The Upside of ERP for Inventory Cycle Counting

Cycle counts can be tedious, but are necessary to minimize inaccuracies, and down-time due to year end counts of all inventory. In manufacturing, maintaining accurate inventory is vital to profitability. Many businesses turn to ERP technology to help manage the inventory levels.  One method of managing inventory levels is to Cycle Count inventory.

Cycle counting means taking an inventory of your most used items once per quarter of year and year end. ABC Inventory Cycle Counting is one of the most used methods. In this process, inventory is sorted, typically by usage, with A items being cycled or counted more often and B and C items less often.

Modern ERP manufacturing software has specific technology designed to manage and automate cycle counting for real-time visibility of what’s in the warehouse and improved accuracy for purchasing. ERP helps identify what to count and when to count it.

An ERP system, for example, can automatically issue codes to inventory based on usage or shelf life. It can also prompt reordering, verify the availability of parts long before a job begins and issue reminders for manual count checks.

Verifying inventory, with manual counts done in batches as opposed to all at once, also means minimal disruption of production schedules, accelerated audits and year-end closings, and possible elimination of year-end counts.

Ultimately, using ERP to manage inventory means more real-time information to eliminate stock-outs as well as more time to grow the business. Are you interested in learning how ERP can help with your inventory management?  Contact Parallel Solutions today at 440-498-9920 or

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