Performing regular audits is essential to managing your inventory and ensuring your physical inventory quantities in store match the quantities in Green Bits and the state traceability system.
The Inventory Audits tool in Green Bits is designed to make this process easier and less time-consuming. The goal of this article is to provide an overview of how the audit tool works, as well as tips and best practices.
Portions of the inventory auditing process are covered in greater depth at the links below:
How it works
Auditing inventory in Green Bits involves recording your physical inventory quantities in a text file or spreadsheet, then uploading the file in Back Office. Green Bits counts the inventory in your uploaded file and compares it against the quantities in Green Bits.
There are many possible ways to count and record your physical quantities, but the most common and recommended way is to use your Socket Mobile barcode scanner, scanning each individual unit into Google Docs.
If any discrepancies are found between your counted quantities and your digital quantities, the audit tool can bulk update your digital quantities to match your physical quantities so you don't have to go through and adjust SKU-by-SKU.
If you need to investigate a discrepancy further, you can save the audit and come back to it later, or exclude specific items from the audit and proceed with the rest of your items.
Things to keep in mind
- Weight-based items and unit-based items should be audited separately.
- Don't attempt to audit your entire inventory all at once. Break it up into smaller audits by product type and/or by vendor. This makes it easier to audit inventory while your store is open for business.
- Stop sales of the items you're auditing until you've finished counting. Once you've completed your count, you can resume sales even if you don't have time confirm and submit the audit right away. The audit tool has a feature to automatically account for any sales that happened between completing the count and finalizing the audit.
- The audit tool only works with files formatted as .txt (for unit-based inventory using your barcode scanner) or .csv (for weight-based inventory and hand counts).
- Because inventory must be audited by product type and/or vendor, and there are separate processes for auditing weight-based inventory versus unit-based inventory, it's best to keep each product's unit of measure consistent within a product type. For instance, categorize weight-based flower and pre-pack flower under separate product types, and use the convert tool to move weight-based inventory into units where appropriate.
- Although the suggested process we'll outline involves the Socket Mobile scanner paired to an iPad running Google Docs, you may alternatively use other types of devices (laptops and desktop computers, USB scanners) and other software (Word, Excel, TextEdit, etc.)
Develop a regular auditing schedule
Auditing inventory can be a daunting process, especially in a busy dispensary with thousands of items.
Though auditing inventory may seem important than keeping up with day-to-day operations, regular, consistent, and thorough audits will save you time and effort (and therefore, money) in the long run, and can prevent small discrepancies from becoming much larger and more complicated compliance headaches down the road.
We recommend developing and sticking to a consistent schedule of auditing one or two product types each day, preferably just before or shortly after opening, or toward the end of the business day when it's less busy.
It can also help to strategically audit product types with less inventory on busier days of the week, and product types with more inventory on slower days (if you have them!). For example:
- Monday - pre-pack flower and pre-rolls
- Tuesday - bulk flower
- Wednesday - concentrates and cartridges
- Thursday - edibles
- Friday - topicals
- Saturday - extracts
- Sunday - paraphernalia and other merchandise
Schedule your audits in Green Bits
The first step is creating and scheduling audits in Back Office.
Go to Inventory > Inventory Audits > + Add Inventory Audit.
Select a Vendor and/or Product Type for your audit. Remember, you must specify one or the other. Where appropriate, specify a Vendor and a Product Type.
Enter your Expected Completion Date. This is the date and time you plan to conduct the audit. This can be changed later.
Save the audit and come back to it when you're ready to start counting.
From this point, the process will be different depending on what type of inventory you'll be auditing: