What is Stock Adjustment?
Stock Adjustment
Correcting the numbers in book inventory to match the actual items counted.
What it means
Inventory adjustment is a record of adjusting book inventory to the actual quantity when the inventory in book inventory and the actual counted quantity are different. Rather than deleting or modifying the previous record, a new line called “Adjustment” is added with a reason.
If you just guess the numbers without knowing the reason, the same thing will happen again. First find out why it is out of alignment and then adjust it.
At the pen factory
After finding out the reason on the 14th day, the black refill in the defective warehouse is reduced by 40 pieces due to the reason that "borrowed materials were missing from return." Only then does book inventory and warehouse become the same.
Why it matters
If the book inventory is different from the actual product, all plans and orders based on the book inventory will be incorrect. Reconciliation is the final step in making book inventory reliable again.
Related terms
- ConsistencyThe total value of all records, the inventory on the screen, and the actual items in the warehouse match each other.
- Stock ledgerBook inventory is organized by adding up what came in and what went out for each item during the period.
- Misc. receipts/issuesThe act of adding or removing inventory for reasons other than ordering, production, or shipment.
- Period closingClosing the record of a period.