Background: Cycle Count Preparation

Use the Cycle Count Preparation (HCP) program to select items for a physical inventory count by creating a random or non-random cycle, change a controlled cycle, delete a cycle, and print an inventory book or set of tags. See Road Map for work flow.

Note: For consignment items only the on hand balance is subject to cycle counts.

This topic has these subtopics:

Inventory Cycle

Book Printing

Random Item Selection

Tags

Non-Random Item Selection

Controlled Cycle

Inventory Cycle

An inventory cycle specifies the criteria used to select items to be counted and whether you will use an inventory book or tags for that cycle. You can process multiple cycles concurrently, using either random or non-random item selection. Neither type of cycle can include pseudo, prompt, or family items. A cycle can include phantom items only if you selected the Allow stocking of phantom? option in the System Options Maintenance (XM) program (Inventory Control Options).

Random Item Selection

In random mode, the program uses a date-driven random selection process. If you subsequently create another cycle on the same date, the program can include the same items.

The program does a count of items (by ABC class or across all classes). When you select an item, the selection includes all of the item's locations in the cycle. For example, you may select a sample size of 10 for ABC class A, but end up with a list of 16 on your book/tag printout because of  multiple locations for those 10 items.

You can control the random selection process by:

  • Entering Selection options for a single or range of warehouses, bin locations, or items.

  • Selecting a sample size for each ABC class. The program compares its random selection with ABC classes and includes the quantity you specified for each class.

  • Excluding items with specific statuses. The program removes items with these statuses from the selection process.

The randomly selected items do not print in random order.

Non-Random Item Selection

If you choose non-random selection, you have more control over which items the program selects. You can use these options:

Option

The Program

Do This

Specific items

Selects only the item numbers you enter.

For the Item number Selection option, enter or select an item or range of item number.

OR

Click List and enter specific item numbers. See Create a List of Items for more information

Negative inventory locations

Selects all locations with negative inventory balances.

Select the Select only negative locations? program option.

Last physical count date

Selects items:

  • That are due to be counted based on cycle count frequency: Cycle date > (Last count date + Count frequency)

 

Select the Select items due to the counted? program option.

  • Not counted since the cutoff date you enter: Cutoff date < Last count date

Select a date for the Select items not counted since program option.

Current usage

Calculates a usage percent for each item: Quantity on hand / Usage history for the number of months that you enter

Enter a number of months or periods for the Select month/period of usage history program option.

Selects items whose calculated percent is less than the usage percent that you specify: (Quantity on hand / Total units used) x 100

Enter a usage percent for the Select mfg usage percentage rate program option.

Planner code

Selects items planned by a specific planner or a range of planners.

For the Planner Selection option, select a planner or range of planners.

OR

Click List, select Planner, and enter planner codes.

Include controlled items

  • Selects items that are controlled by serial or lot numbers along with non-controlled items.

  • Selects only items that are controlled by serial or lot numbers.

Enter I for the I=Incl, E=Excl, O=Only controlled items program option.

Enter O for the I=Incl, E=Excl, O=Only controlled items program option.

Exclude controlled items

Does not select items that are controlled by serial or lot numbers.

Enter E for the I=Incl, E=Excl, O=Only controlled items program option.

Sample size

Limits the number of items to be counted.

Enter a number for the Select max no of items to be selected program option.

Exclude by item status

Does not select items that have selected statuses.

Select individual statuses for Exclude item status.

Book Printing

An inventory book is a tool for gathering and recording the physical count. It can be used as a turn-around document for the warehouse. You can write actual on-hand quantities in the spaces provided, and you can use the completed report as a source document for the Physical Count Entry (HCE) program.

The full physical inventory book includes all inventory items selected by Cycle Count Preparation program. During the printing of the full book, the program sequentially assigns line numbers to the items as they are printed. However, you have the option of selecting other Sort options, in which case the book prints in that sequence.

An inventory book includes this information for each item selected:

  • Cycle number

  • Annual if you selected the Annual physical inventory cycle? field

  • Branch

  • Requested by

  • Line number

  • Warehouse and bin location: if the item is warehouse/bin controlled or if you have entered locations in the Primary whse and Primary bin loc fields of the Branch Item Maintenance (IMB) program

  • ABC class

  • Item number

  • Control number: serial or lot numbers for a controlled item

  • Item description

  • Space to record the quantity on-hand count

  • Space for remarks

  • Blank line

  • Stocking unit of measure

  • Total number of items to be counted

After you print a full book, if necessary, you can print a partial book for selected lines or for specified warehouses.

Tags

You can use pre-printed tags or print them with this program.

  • If you purchased pre-printed, pre-numbered forms to record counts, you can assign more than one tag per item. You can use a tag for each bin location or lot number. You write on-hand quantities in the spaces provided and then enter counts in the Alternate Physical Count Entry (HAE) program. The program totals the counts for the item for you.

    You must click Book/Tag to print either an inventory book or set of tags before you can enter counts. You do not have to print a physical copy. You can print the book or tags to a spool device.

  • If you print tags, the full set includes one tag for each inventory item that you selected for the cycle. Tags print in tag number order unless you select another Sort option.

If you print tags, each includes this information for an item:

  • Tag number printed and in barcode format if your printer supports barcodes

  • Item number print and in barcode format if your printer supports barcodes

  • Control number if the item is serial or lot controlled

  • Spaces to write quantities in and out between the time you created the cycle and record the count

  • Cycle number

  • Login date

  • Branch

  • Item description

  • Stocking unit of measure

  • Warehouse and bin location: if the item is warehouse/bin controlled or if you have entered locations in the Primary whse and Primary bin loc fields of the Branch Item Maintenance (IMB) program

  • A space to record the quantity on hand count

  • A space to write the date

  • A space to write the counter's initials

After you print a full set of tags, you can print a partial set of tags for a range of tag numbers or for a specified warehouse.

Controlled Cycle

The cycle count process allows you to assign a range of tag numbers to be used to complete a cycle count.

If you select the Use controlled tag assignment? option, a range of tag numbers can be assigned for the cycle count batch. Use the Tag assignment button to enter the beginning and ending tag numbers along with the general location where the physical inventory tags will be distributed. Numeric tag numbers are zero filled. Numbers with an alpha prefix or suffix will be zero filled if the beginning number entered starts with a 0. The tag status can be changed as needed.