9.12 causes of stock gains and losses

9.12

CAUSES OF STOCK

GAINS AND LOSSES

© Michael Allison, Trinity Grammar School. Author’s permission required for external use

Stock loss – when the physical stocktake reveals less stock on hand than is shown

by the stock cards. Causes:

9.12 CAUSES OF STOCK GAINS

AND LOSSES

Stock LossPhysical stocktake

47 units= <Stock Card

50 units

Undersupply by suppl iers – a suppl ier only del ivers 10 footbal ls when they were

meant to del iver 1 2 footbal ls

Oversupply to customers – a customer bought 2 footbal ls but s taf f put 3 in the

bag

Thef t – ei ther by customers or s taf f

Recording er rors – an er ror made in the S tock Card which overstates s tock

Stocktaking er rors – staf f incorrect ly counted the number of footbal ls in s tock and

do not count a l l s tock


Strategies for preventing stock loss…

Instal l security measures such as:

• Security cameras

• Security guards

• Security tags and sensors

Checking of staf f bags upon leaving

the premises.

Separation of dut ies – one staf f

member responsible for serving

customers, one for putting stock

through the register, one for

bagging goods etc.

Lockable display cabinets with

access restricted to management.


AND LOSSES


Stock gain – when the physical stocktake reveals more stock on hand than is

shown by the stock cards. Causes:

Stock GainPhysical stocktake

52 units= >Stock Card

50 units

Oversupply by suppliers – a supplier del ivers 20 pairs of boots when they

were only meant to del iver 15 pairs

Undersupply to customers – a customer buys 3 pairs of boots but walks

out of the store with only 2 pairs

Recording errors – an error made in the Stock Card which understates

stock

Stocktaking errors – staf f incorrect ly counted the number of pairs of

boots in stock and counting too many (e.g. double-counting)


AND LOSSES


TASK

In-class Homework

SQ18 X

SQ19 X

9.12 causes of stock gains and losses

Education