Dynamics 365 Business Central - Performing a Physical Inventory
In this video we will show you how to perform a physical inventory using the ‘Warehouse Physical Inventory Journal’ in Dynamics 365 Business Central. This video assumes you have a fully managed warehouse, where ‘directed put-away and pick’ is ticked on the location card.
Discover how to perform a physical inventory to check stock
You must take a physical inventory, that is, count the actual items on hand, to check if the quantity registered is the same as the physical quantity in stock at the end of a fiscal year, if not more often. If there are differences, you must post them to the item accounts before you do the inventory valuation.
Apart from the physical counting task, the complete process involves the following three tasks:
- Calculate the expected inventory.
- Print the report to be used when counting.
- Enter and post the actual counted inventory.
To do this, choose the search icon and enter ‘Warehouse Physical Inventory Journal’. Next choose ‘Process’ and ‘Calculate Inventory’. In the ‘Calculate Inventory’ window that opens, specify the conditions to use to create the journal lines, such as whether to include items that have a zero recorded inventory. You can also set filters to, for example, only show certain items, bins or locations. Choose the ‘OK’ button.
You may wish to print the ‘Warehouse Physical Inventory Journal’ using the ‘Print’ action under ‘Post/Print’ in the ribbon.
Once the physical inventory has been manually counted, enter the recorded amount into the ‘Quantity (Physical Inventory)’ column.
A quick and simple way to review this input is to sort on the quantity column. The quantity column is the difference between the calculated quantity and the entered quantity.
To register the count, choose ‘Process’ from the ribbon and then select ‘Register’.
This action will adjust the inventory quantity within the bins however to complete the count and update the inventory levels within your system, use the search bar to navigate to ‘Item Journals’. Select ‘Actions’, ‘Functions’ and then ‘Calculate Warehouse Adjustments’ in the ribbon. In the window that opens, select any filters you may wish to add and then click ‘Ok’.
Finally post the Item Journal and you’re done!