Inventory Process

Once we are contacted for an inventory, Darrel Harbin, President, will provide an estimate based on the dollar amount of the parts inventory that is on the inventory control system, the manufacturers makes as well as the size of the business and number of assistants needed.

Upon confirming the parts inventory, we arrive early to set up the count sheets in each parts bin and run pre-inventory reports. We discuss the strategies for performing the physical inventory with the parts manager.

Typically on a Saturday or Sunday, we perform the physical inventory with count crews divided into pairs, one counting the parts, the other writing the quantities on pre-printed count sheets. We are also experienced with using ADP's physical inventory scanning process.

After each bin is completed, we have a verifier pick up sheets and check to see that the count was completed correctly. The counts are then posted to the system and verified again if discrepancies exist by performing a line by line recount of all variances.

A final variance report is reviewed by our company and the parts manager, and, again, the counts are checked for accuracy.

Post-inventory reports are run, bin location changes are made in the computer, and pricing is completed for part number changes, damaged, non-saleable, discontinued, and obsolete parts.

We then compile the results of all of the reports in data binders and Darrel enters the amounts into a custom-built program in Microsoft Office Excel.

He analyzes the data and prepares a report of his recommendations. Typically, by Tuesday, Darrel will be ready to present his findings to management.

A presentation time is agreed upon and Darrel explains in detail, line by line, each amount, how it affects the parts department, and what steps are needed to make improvements.

Our company is ready to improve your dealership as well, so please give us a call and see how we can give expert results for your business.