive goods, as they are more susceptible to stock errors than other goods. Despite this, all businesses could benefit from an annual stock take.

Many businesses may be hesitant to conduct a physical stocktake, given the investment of work hours you and your staff would undertake. While it is advisable to use technology to aid with keeping stock, many circumstances can cause the digital number from being different from the real number. These issues can range from minor human errors to major supply chain problems. The earlier these errors are spotted the easier they will be to amend.

While at first appearance stock-taking is nothing more than physically counting items, there are many methods to make stock-taking more efficient as well as a more valuable use of your time. Firstly, this is the perfect time to create or otherwise modernise your categorisation system. How to best categorise your goods will depend on what kind of goods they are, though it is almost always appropriate to categorise your product via the price of goods or the conditions in which the goods are stored. Secondly, use this opportunity to briefly examine your goods and make sure they are still fit for your purpose, and if not, to be removed from your stock and deducted from your data. Lastly, you must compare the results of your stocktake and compare with your records, and investigate any discrepancies.