Cycle Count - Automation

Automation

To conduct efficient and accurate cycle counts, many organizations use some form of software to implement an inventory control system, which is part of a warehouse management system. These systems may include mobile computers with integrated barcode scanners that allow the operator to automatically identify items, and enter inventory counts via keypad. The software then transmits data to a database on a host system which can generate inventory reports. Based on user defined criteria, the software will select a number of items to count at specific locations for the specified period of time. Ideally, these selections are daily but many companies choose to generate cycle count items weekly. Many companies perform "mini" physical inventories and call it cycle counts. Instead of using random or system generated part numbers at specific locations to count, they selectively choose specific locations and count everything in those locations. As part of their procedures they rotate through out the plant with the intention of counting every location a minimum of once each year. This is an effective alternative to true cycle counting where a company may not have the sophistication to utilize cycle counting software.