Counting your entire inventory once a year is the standard approach, but it isn’t always the right one. Business Central includes a Physical Inventory Counting per period feature that lets you count selected items on a recurring schedule instead of all at once. This article explains how the functionality works and how to set it up.
To use period-based counting, you assign a Counting period code on the item card or the Stockkeeping Unit card. This code controls when each item is due for its next count. The system tracks the next counting period start date automatically and updates it after each posted count.
You run period-based counts from the Physical Inventory Journal using the Calculate Counting Period function, rather than the Calculate Inventory function used for annual counts. The function only shows items that are due for counting on the current working date.
After you post a count, Business Central updates the next counting period start date for each item. The counted items disappear from the calculation until their next period begins, so you don’t accidentally count them again too soon.
Setting up the Counting period code on the item card
Before you can use period-based counting, you need to define a Counting period code on the item card or the Stockkeeping Unit card. This code determines the next counting interval for the item. Once it’s in place, that item becomes eligible for period-based counting in the journal.
Calculating the count in the Physical Inventory Journal
You do the actual counting in the Physical Inventory Journal. Inside the journal, you have two different strategies to choose from:
- Calculate Inventory is the strategy you use for normal annual countings.
- Calculate Counting Period is the strategy you use to count per period.
When you run Calculate Counting Period, the journal automatically displays the items that are available for this type of counting. You can select one or more of them. For each item, you can see the counting period it belongs to.
Be aware that this is sensitive to the working date in the system. When you do the counting and post it, the items won’t appear again until after the end of their current period. For example, an item counted now won’t show up again until after December this year.
Printing the counting list for the warehouse
Once you confirm the calculation, Business Central provides a document number automatically. You can change the posting date or leave it as it is. The journal is then ready with the calculated quantity displayed, so you can enter the counted physical quantity.
Unlike a normal annual counting, you can print this list directly. You can print it with or without Serial or Lot Numbers, and with or without expected quantities. This printed list is the signal for your warehouse staff to go out and do the actual count.
Posting differences and updating the next counting period
When the warehouse reports back, you enter the counted quantities. If there’s a difference, for example a calculated quantity of 84 against an actual count of 87, Business Central enters the quantity as a positive or negative adjustment, just as it does with annual counts.
When you post the journal, the system automatically updates the next counting period for each item. If you try to calculate the counting period again straight after posting, the items no longer appear. They only come back into the journal once their next period begins, after December this year in this example.
You can verify this on the Stockkeeping Unit card. After posting, the next counting period start date is updated for every item you counted.
Q&A
How do I count inventory per period instead of once a year in Business Central?
Assign a Counting period code on the item card or Stockkeeping Unit card, then use the Calculate Counting Period strategy in the Physical Inventory Journal. The journal shows only the items that are due for counting based on the current working date.
What is the difference between Calculate Inventory and Calculate Counting Period?
Calculate Inventory is used for normal annual countings of your full stock. Calculate Counting Period is used to count only the items that are due in the current period, based on the Counting period code on each item.
Does Business Central update the next count date automatically after posting?
Yes. When you post the Physical Inventory Journal, the system automatically updates the next counting period start date on the Stockkeeping Unit card for each counted item. The items won’t reappear in the journal until their next period begins.
Can I print the counting list for warehouse staff?
Yes. With period-based counting you can print the calculated list, optionally including Serial or Lot Numbers and expected quantities. This gives your warehouse staff a list to use for the physical count.
Why is the working date important for period-based counting?
The Calculate Counting Period function is sensitive to the working date. It only shows items due for counting on that date, and once you post a count, the items won’t appear again until after the end of their current counting period.