Performing a Physical Inventory

First you will want to go to the Physical Inventory module and select Clear Physical Inventory and choose the location.

This will remove any information in the file between now and any previous inventory. Press the Clear Physical button. A Confirm box will appear notifying you that this will clear the file.  Answer Yes, if you wish to perform a new inventory.  Another box will appear notifying you the Location has been Cleared. 

Next, you will want to run the Count Sheets.  Go to the Inventory Control module, under Reports, and click on Inventory Count Sheets.  Select the Location, and how you want to sort (Material Code or Bin), and other options if you select Bin (Beginning and Ending Bins) and then select vendors (All or a single) and choose your Stock Type.  Look this over so your parameters are correct.  Then print the report.

An optional report you may run is the Inventory Valuation Report, under Inventory Control reports for this Location.  This will give you a snapshot of the on hand quantities at the time the Physical Inventory began.

Prior to counting, discontinue issuing and receiving stock items for that Location.

After counting, enter the counts in Physical Inventory Entry, under the Physical Inventory module.  When entering the counts be sure to enter every line. Do not skip over a line if you want the total dollars to reflect the correct amount, especially for a complete location.

After entering the counts, run the Physical Inventory Variance Report, under the Physical Inventory module/Reports, to assess the inventory.

Finally, you may process the inventory by going into Process Physical Inventory under the Physical Inventory module.  Select how you want to process as there are 3 choices.

1. Manual Ledger Entry: With this process we ONLY UPDATE the ON HAND quantity in the Inventory Master File. You can take the Physical Inventory Variance Report and do a Manual General Ledger Entry into your Main Hospital Accounting System.

2. Process as Adjustment: With this process we will update the ON HAND in the Inventory Master File and write an off setting entry as an ADJUSTMENT to the Account Number you choose. This will write to your Budget files and show up on the Monthly Adjustment Journal.

3. Process as Issues: With this process we will update the ON HAND in the Inventory Master File and write an off setting entry as an ISSUE to the Account Number you choose. This will show up on the Monthly Issues Report.