1. Physical Inventory

1.1. Prerequisties for Physical Inventory
Before entering transactions, the following must be setup in Manex.

After activation, "Physical Inventory" access for each user must be setup in the ManEx System Security module.  Users with “Supervisor Rights” will automatically have access.
 

 

Warehouse Setup Each warehouse must be setup in Warehouse Setup .
Inventory Part Classes  Each Part Class must be set up in Inventory Part Class setup.
Inventory Handling  Inventory Handling G/L Defaults must be setup in the Inventory Handling GL Defaults setup and Reason Codes must be set up in the Inventory Handling Reason Codes  setup. 
Inventory Defaults  The accounting defaults for Inventory must be set up in Accounting Setup .
Inventory Master Each part to be counted must be set up in the Inventory Control Management module. 
Inventory Setup     The Inventory Adjustment Account default must be setup in Accounting Setup .

 

                  

1.2. Introduction for Physical Inventory

 

The Physical Inventory module is to manage the physical inventory count.  The user has the choice of using count tags or a count worksheet. The inventory is physically counted and then input into the system. More than one user may input into the system at a time.  Note:  The users must exit and re-enter the screen to refresh if an action was done on another work station.  Only one user may post.   IMPORTANT NOTE:  DO NOT MOVE ANY MATERIAL WHILE THE COUNT IS TAKING PLACE.  Once the count is input into the system, the system provides for a reconciliation between the Inventory Master and the physical count.  If the count is different than the record, the user is prompted whether to accept the difference or to recount and re-enter. If the count equals the Inventory Master, there is no adjustment required and the number counted will drop off of the reconciliation list.  Once the reconciliation is completed, the user may print out a reconciliation report.  Then, after reviewing, the user may update the quantity on hand in the Inventory Master.  Note:  This takes a high level password or special rights as assigned in Security.  Once this is done, the accounting journal entries will update automatically, if the MANEX accounting module is used.

1.3. Fields & Definitions for Physical Inventory
1.3.1. The Setup Tab

Setup tab field definitions

Inventory Type

The type of Inventory, either Internal, Consigned or Instores.

Customer

If the Inventory Type is Consigned, the Customer name will display in this field.

  
Supplier

If the Inventory Type is Instore, the Supplier name will display in this field 

  

Date/Time Started

The date and time (24 hour clock) when the Inventory was originally started. 
Status

The status of the physical inventory, either In Process, Completed or Cancelled. 
Inventory Type

The radial selected will display either Internal, Consigned or Instores only. 
Part Number Range The range or internal part numbers selected for counting.

Warehouses

Available

The name of any available warehouses selected for counting.
Selected

The name of the warehouses that were actually selected for counting.

Part Classes

Available

The part classifications which were available for counting.
Selected

The part classifications that were actually selected for counting.

 

Depressing this button will start a new Physical Inventory.

 

1.3.2. The Count Tab

Depressing on the Count Tab brings up the following screen:

 

Count Screen Fields

Inventory Type

The type of Inventory, either Internal, Consigned or Instores.
Supplier/Customer

If the Inventory Type is Instore, the Supplier name will display in this field.If the Inventory Type is Consigned, the Customer name will display in this field.
Date/Time Started

The date and time (24 hour clock) when the Inventory was originally started.
Status

The status of the physical inventory, either In Process, Completed or Cancelled.

For the part number highlighted:

Warehouse

The warehouse location for the part to be counted.
Location

The warehouse location for the part to be counted.
Part Source

The Make/Buy/Consigned/In Store type for the part to be counted.
UOM The Unit of Measure to be counted.  Same as stocking unit.
Class

The classification of the part.
Type

The type within the classification to which the part belongs.
Description

The description of the part.
Manufacturer’s Part No

The number used by the manufacturer to identify the part.
Tag No. If you have already printed Physical Inventory Tags, the Tag Number will appear in the Tag Number column. (Unless you numbered them manually, as described above.)I  f you have not printed tags, the Tag Number column will be blank.
Part Mfgr The Manufacturer for the part to be counted.
Part Number

The Internal Part Number that has been assigned to the item to be counted.
Lot Reference

If the part type has been designated as requiring lot tracking, then the lot tracking reference number appears.
Rev

The part number revision for the item.  An item may exist under multiple revisions.
Count The physical count quantity of the item observed during Physical Inventorying.
Init

The initials of the individual who performed the Physical Inventory.
Date

The date that the inventory was counted.The date will default to the current date, but may be over-written.

  This button is used to post the Inventory Adjustments.This is used after the inventory has been reconciled and the Physical Inventory Detail Report has been printed and reviewed.  This button will update the Inventory Master for the quantity on hand.  Note:   this action requires a supervisor’s password or specific "Post Inventory Adjustments" authorization in the Security module. 

1.4. How To ..... for Physical Inventory
1.4.1. Setup a Physical Inventory

Enter the SQLMANEX.EXE (within the ManEx root directory)
This action will then prompt the user for a password

The following screen will be displayed, select Inventory Management/Inventory Control Management/Physical Inventory Module

  

The following screen will be displayed:

Depress the Add record action button. Type in your password. The following warning will appear:

Depress Ok and the following options screen will appear:

Selecting “Yes” will allow the user to manually number the inventory tags, item by item.

Selecting “No” causes the system to automatically number the tags.

Please refer to the Tags and Work Sheets instructions.

The following screen will appear:

Select the Inventory type by clicking on the appropriate radial.  Select from Internal, Consigned or In Store Inventory. Internal inventory represents user-owned inventory.  Consigned inventory is owned by the user’s Customer.  In Stores inventory is owned by the Supplier.

