Inventory / Stock Take

Content

• Physical inventory
• Why do we need to do physical inventory
• Inventory Preparation and Instructions
  • Preparation before Inventory
  • After Inventory
• Common Q&A
  • I want to do a stock take / Physical inventory
  • When is the next inventory?
  • The submitted inventory result was incorrect, where can I change this?

Related articles

• What is the replacement fee?
• Discrepancy investigation

Physical Inventory

As a user of Volvo Packaging (V-EMB), your company is contractually required to conduct physical inventories (= stock takes) during inventory periods specified by Volvo Group Production Logistics (VGPL).

A physical inventory is manually counting all Volvo Packaging (V-EMB) at your facility. All Volvo packaging must be counted: filled, empty, and damaged.

Your company’s submitted Inventory document will update your stock levels of Volvo Packaging. Discrepancies of reported inventory verses system stock are investigated.

It is important that the inventory is counted and reported in LES on the same date.

Please note that VGPL has the right to physically attend at stock takes at your facility.

Why do we need to do physical inventories

As a user of Volvo Packaging (V-EMB), your company is contractually required to conduct physical inventories (= stock takes) during inventory periods specified by Volvo Group Production Logistics (VGPL).

A physical inventory is manually counting all Volvo Packaging (V-EMB) at your facility. All Volvo packaging must be counted: filled, empty, and damaged. Your company’s submitted Inventory document will update your stock levels of Volvo Packaging.

Discrepancies of reported inventory verses system stock are investigated. It is important that the inventory is counted and reported on the same date.

• Physical inventories help maintain accurate stock balances through investigation of stock discrepancies, discovery of stock accounting errors and corrective actions

• Physical inventories are necessary for optimal replenishment of packaging as accurate stock quantities are required to optimize packaging availability and determine the need for purchasing of new packaging.

• Physical inventories help protect Volvo Group assets through discovery and correction of stock accounting errors.

• Physical inventories are required by financial accounting rules and tax regulations to be able to place an accurate value on Volvo Group assets and to calculate losses.

Please note that VGPL has the right to physically attend at stock takes at your facility.

Inventory preparation and instruction

Preparations before Inventory

• Please note that if you have more than one Storage Location you need to count and register them separately.
• Make sure that all your outgoing deliveries have been registered in the LES Portal and that “Goods issue” is performed. Deliveries where Goods Issue is not performed before the inventory date will be deleted.
• Secure that no incorrect deliveries are booked on your packaging account. Deviations to be reported.
• You can find all deliveries in LES Portal “Transaction History”.

All Volvo Standard and Special packaging (V-EMB) must be counted and registered: 

• Empty packaging
• Filled packaging
• Surrounding packaging 
• Damaged packaging

IMPORTANT! 

Packaging must be physically counted and registered in Inventory document in the LES Portal on the same day.

• Packaging material to be registered in pieces.
• Plastic boxes 500 and 600 must be reported in pieces.
• All other plastic boxes shall be registered as KIT (box + lid).

In case not all packaging types can be found and registered in the given inventory document, please create a request on the Volvo Supply Chain Center.

All material types in the given inventory document must be filled in. For material that you don’t have in stock, you need to put in “0”

After Inventory:

• Your submitted inventory document updates your stock balance in LES

• Explanations of deviations may be requested by Balance Control.

• Your company may be invoiced for lost packaging if the discrepancy is not sufficiently explained.

If you have any questions, please create a request at Volvo Supply Chain Center , by placing a ticket here:

The general instruction for the packaging ticketing system can be found here: How to place a ticket?

Common Q&A

I want to do a stock take / Physical inventory

There are planned mandatory stock takes. You can find the yearly plan on the Supplier Portal - Yearly plan

Before doing the stock take there are some actions you can take: