Cycle Counting

Epicor Kinetic - Classic User Interface
Cycle and Physical Count Course

2021.2
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2021.2
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Cycle and Physical Count Course Contents
Contents
Cycle and Physical Count Course...........................................................................................5
Before You Begin....................................................................................................................6
Modules Licensing...........................................................................................................................................6
Audience.........................................................................................................................................................6
Prerequisites....................................................................................................................................................6
Environment Setup..........................................................................................................................................7
Workshop Constraints..............................................................................................................................8
Cycle and Physical Counting................................................................................................10
Application Setup.................................................................................................................12
ABC Code Maintenance.................................................................................................................................12
Workshop - Review Existing ABC Codes..................................................................................................13
Cascading Count Parameters.........................................................................................................................13
Calculate ABC Codes.....................................................................................................................................14
ABC Code Assignment...........................................................................................................................14
Stock Valuation Calculations...................................................................................................................15
Workshop - Calculate ABC Codes...........................................................................................................16
Count Discrepancy Reason Codes..................................................................................................................17
Workshop - Modify Discrepancy Reason Codes.......................................................................................17
Initialize Last Cycle Count Dates.....................................................................................................................18
Cycle and Physical Count Processing...................................................................................19
Cycle Counts versus Full Physical Inventory Counts.........................................................................................19
Cycle Count Period Definition........................................................................................................................19
Workshop - Define a Cycle Period...........................................................................................................20
Cycle Count Schedule Maintenance...............................................................................................................21
Perform Part Selection............................................................................................................................21
Workshop - Define a Cycle Schedule and Select Parts for Counting..................................................22
Workshop - Add Parts to Cycle Count Schedule...............................................................................23
Count Cycle Maintenance - Generate Tags....................................................................................................23
Workshop - Generate Count Tags...........................................................................................................24
Count Cycle Maintenance - Start Count Sequence.........................................................................................25
Workshop - Start Count Sequence..........................................................................................................25
Count Tag Entry.............................................................................................................................................26
Workshop - Count Tag Entry..................................................................................................................26
Print Reports..................................................................................................................................................27
Print Unreturned/Voided Tags Report......................................................................................................27
Count Variance Calculation/Report.........................................................................................................27
Workshop - Print Post-Count Reports......................................................................................................28
Perform Tag Maintenance..............................................................................................................................28
Generate Recount Tags...........................................................................................................................29
Void Blank Tags......................................................................................................................................29
Epicor Kinetic - Classic User Interface | 2021.2 3

Contents Cycle and Physical Count Course
Workshop - Void Blank Tags............................................................................................................29

Void Tags by Part....................................................................................................................................29
Workshop - Void Count Tag............................................................................................................30
Count Discrepancy Reason Code Entry...........................................................................................................30
Workshop - Enter Discrepancy Reason Codes..........................................................................................30
Post Counts...................................................................................................................................................31
Count Processing....................................................................................................................................32
Workshop - Post Counts.........................................................................................................................33
Conclusion.............................................................................................................................34
4 Epicor Kinetic - Classic User Interface | 2021.2

Cycle and Physical Count Course Cycle and Physical Count Course
Cycle and Physical Count Course
This course introduces the concepts of cycle and full physical counting and provides information on the
configuration of the product required to lay the foundation for these activities. Hands on workshops guide you
through the cycle counting process.
Upon successful completion of this course, you will be able to:
• Define cycle and full physical counting.
• Determine cycle and full physical counting parameters.
• List the steps in the operation to complete a cycle or full physical count.

Before You Begin Cycle and Physical Count Course
Before You Begin
Read this topic for information you should know in order to successfully complete this course.
Modules Licensing
The following modules must be licensed to complete all the workshops in this course:
• Multiple Warehouse
• Inventory Management
Audience
Specific audiences will benefit from this course.

• Cost Accountant
• Shop Floor Employee
• Shop Floor Manager
• Shipping and Receiving
• Production Manager
• Purchasing Staff/Buyer
Prerequisites
To complete the workshops in this course, the necessary modules must be licensed and operating in your training
environment. For more information on the modules available, contact your Epicor Customer Account Manager.
It is also important you understand the prerequisite knowledge contained in other valuable courses.
• Foundations Agenda Courses on Epicor Learning Center - These courses describe logging in to Epicor
ERP, using menus and toolbars, working with Tree view and sheets. They give you a quick overview how to
enter data in Epicor ERP, use searches to find data and work with grids. The courses in this agenda teach you
to personalize your application, print forms and reports and use trackers to view information.
• Part Entry Agenda - This agenda contains courses to teach you about part records in Epicor ERP. It focuses
on the importance of Part Maintenance by helping you understand part concepts, create part master records,
enter part details, determine costing methods, define part locations, set up sales kits and create parts on-the-fly.

