Many of our customers prefer the continuous zero check stocktaking method. It is a fantastic supplement to standard stocktaking methods and, in some cases, can entirely replace the time-consumin, annual inventory processes. But what is zero stock check?
Stocktaking, also known as inventory control, is the process of verifying (counting) stock levels for specific items or groups of items. Unlike a full inventory where the entire stock is counted, stocktaking focuses on a smaller segment of the inventory and is often conducted more frequently. This can be done manually or with the help of digital technologies such as a Warehouse Management System (WMS) and barcode scanners. The primary goal of stocktaking or inventory control is to ensure that stock levels are accurate.
Historically, stocktaking was done (and in some cases, still is) with pen and paper lists, which carried a significant risk of human error. To mitigate this risk, more companies are turning to inventory and stocktaking systems to enhance accuracy during the process.
Detailed and efficient stocktaking with integrated solutions like barcode scanners. Makes it easy and quick to manage and track inventory levels at bulk, batch, and serial levels.
You gain valuable insights from real-time data about your inventory levels.
Your WMS integrates seamlessly with other system solutions and ERP systems.
There is no one-size-fits-all approach to inventory management; different businesses choose to conduct their stocktaking at varying intervals for a multitude of reasons. There are few absolute rights or wrongs. Let's explore several inventory methods that can either complement each other or serve as alternatives.
Annual Inventory
Often required for financial reporting, this method ensures that stock levels, gross profit margins, and pricing strategies are optimized.
Periodic Inventory
Conducted regularly—such as monthly, quarterly, or semi-annually—this method is essential for maintaining inventory accuracy and reducing errors and discrepancies over time.
Continuous Inventory (Zero Stock Check)
Sometimes called zero stock check, this method involves daily monitoring. Supported by barcodes and scanners for real-time control, it provides current information on stock levels, identifying issues immediately.
Wall-to-Wall, Zone, or Aisle Inventory
Similar to periodic inventory but focuses on specific zones within the warehouse instead of time intervals. A zone could be a designated storage area, an aisle, or the entire warehouse.
Spot Check
These are random, ad hoc checks of stock levels. This method helps companies identify and correct discrepancies, such as lost or stolen items, that might otherwise go unnoticed until the next periodic inventory.
Zero stock check is an effective process that takes place daily in your warehouse. By recording every time a picking location is emptied (reaches a zero balance) and confirming to update the system immediately, your company can quickly identify and minimize the risk of errors and discrepancies. This inventory method, also known as continuous inventory, ensures real-time control over all your stock levels.
Reduces the risk of miscounts (human error)
Quickly identifies discrepancies, often within a few seconds
Enables fast identification and resolution of potential process issues, leading to more efficient and reliable warehouse management
Can, in some cases, completely replace annual inventory, saving hundreds of hours and other resources
Optimizes picking routes and warehouse movements
Using a modern WMS like Bitlog WMS, you can effortlessly implement zero stock check as a primary inventory method or as a supplementary tool to ensure your stock levels are accurate. When a shelf location is empty, Bitlog WMS prompts you to confirm that you've taken the last item. If everything matches, you can easily confirm the location is empty and move on to the next item on your picking list.
If there is a discrepancy, you can immediately register it in Bitlog WMS. The system's preset rules then take over, determining the next steps based on your inventory process. For instance, you can create an stocktake (inventory) task for the item with the discrepancy, which you or a colleague can start at any time.
Additionally, you can set a rule that if a picking location is empty, a replenishment task is automatically created for that item, with priority based on factors such as demand.
Bitlog WMS supports all types of inventory methods, so whether you choose annual, quarterly, continuous, wall-to-wall, or any other process, the system has a solution tailored to your needs.