Counting across branches: one standard, several teams

If every branch of a chain of shops or pharmacies counts stock in its own way, head office receives twelve reports that do not resemble each other. One counts expired goods, another does not; one adds the locked room, another forgets; a third closes its documents at night, a fourth in the morning. As a result the branches cannot be compared, and it is hard to say where the real problem lies. The solution is simple: one standard and a rota of teams.

What the single standard contains

The standard is an instruction of a page or two, the same for all branches. It sets out:

• the cut-off time and the rule for closing documents: the same hour and the same procedure in every branch;
• what is counted and what is recorded separately: damaged and expired goods, returns, display samples, goods in transit and goods belonging to third parties;
• the counting method: splitting into zones, count sheet, two-stage checking, scanner;
• product codes and names: taken from head office's catalogue and identical in every branch;
• the rule for rechecking differences: from what amount a difference is recounted;
• the report form: identical columns for all branches;
• responsibility: the duties of the branch manager, the team leader and the central coordinator.

Give the instruction to branch managers a week before the count and collect their questions: they often notice details head office cannot see, such as some goods being kept only in an inner room.

Teams and the work rota

There is no need to count all branches in one night, and often it is impossible. Usually one team goes round several branches in turn, and for branches in the regions travelling time is counted too. Team size is set by the size of the branch: more people go to a large one, and a reserve team is kept for illness and delays.

A hypothetical example: 12 branches, 3 teams, a 5-day rota. On day one a single pilot branch is counted; the leaders of all three teams are there, the standard is tried out in practice and any faults found go into the instruction. On days two, three and four each team counts one branch a day, nine in all. On day five the remaining two branches are counted.

Central control and comparing results

One coordinator follows the whole process. At the end of the day they receive a short progress note from each team: what was counted, what problems arose, where the standard was broken. Breaches (say a branch entered documents after the cut-off time) are identified at once, and if necessary the branch is counted again.

Results are gathered into one table, so the report form must be settled for everyone before the count. When comparing results, take the difference not in so'm but relative to the branch's turnover or stock, otherwise a large branch always looks worse. That way a ranking of branches can be made with one yardstick. Before blaming the branch with the worst figure, look at the cause separately: sometimes it is not poor work but a different product range or opening hours.

The role of branch staff

The branch manager prepares for the count: divides goods into zones, closes documents by the cut-off time, shows the team the places and signs the sheets. The counting itself is done by the team, not by branch staff: someone counting their own shelf is less likely to see the error. Branch staff answer questions and show where things are. Responsibility is thus shared: preparation in the branch, counting by the team, control at the centre.

Branches in the regions

For branches in the regions add travel and overnight time to the rota. Scanners, label printers and chargers have to go along, so the equipment is counted beforehand and sent with a spare set. Allowing for local bazaar days and holidays, fix the count day for the day when that branch is least busy. The phone numbers of the central coordinator and the regional branch manager are exchanged in advance.

Conclusion

In counting branches what matters is not speed but comparability: head office trusts the results only when every branch counts by the same rules. Inventory carries out fast counts in retail chains and pharmacies without interrupting operations and serves every region of Uzbekistan.