Cycle and Physical Count Course Before You Begin
Environment Setup
The environment setup steps and potential workshop constraints must be reviewed in order to successfully
complete the workshops in this course.
Your Epicor training environment, in which the Epicor demonstration database is found, enables you to experience
Epicor functionality in action but does not affect data in your live, production environment.
The following steps must be taken to successfully complete the workshops in this course.
1. Verify the following or ask your system administrator to verify for you:
• Your Epicor training icon (or web address if you are using Epicor Web Access) points to your
Epicor training environment with the Epicor demonstration database installed. Do not complete
the course workshops in your live, production environment.
Note It is recommended that multiple Epicor demonstration databases are installed. Contact
Support or Systems Consulting for billable assistance.
• The Epicor demonstration database is at the same version as the Epicor application. The
demonstration database is installed from the Epicor Administration Console using the "Add Demo
Database" command under Database Server. See Epicor ERP installation guides for details. If you are an
Epicor Cloud ERP customer (and have licensed embedded education), the demonstration database is
installed for you.
• Your system administrator restored (refreshed) the Epicor demonstration database prior to
starting this course. The Epicor demonstration database comes standard with parts, customers, sales
orders, and so on, already defined. If the Epicor demonstration database is shared with multiple users
(that is, the database is located on a server and users access the same data, much like your live, production
environment) and is not periodically refreshed, unexpected results can occur. For example, if a course
workshop requires you to ship a sales order that came standard in the Epicor demonstration database,
but a different user already completed this workshop and the Epicor demonstration database was not
restored (refreshed), then you will not be able to ship the sales order. If you are an Epicor Cloud ERP
customer see section below.
2. Log in to the training environment using the credentials epicor/epicor.

If you are asked to log into your training environment with another User ID, for example, 'nancy' or 'bhoward',
on the initial logon, a message appears to inform you the password has expired. Perform the following steps
to set a new password:
1. To the Password Expired message, click Yes.
2. In the Current password field, enter the User ID of the user you are asked to log in as, for example,
'nancy'.
3. In the New password field, enter a new password, for example 'Train123'.
Important In Epicor ERP Cloud environment, the password must not contain user ID, must be
longer than 7 characters and include at least one uppercase letter.
4. In the Confirm new password field, re-enter the same password.
5. Click OK. The Change Password window closes and you are logged on with the new user ID.

Before You Begin Cycle and Physical Count Course
Note Record the new password. This is important as this will be the password everyone uses
when they log on with this User ID, until the database is refreshed.
3. From the Main menu, select the company Epicor Education (EPIC06).
4. From the Main menu, select the Main Site.
Kinetic Interface Specific Information

All the workshops in this course can be completed using the Classic layout. To ensure that the user interfaces
used in this course display in the Classic layout, use the steps below:
1. Navigate to Kinetic Application Maintenance.

Menu Path: System Setup > Security Maintenance > Kinetic Application Maintenance
2. From the Menu list, select the Epicor Education company.

The Company Epic Corporation pane displays.
Note If you need to work in a multi-company environment you will have to disable the Kinetic layout
for all the companies used in the course.
3. Inactivate the Enable Kinetic UI ON/OFF button.
4. Exit Kinetic Application Maintenance.
5. On the standard toolbar, select Options > Preferences.
6. In the window that displays, in the Form To Use field, select Classic.
7. Select OK to confirm.
8. Relaunch Epicor ERP.
Epicor Cloud ERP Specific Information

Note If you are an Epicor Cloud ERP customer, then note the following about your Epicor-hosted education
company. All logins referenced in the course (such as manager, or epicor) should be changed to be the
<site ID>-. For example, if your site ID is 98315, then wherever you are instructed to use the login manager,
instead use 98315-manager. The password is 'Train18!'.
Note To refresh your Epicor training data, enter a support ticket in EpicCare and include your site ID.
Workshop Constraints
The workshops in this course can be performed only once in each instance of a restored (refreshed) shared
database. If a user has already completed these workshops in the database, the database must be restored
(refreshed) before another user can complete this course.
Due to the logic of performing a cycle count, the cycle counting process cannot be executed more than once in
any given sequence or schedule. Therefore, the cycle counting workshops in this course cannot be completed

Cycle and Physical Count Course Before You Begin
by more than one person on a shared database. To perform the cycle counting functionality provided, contact
your system administrator to verify your education database is refreshed prior to completing this course.

