annual physical inventory procedures · physical inventory document number(s), please refer to the...

Annual Physical Inventory Procedures

This document is located in ERC

Go to ERC / Help – Open Online Help

Scroll down on the help page and you will find the annual

inventory instructions under Inventory Management

Location of this Reference Document

Count documents will be created for you on October 9.

Count documents will only contain materials with on-hand quantity as of

the date of creation.

Counts should be entered and posted beginning October 10 and ending

October 24.

Differences will be recorded immediately once count sheets are posted.

Departmental approval is required to post item variances greater than

$5,000

YOU’RE NOT FINISHED UNTIL YOU POST!

Important Facts

Physical Inventory Transactions

The following SAP Express transactions are used during the

annual physical inventory process:

• Print Count Sheets (MI21) • Enter Counts (MI04)• Manage Count Differences (MI20)

Steps for Completing Annual Physical Inventory

Step 1 Print Physical Inventory Documents (Print Count Sheets)

Step 2 Count Physical Inventory and Enter Count Quantity (Enter Counts)

Step 3 Review Differences Between Entered Count and Book Count

(Manage Count Differences)

Print Count Sheets

1. Enter the Physical Inventory Documentnumber. To locate your Physical Inventory Document number(s), please refer to the spreadsheet that was emailed to the storage location contact:

2. Click Execute .

Print Count Sheets

Click Print Preview to display in PDF format. From this screen you may Print or Save the count sheets.



Step 2 Count Physical Inventory and Enter Count Quantity (Enter

Counts)



Enter Counts

1. Enter the Physical Inventory Documentnumber. This was provided via E-mail and should also be printed on the top of your count sheet:

2. Click the Pencil icon .

Enter Counts

3. The Enter Inventory Count screen displays. Enter the Quantity for each item with a count greater than zero.

4. You cannot enter a quantity of 0. You must leave the quantity blank and check the ZC (zero count) box.

5. Note: To navigate between pages of the count document, Use the previous page and next page buttons at the top. Be sure to page down until counts are entered for all items.

6. When paging, If any of your materials have been set to a special status, such as slow moving, a warning will appear at the bottom of the screen. Hit enter (potentially multiple times) and you will be able to proceed.

Example Warning Message

Enter Counts

7. Click Save . You may

need to hit enter again if

warning messages appear.

8. Once you have finished

confirming the warning

messages and Save, you

should receive a message

that the count has been

entered.

9. If you have material physically

on-hand that is not listed on

the count sheet, email

[email protected]

and he will create a physical

inventory document for the

missing items.

Confirmation Message:

mailto:[email protected]



Step 2 Count Physical Inventory and Enter Count Quantity (Enter Counts)



Manage Count Differences

1. Enter the Physical Inventory Documentnumber.

2. Click Execute .


3. To facilitate posting, click the Difference amt. column header then click Sort Ascending to sort the difference amounts.

4. Check-mark all of the items for which you want to post the variance.

5. Click the Post Difference button to confirm the posting.


6. Click Save to Post the differences.

7. If any of the items were in a special status, such as slow moving, you will receive a warning message. Hit enter to get past the warning message.

7. If you attempted to post any items that were greater than $5,000, you will receive a warning message that the Difference amount of some items is too high. If this occurs, you can hit enter to get past the warning message and post the items that are less than $5,000. For the items that are greater than $5,000, you will need to contact the appropriate approver for your area. A list of users who can approve transactions greater than $5,000 is on the next slide.

8. Once you have finished confirming the warning messages, you should receive a message that the count has been entered.

Approvers for Transactions Greater than $5000

Approval of Inventory Differences over $5,000

The Manage Count Differences transaction is also used by approvers for

amounts over $5000:

To approve an item: check-mark all items for which you want to post the

variance and click Post Difference.

To disapprove an item: remove the check mark by clicking on the check-box.

Post the differences of approved items and exit the document. Then contact

the employee who requested your approval noting the relevant Inventory

Document number and material item number, instructing the employee to do a

recount for that item.

Be sure to scroll through all pages (if more than one)

Once completed, and you have approved at least one item in the document,

click the Save button. Doing so will charge or credit* the dollar difference for

the items you approved against the appropriate high-level cost center in your

department - typically at a VP or AVP cost center level.

BW Annual Inventory Report

1. Storage location owners will receive a daily email to track their

progress. The email contains the percentage complete as well as the

total price difference that was posted.


2. This information is also available in BW under the Inventory Turns tab.

There are three reports that are listed:

Annual Inventory Report – Plant

Annual Inventory Report – SLoc

Annual Inventory Report – Material


1. Annual Inventory Report – Plant: This report contains the percentage

complete and difference amount at the plant level.

2. Annual Inventory Report – SLoc: This report contains the percentage

complete and difference amount at the storage location level.

3. Annual Inventory Report – Material: This report contains detail

information at the material level. This report can be used to identify

materials that have not been counted or posted.

If you have any questions during the inventory period

(Oct. 10-24), please contact:

Sourcing:

Matt Dibbern (Diesel Fuel) 757-668-1613

Scott Feldman (Rail/Ties) 757-668-1607

Aaron Bondurant(Track Material) 757-668-1608

Other Departments:

Stephanie Key (MECH) 540-524-3101

Mike Hartung (MECH) 540-524-3100

Randy Bowman (ENGR) 404-529-1480

Phil Johnson (C&S) 404-582-6957

Accounting:

877-888-8489 (Option 5)

Need Help?