What to do when inventory does not match

Key takeaways

• For a discrepancy, verify item code, unit, and location, then review receipts, sales, and returns for the period.
• Do not force the system quantity to match until the cause is known; document the approved adjustment separately.
• Once the cause is known, document the physical quantity, old system balance, reason, and approver together. The adjustment date must not hide when the original error occurred.

pDaftar capabilities

• pDaftar provides reports and statistics based on recorded business activity.

Evidence before a decision

For a discrepancy, verify item code, unit, and location, then review receipts, sales, and returns for the period.

Have a second employee recount without seeing the first result to reduce anchoring on an expected number. They should verify item code, unit, and storage location from the beginning.

Finding the cause of a difference

Do not force the system quantity to match until the cause is known; document the approved adjustment separately.

Then review receipts, sales, returns, transfers, and spoilage entries in time order. If the difference equals one document quantity, that transaction becomes a strong investigation candidate.

Evidence required for an adjustment

Once the cause is known, document the physical quantity, old system balance, reason, and approver together. The adjustment date must not hide when the original error occurred.

Limitations

• A recount may still leave the cause unknown. Suspected theft, spoilage, or an accounting-policy issue requires investigation beyond a routine quantity adjustment.

Frequently asked questions

Should the system quantity be corrected immediately?

No. Recount the item and review its unit and period movements first; enter a separately documented adjustment only after confirming the cause.

Sources

1. pDaftar pricing — pDaftar
2. pDaftar features — pDaftar
3. Accounting Periods and Methods — Internal Revenue Service
4. IAS 2 Inventories — IFRS Foundation