Cycle and Physical Counting Cycle and Physical Count Course
Cycle and Physical Counting
The Cycle Counting and Physical Counting functions in the Epicor application allow for inventory error
identification, analysis, and resolution. These functions process and manage inventory counting conducted on a
cyclical basis, and also handle single physical counts conducted for all parts within a specified warehouse. To
meet the needs of managing and controlling inventory, the cycle counting module contains extensive functionality
and features used for:
• Detailed audit control over the selection of items to be counted.
• Controlling the frequency by which items are counted.
• Tracking, recording, and review of variances for the items counted.
Cycle counting functions in the Epicor application are based on the selection and counting of a specific number
of ABC-coded parts, typically on a daily basis. High value, fast moving parts are normally counted on a more
frequent basis, while low value, slow moving parts are counted less frequently. ABC coding in individual part
records can be automatically updated based on specified stock usage percentages or manually entered and locked
to further automate update.
Note The term ABC Code refers to an alphabetical categorization of inventory based on a combination
of inventory usage and valuation.
The Epicor application allows for entry of a cascading series of control parameters that can be defined at the
part/warehouse, warehouse, part/site, site configuration and ABC code levels. It uses these user-defined control
parameters for both cycle and full warehouse physical inventory counts. They include:
• Default cycle count selection methods.
• Default stock percentages used to assign ABC codes to inventory items by usage.
• Default cycle count intervals (in days) for A, B, and C-coded inventory items.
• Allowable default percent, quantity tolerance, value and quantity adjustment percentages for A, B, and
C-coded inventory items or for selected items in a specific warehouse.
• Specifying if inactive items, items with zero quantity-on-hand, obsolete items, or items with negative
quantity-on-hand should be excluded when selecting cycle items for a specific warehouse.
Note The cycle counting and physical counting functions in the Epicor application ignore parts stored in
managed inventory bins. Managed inventories are those parts that are located in non-standard bins that
have been designated as customer-owned or supplier-owned in Warehouse Bin Detail.
The Epicor application uses these quantity, percentage, value and quantity adjustment parameters to determine
if a part is out-of-tolerance. It does this by calculating the difference between pre-count snapshot and counted
quantities for a cycle part, and then comparing this difference to the appropriate tolerance factors. Out of
tolerance parts display on variance reports. User-defined Count Discrepancy Reason (CDR) codes must be entered
to specify the reasons why count quantities are out of tolerance for counted parts (pilferage, breakage, original
count incorrect, lot expired).
Business Scenario
ABC Aeronautics conducts daily cycle counts of a specific number of ABC-coded parts to manage inventory.
The following workshops demonstrate how ABC Aeronautics defines control parameters (such as ABC codes,
cycle periods and schedules) before using Cycle Count functionality, and the cycle counting processes they use
once the control parameters are defined.

Cycle and Physical Count Course Cycle and Physical Counting

Application Setup Cycle and Physical Count Course
Application Setup
Before using the Cycle Count and Physical Count functions, you must define control parameters and perform
certain tasks.
Note This course only focuses on defining cycle count parameters on the ABC Code Maintenance level.
Learning Channel: First Time Setup Procedures (job aid)
ABC Code Maintenance
Use ABC Code Maintenance to define ABC codes used to classify parts in inventory based on usage and cost
criteria. At least one ABC code must be set up in order to perform cycle count processing in the Epicor application.
Menu Path: System Management > Business Process Management > Method Directives Maintenance
Important This program is not available in Classic Web Access.
ABC Parameters
Parameter values for the Cycle Counting and the Variance Tolerance sections establish a company's global values
for each ABC code. Parameter values for Cycle Counting are divided into two sections - Cycle Count and Value
Tolerances.
Cycle Count Section
The options in this section determine how to handle the selection of parts within a defined ABC.
• Exclude from Cycle Count - Designates if parts containing the ABC code specified in the ABC Code field
are only counted during physical inventory and excluded from selections for cycle counting in this warehouse.
• Stock Valuation Percent - Used by Calculate ABC Codes to determine what ABC code is assigned to a
part/warehouse record.
• Count Frequency - Designates how often parts with this ABC classification code are counted. Express ABC
Codes in days. The application converts an entry in number of days, to represent a number of months (if
desired). For example, ABC Code A should reflect a count performed monthly. The count frequency would
be 30 (days) to represent monthly.
Variance Tolerances Section
The tolerances established in this section are used to filter parts on the variance reports. A part does not display
on a variance report if it is within the tolerance defined. There are three tolerance parameters available:
• Percentage Tolerance
• Quantity Tolerance
• Value Tolerance
Note Part/site count parameters established on the Site Configuration Control > Modules > Inventory
Management > Cycle Count > Abc Codes > Detail sheet override the default settings specified at the

