Physical Counting in Oracle Inventory

Counting is used to verify the System On hand Quantity with Actual (Physical Qty) Quantity of the item and perform the adjustments in System on-hand quantity.

These are two types of counting.

1. Physical Counting
2. Cycle Counting

Physical Counting:

It is used to verify the System On-hand Quantity and Actual Quantity of the item based on Sub inventory or Organization and perform the adjustments. Normally we will perform this counting yearly once or twice. During Physical Counting, the Total Inventory will freeze and can't do any Transactions.

Step 1: Define the item through get on-hand quantity

Here we are defining three items like

SB_ITEM1, SB_ITEM2, SB_ITEM3

Step 2: Define Sub inventories

We are creating a sub inventories like SB_FG

Step 3: Items should have on-hand quantity

Through miscellaneous receipt we can get the on-hand quantity.

Like

SB_ITEM1 = 100,

SB_ITEM2 = 100,

SB_ITEM3 = 100

Step 4: Define Physical Inventory

Navigation:  Inventory → Counting → Physical Inventory → Physical Inventories → New

Click on New, the below dialog box appears.

You add the Tolerance and Qty of your choice.

Click on Snapshot, system automatically generate concurrent program.

In above setup, Approvals can be setup in below three different ways:

Step 5: Generate Physical Inventory Tags

Navigation:  Counting → Physical Inventory → Tag Generation

Click on Generate.

Now the system will run “Generate physical inventory tags” concurrent program:

Step 6: Run “Physical Inventory Tag Listing” Report

Navigation: View → Request → Submit New Request → Single Request

Output of the report:

Step 7: Enter Physical(Actual) Quantity of the Item/Physical Inventory Tag counts

Navigation: Inventory → Counting → Physical Inventory → Tag Counts

Select the Physical Inventory Name and then Click on Find

Now u will get below window:

In the above you enter the quantity as 90, 50 and 10 for all three Items: SB_ITEM1, SB_ITEM2, SB_ITEM3.

Step 8: Approve the Adjustments

Navigation:  Inventory → Counting → Physical Counting → Approve Adjustments

Click on Find and Click on Yes, now you will get below window

Then u can select the Approve radio button against these 3 items and mention the approver.

Step 9: Performing the adjustments

Go to Physical inventory definition form query with our physical inventory

Navigation: Inventory → Counting → Physical Inventory → Physical Inventories

Click on "Launch Adjustments"

Now you will get below window:

Click on "Launch Adjustments"

Now system automatically generate concurrent program.

Select View →Request (Its Normal Below)

Step 10: Check out the On-hand quantity

Now go to inventory and select the on hand quantities for these 3 items as below.

Before we had 100 qty for each item after completing the physical counting we will get original qty of 90, 50 and 10 respectively.

You can also view from Inventory →Material Transaction, search for the item

This concludes Physical Counting.