Inventory physical count and FEFO

Physical count vs FEFO

Physical count confirms on-hand quantity against the book. FEFO (first-expiry-first-out) decides which lot leaves first when expiry dates matter. Count tells you how much; FEFO tells you which units move.

Operator sequence

Freeze movement for the count window when policy requires it, capture counts by location, post variance with a reason, then resume picks so FEFO resumes against corrected lots. Do not invent GRNs to hide variance.

Plate cost truth

Receiving (GRN) and count together keep plate cost honest. See why GRN makes plate cost true in the Knowledge Base for the purchasing side of the same story.

Related questions

• Does FEFO replace physical count?

  No. FEFO is a pick rule. Count still establishes quantity truth after shrinkage, spoilage, or missed posts.