Cycle and Physical Count Course Application Setup
ABC classification code level in ABC Code Maintenance. However, the application automatically overrides
count parameters specified at the site level with any corresponding settings using the following hierarchy:
• Part Maintenance: on the Part > Sites > Warehouses > Cycle Count sheet
• Warehouse Maintenance: on the Cycle Count/Physical Inv > ABC Codes > ABC Code Detail sheet
• Part Maintenance: on the Part > Sites > Cycle Count sheet
Note Part quantities associated with a PCID are excluded from inventory counts.
Menu Path
Navigate to this program from the Main Menu:
• Material Management > Inventory Management > Setup > ABC Code
Workshop - Review Existing ABC Codes
Before you start the cycle counting process, you must define the ABC codes used to classify parts in inventory.
In this workshop, review the existing ABC codes and verify the stock valuation percentage and count frequency
information.
Navigate to ABC Code Maintenance.
Menu Path: Material Management > Inventory Management > Setup > ABC Code
1. Click the ABC Code button.

The ABC Code Search window displays.
2. Click Search.
3. Click Select All, and click OK.
4. Using the tree view, review the following information:
ABC Code Stock Valuation Percent Count Frequency

A 80 30
B 95 90
C 100 365
5. Exit ABC Code Maintenance.
Cascading Count Parameters
The Epicor application allows for entry of a cascading series of control parameters that can be defined at the
part/warehouse, warehouse, part/site, site configuration and ABC code levels. It uses these user-defined control
parameters for both cycle and full warehouse physical inventory counts.
Menu Path: System Management > Business Process Management > Method Directives Maintenance

Important This program is not available in Classic Web Access.
Use the Part Maintenance > Part > Sites > Warehouses > Cycle Count\Physical Inv sheet to enter count
parameters for specific parts in specific warehouses. These parameters include setting ABC codes, specifying
cycle count intervals and quantity / quantity adjustment /percent / value tolerances. Part/warehouse count
parameters established in this sheet override corresponding count settings specified:
• At the warehouse level in the Warehouse Maintenance > Cycle Count/Physical Inv > Cycle Count Detail
sheet. This defines default cycle and physical inventory count selection parameters for the warehouse. Use
the ABC Code sheet to specify ABC code count intervals and quantity/percent tolerances for the warehouse.
• At the part/site level in the Part Maintenance > Part > Sites > Cycle Count\Physical Inv sheet. This defines
count parameters for specific parts in specific sites. These parameters include specifying quantity, quantity
adjustment, percent and value tolerances.
• At the site configuration level in the Site Configuration > Modules > Inventory Management > Cycle
Count\Physical Inv sheet. This defines default cycle and physical inventory count selection parameters for
the site. Use the ABC Code sheet to specify ABC code count intervals and quantity/percent tolerances for the
site.
• At the ABC classification code level in the ABC Code Maintenance program. This defines ABC codes used
to classify parts in inventory based on usage and cost criteria. At least one ABC code must be set up in order
to perform cycle count processing in the Epicor application.
Calculate ABC Codes
Use Calculate ABC Codes to perform warehouse or site-specific stock valuation calculations, produce a report
with suggested ABC code assignments and (optionally) assign ABC codes to part records in the warehouses
associated with specified sites. You normally run this function prior to processing cycle and physical inventory
counts. If you do not use cycle counting for inventory count processing, you do not need to run this function.
Calculate ABC Codes (optionally) assigns ABC coding to parts by descending level of usage, based on stock
valuation in a user-specified historical usage period. These classifications indicate that a small percentage of the
items usually represent the bulk of the inventory cost. This is known as Pareto's law or the 80/20 rule. Class A
normally includes items with the highest requirements value, Class B a lower value, and Class C, with the least
value. Refer to ABC Code Assignment and Stock Valuation Calculations for specific details on how the program
assigns ABC codes to part/warehouse records. If required, you can use the Parts Missing ABC Code Report before
running this program to view the part records that do not have assigned ABC codes.
Important ABC codes must be defined in ABC Code Maintenance before you run this program.
Menu Path
• Material Management > Inventory Management > General Operations > Calculate ABC Codes
ABC Code Assignment
If the Update ABC check box has been selected, Calculate ABC Codes assigns an ABC code to each part based
on the calculation parameters defined for the part and the criteria specified when running this program.
It updates individual part/warehouse records and assigns ABC codes only if the Manual ABC Code check box
has been cleared in the Part Maintenance > Sites > Warehouses > Cycle Count sheet for the specified
warehouse. For determination of what ABC code to assign to a part/warehouse record, Calculate ABC Codes