In-Store purchasing overview:  In-Store is the situation where the Supplier has placed raw materials in the user’s warehouse.  The raw materials still are owned by the Supplier.  When the user is ready to use the Supplier’s raw materials, he/she issues an In-Store Purchase Order.  For In-Store POs, the user may select by Supplier or by Part Number.  Then the user may find records according to the selection.  Once found, the user may create a PO for the In-Store Consumption.  In-Store Purchasing also includes receiving.

If you select the Inventory Type to be Consigned, a list of customers will appear:

Select the Customer.

If you select In store Inventory, a list of Suppliers will appear:

Select the supplier.

Select the warehouses to be counted by highlighting a warehouse and depressing the > button.  If you want to count all warehouses, depress the >> button.

To select part number range, enter the starting part number and the ending part number.

To select the part classes, highlight the class desired and depress the > button.  For all of the part classes, depress the >> button.

A view of the screen would be as follows:

Depress the button to Start New Physical Inventory. A message will appear on the screen:

Depress the OK button.  Information is transfered to the Count Tab.

Important Caution:  The user must finish the Physical Inventory completely before the system is enhanced.
 
 
 
 
 
1.4.2. Finding a Physical Inventory

Enter the SQLMANEX.EXE (within the ManEx root directory)
This action will then prompt the user for a password

The following screen will be displayed, select Inventory Management/Inventory Control Management/Physical Inventory Module

  

The following screen will be displayed:

Depress the Find action button. The following screen will be displayed:

Decide upon the Inventory Type that you want to find.  Select from Internal Only, Consigned Only or Instores Only by clicking on the appropriate radio.

Then choose the appropriate filter, either In Process, Completed, Cancelled or All by clicking on the appropriate radio.  Depress the Display List button once the selections are made.  The information at the bottom of the screen will display Date/Time Started, Inventory Type and Status.

If you select Consigned, you’ll be prompted for the Customer name.  If you select Instores, you will be prompted for the Supplier name.

Once you’ve found the Inventory you’re seeking, the information will populate the Count tab screen, as follows:

1.4.3. Record a Physical Count

Find an In-Process Physical Inventory.  The following information will appear in the Count tab screen.

Depress the Edit action button.  Type in your password.

To sort by warehouse, depress the Warehouse button.  To sort by Class, depress the Class button.  To sort by part source, depress the Part Source button.  You will also be able to sort by tag number or part number by depressing on the heading.

Enter the final count from the tag or the worksheet.  The system will capture the initials from your password.  The system will enter the date.
 
All warehouses and location will be listed for the internal part pulled forward for a count, with the exception of quantities that are in WO-WIP, these quantities are not included in the Physical Inventory.  At this time user may move parts from one warehouse/location to another if needed by entering the count that resides in that location/warehouse.   User are not allowed to add new items to the PI inventory listing, due to the fact that the count could phycially already be in process. If we allow you to keep adding and deleteing records from the count it might cause issues for what is already in process.
 
Also, ManEx does not allow user to edit a lot code for inventory items once they have been accepted into the system. ManEx does not allow you to change the Lot Code information anywhere within the system once received. Once in the system we have to maintain that lot code with those records through out the system, to have good Lot Control.
 
Depress the Save action button.

The screen would appear as follows:

1.4.4. Reconcile the Physical Count

When the recording is complete, depress the  Reconcile button (as highlighted below).  Enter your password. This will reconcile the inventory.

If the inventory count does not match the system on hand quantity, the following screen will appear:

If you want to update the records for the counted quantity, depress the Yes button.  Type in the reason in the Reason box.

If you want to skip over the record, depress the Next Item button.  Note, however, that you can’t update the quantity on hand until all of the inventory items are reconciled.

Once all of the counts are reconciled, the detail will disappear from the screen.

1.4.5. Update the Inventory Master for Inventory on Hand

Once you’ve reconciled the inventory and printed and reviewed the Physical Inventory Detail Report, you may update the Inventory Master for the Inventory on hand.

Depress the Count tab.  Depress the Post Inventory Adjustments button.  Note:  this action requires a supervisor’s password or specific "Post Inventory Adjustments" authorization in the Security  module.

All of the reconciled count numbers will update the quantity on hand in the Inventory Master.  The status will change to Posted.  The following message will appear:

Additionally, the requisite journal entries for any variances will forward into the accounting module.

Note that journal entries will not be created in the following circumstances:  Consigned stock or In Store additions.

1.5. Physical Inventory - FAQ
1.5.1. When Processing Physical Inventory is there one large GL Transaction or many individual ones?

Q5:  Physical inventory:  What GL #’s will be used and will it hit as one huge Transaction or individual Transactions?

A5:  Below you can see the Inventory Default Account Setup Screen.  And I have highlighted the GL account for Inventory Adjustments.


Then I had the following parts in the system as follows:

                                    Before the Physical Inventory       Adjusted To via Physical Inventory         

101-0001688            100 On Hand @ 0.67                      120

101-0001689            200 @1.321                                      150

101-0001690            0 @ 0.47                                            100

101-0001691            0 @ 0.874                                          100

101-0001692            0 @ 2.11                                            100

Since the 1st, 3rd, 4th and 5th records were actually increasing the qty on hand they all were included into the Transaction # 2124 shown below.  So yes they are grouped into one larger transaction #, but they are displayed in sub categories within the Individual Transaction Inquiry reports as shown below for easier reference.

Since the 2nd records was reducing qty out of stock it generated an inventory issue transaction # 2125 shown below.