Documents Required for Stock Handling
When stock arrives at the retail store, it usually comes in a truck or container, which must be unloaded. Before starting the unloading process, the retail store manager must understand the stock’s characteristics.
A retailer should ensure that:
- The stock is sorted according to the store’s requirements.
- The stock is recorded following retail procedures.
- The stock is checked against the required documentation.
- Any difference between actual stock and ordered/invoiced stock is identified and reported.
- Documentation is completed per the retail store’s procedures.
- The store’s stock systems are appropriate for receiving and managing inventory.
- Goods are available when required.
- Goods are fit for use and ready for sale.
- The method used is cost-effective and reduces waste.
Documents Required for Stock Handling
The following documents are commonly used in stock handling:
(a) Delivery note
A delivery note comes with the goods at the time of delivery. It states what the supplier has delivered. Goods are checked against the delivery note to confirm accuracy.
(b) Invoice
An invoice is a legal document issued when goods are dispatched and delivered. It contains details such as quantity and type of goods and is used for billing the receiving party.
(c) Consignment note
Used when goods are sent via a private carrier. The consignment note lists the goods shipped and is issued by the carrier. It includes details like number of containers, boxes, or bags. These details may be cross verified with other delivery documents.
(d) Internal packing note
This note provides detailed information on the stock delivered. It lists outer packaging types (bags, boxes, cartons, etc.) and includes data like quantity, type, size, color, and specifications.
(e) Electronic data systems
Many retailers now use automated systems for receiving consignments. These systems minimize paperwork and allow for quick image verification and data transfer.
Key features include:
- Digital consignment notes as proof of delivery
- Barcoded consignment documents
- Barcoded delivery labels
Procedure for Checking Stock Levels
During stock level checks in the retail store, if any issues are found, the store operations assistant must inform the appropriate authority. Possible remedies include:
- Replacement: Defective or incorrect goods are exchanged for the correct items by the supplier.
- Credit: The supplier issues a credit note for the value of damaged or missing goods.
- Disposal: Unusable goods are safely discarded following store protocols.
- Selling off as seconds: Slightly damaged goods are sold at a reduced price as second-quality items.
- Repair and charge to supplier: The store fixes the damaged goods and bills the repair cost to the supplier.
- Return to supplier: Faulty or excess goods are sent back to the supplier for correction or refund.
Reporting Deviations
When a delivery is damaged or incorrect, a damage or shortage report must be prepared. It includes:
- The date damaged goods were received
- Details of any shortages during delivery
- Confirmation if goods failed to arrive on time