Team,
As part of month-end Inventory reconciliation process, we are facing the following scenarios, and would want your guidance on how to approach it…
Scenario #1 : ERP Stock is more than Actual Physical stock at warehouse
Reason: Some stock issues or sales not captured in ERP
Reconciliation approach: Create a new stock issue (which got missed out in ERP) with Backdated date
Scenario #2 : ERP Stock is less than the actual physical stock at warehouse
Reason: Incorrect UoM selected (e.g. 200Kg instead of 200g) by mistake during stock issue (or) Incorrect Data capture in ERP (e.g. 200 stock issued in ERP whereas in reality only 100 was transferred)
Reconciliation Approach: Cancel the incorrect stock entry ? Unfortunately, when we do that, we are not able to cancel it, as the stock issued incorrectly was consumed incorrectly out of the transferred warehouse
Request guidance on how to handle the reconciliation both from Stock and Accounting perspective
Thanks,
Saravana