Oracle Inventory Cycle Counting Step by Step Process

Cycle counting is the periodic counting of individual items throughout the course of the year to ensure the accuracy of inventory quantities and values. Accurate system on-hand quantities are essential for managing supply and demand, maintaining high service levels, and planning production. Cycle count will be performed in two steps. Initially the Cycle Count should be created and then the created Cycle count has to be performed counting.

Cycle Count - Creation Choose the Organization for which the Cycle count has to be performed.

Navigate to cycle count.  Inventory > Counting > Cycle Counts

Click on New

Enter a unique name for the cycle count.

 Select the workday calendar to use for this cycle count.

Enter the general ledger account to charge for cycle count adjustments.

Select the scope and control tabbed region.

Enter the number of workdays that can pass after the date the count request was generated, before a scheduled count becomes a late count.

 Enter the sequence number to use as the starting number in the next count request generator. The count sequence number uniquely identifies a particular count and is used in ordering the cycle count listing.

 Select unscheduled Entries. This determines whether you can enter counts for items not scheduled to be counted (Unscheduled Entries).

 Select Display system Quantity. This determines whether to display system on-hand quantities during count entry.

Optionally, determine whether Inventory automatically assigns a status of Recount to out-of-tolerance counts and includes them in the next cycle count listing.

If you turn this option on, navigate to the Maximum field and enter the maximum number of times Inventory can generate an automatic recount request. Once this number is reached the adjustment must be approved or rejected.  Determine the sub inventories to include in the cycle count. Here it is ‘Accessory’ sub inventories

 

Click on Serial tabbed region.

 Select the count Option from the LOV.

Select the detail option as Quantity.

 Select the adjustment option as ‘Adjust if possible’.

 Select the discrepancy option as ‘Not allowed’. This option is to indicate whether an adjustment is attempted when a count includes a serial number already assigned to the same item elsewhere in the system.

 Select Auto Schedule. This determines whether to automatically schedule this cycle count.

 Select count Zero Quantity. This determines whether to automatically generate requests to count items with an on-hand quantity of zero.

Last Date: Inventory displays the last date this cycle count was automatically scheduled.

Next Date: Inventory displays the first workday for the next schedule interval when this cycle count is scheduled.

 Click on Adjustments tab.

Determine when approval is required for adjustments. Select ‘If out of Tolerance’

Qty Variance: Enter the percentage variances of count quantity to on-hand quantity beyond which adjustments are held for approval.

 In ABC initialization region enter the ABC group name on which to base the cycle count item initialization or update.

 In the Option: Choose None. Which means it will not change to the list of cycle count items.

 Save your work and Click on Classes button.

From the LOV in the fields select the classes.

Enter the number of counts to be performed for a year for each classes.

 Save your work (Ctrl+ S) and close the classes form.

 Come back to the cycle count form.

Update the ABC Initialization option to Reinitialize and Save the work.

A notification window appears notifing the concurrent request ID.

 Navigate to the request window to verify if the request has run successfully

Once verified go back to the Cycle Count Menu to verify if the count is Completed

Query the Cycle count name either by using the Torch Symbol or by F11, Ctrl+ F11.

Select the Adjustment tab and verify the status. Its completed.

 Close the form.

Go to Menu Tools and select Perform Full Cycle count.

From the list in the Tools menu Select ‘Perform Full Cycle count”

Generate automatic schedule requests

Drag the scroll bar to the right.

After entering the parameters drag the scroll bar to the right

Enable the Save Output check box.

Once all the Parameters and check box are enabled click on Submit.

Navigate to Request window and to find the request has performed successfully

 

  

Cycle Count- Perform (N) Inventory >Counting > Cycle Count Entries

From the LOV select the name of the cycle count for which to enter counts.

 This field automatically defaults to the current date, you can modify it if necessary.

 This field automatically defaults to the current user, you can modify it if necessary.

 Click on find.

 A decision window displays.

Click on Yes.

The Cycle Count Entry form opens. You can use the same window to enter counts of items.

Enter the name of the cycle count ‘_Cycle_Count’ for which to enter counts.

 Enter the date the cycle count was performed. This field automatically defaults to the current date, you can modify it if necessary.

 Enter the name of the employee who performed the cycle count. This field automatically defaults to the current user, you can modify it if necessary.

 Enter the general ledger account to which to charge adjustments from this cycle count. The default is the adjustment account you entered while defining your cycle count.

Go to Count tabbed region and drag the horizontal scroll bar in the window to the right.

Go to Adjustments region to view current Adjustment information

View information for UOM, primary and secondary count quantity, primary and secondary system quantity, variance quantity, variance value, and variance percentage.

This region is available only if you turned the Display System Quantity option on when you defined your cycle count header. The System Quantity field displays the quantity on hand, and the Variance Qty field displays the proposed adjustment quantity based on the actual count quantity you enter. If you choose not to display system quantities, you enter and save your counts not knowing whether you are generating any adjustments, and if so, whether the counts are out of tolerance.

Save your work after entering all the information notification message appears that Adjustments are processed.

Approve Counts

Approve Counts Use the Count Adjustment Approvals Summary window to approve cycle count adjustments held for approval, to recount an item, or to reject the adjustment. Inventory determines which counts need approval by using the approval tolerances you enter while defining your cycle count. Navigate to Approve Counts menu to approve or reject the counts.

(N) Inventory > Counting > Cycle counting > Approve counts

From the LOV select the name of the cycle count for which to approve or enter counts.

 Inventory provides default values for the Date, Approver, and the Adjustment Account that will be used when you later enter approval actions and adjustments.

 Click on Find.

A decision box will appear. You are prompted to either query all records or query only counts pending approval.

 Click on No to see all all the counts

Approve or reject the counts.

 Drag the scroll bar to right to verify the line information if needed.

 If the Adjustments are approved and saved, you will get a notification that the Adjustments are processed.