uses the Stock Valuation Percent setting defined for each ABC code when performing warehouse or site-specific
stock valuation calculations upon which ABC code assignment is based.
Stock Valuation Calculations
To determine what ABC code to assign to a part/warehouse record, Calculate ABC Codes uses the Stock
Valuation Percent setting defined for each ABC code when performing stock valuation calculations upon which
ABC code assignment is based.
The hierarchy used to retrieve the Stock Valuation Percent settings depends on whether the Warehouse stock
valuation % or Site stock valuation % option has been selected. If the Warehouse stock valuation % option
is selected, it uses the following hierarchy:
• To retrieve the correct stock valuation percentage for each ABC code, the program first determines if the ABC
code has been defined (for the warehouse being processed) in the Warehouse Maintenance > Cycle
Count/Physical Inv > ABC Codes > ABC Code Detail sheet. If one has, the program retrieves the associated
stock valuation percentage.
• If this override does not exist, the program then determines if the ABC code has been defined (for the site
with which the warehouse is associated) in the Site Configuration Control > Modules > Inventory
Management > Cycle Count > Abc Codes > Detail sheet. If one has, the program retrieves the associated
stock valuation percentage.
• If the ABC code has not been defined at the warehouse or site levels, the program retrieves the stock valuation
percentage defined for the ABC code in ABC Code Maintenance.
If the Site stock valuation % option is selected, it uses the following hierarchy:
• To retrieve the correct stock valuation percentage for each ABC code, the program first determines if the ABC
code has been defined (for the site being processed) in the Site Configuration Control > Modules >
Inventory Management > Cycle Count > ABC Codes > Detail sheet. If one has, the program retrieves
the associated stock valuation percentage.
• If the ABC code has not been defined at the site level, the program retrieves the stock valuation percentage
defined for the ABC code in ABC Code Maintenance.
Once the program has retrieved the correct stock valuation percentage, it calculates the total value for the part,
either by warehouse or by site, depending on if you have selected the Warehouse stock valuation % or Site
stock valuation % options. It does this by multiplying the part cost by the total quantity of each part in the
warehouse or site, based on the following criteria entered at runtime. It then ranks parts in the selected warehouse
or site by percentage of usage and dollar value:
• Periods Of Historical Usage (Beginning and ending dates)
• Current on hand inventory quantity balances
• Projected future usage factors
Example
If 80.0 was specified as the stock valuation factor for ABC Code A, the Epicor application assigns Code A
to inventory items that represent 80% of the value of the total inventory in the warehouse or site. If 95.0
was specified as the stock valuation factor for ABC Code B, it assigns Code B to inventory items that
represent the next 15% of the value of the total inventory in the warehouse or site.
Note Calculate ABC Code does not assign an ABC code to a part record that is lower than the setting of
the Min ABC field defined in the appropriate setup program (see default hierarchy above).

Workshop - Calculate ABC Codes
Once the ABC codes are defined, the next step is to calculate the ABC codes. Any stock part that has the Update
ABC check box selected will have an ABC code assigned, based on the calculation parameters defined for the
part. In this workshop, calculate ABC codes but do not update part records.
Navigate to Calculate ABC Codes.
Menu Path: Material Management > Inventory Management > General Operations > Calculate ABC Codes
1. Navigate to the Filter sheet.
2. Click the Sites button.

The Site Search window displays.
3. Search for and select Main.
4. Navigate to the Selection sheet.
5. In the Historical Usage From field, select the first day of the current year.
This date is for the historical usage period used in stock valuation calculations.
6. Verify the Include Projected Usage check box is selected.
7. In the Projected Usage Through field, verify today's date defaults.

This date is for the projected usage period used in stock valuation calculations.
8. Select the Include Current On-hand check box.
9. Clear the Update ABC Codes check box.

Note This check box denotes if part records should be updated with the calculated ABC codes. We
are skipping the update because the specific parts you will be cycle counting have already been ABC
coded; in your operations, you most often select this check box.
10. In the Schedule field, verify Now displays.
11. In the User Description field, enter XXX Report (where XXX are your initials).
12. From the Standard toolbar, click Generate Only.
13. From the File menu, click Print Preview to examine the generated report.
The Calculate ABC Codes Report is displayed.
14. Close the generated report.
15. Exit Calculate ABC Codes.

Count Discrepancy Reason Codes
When processing parts in a cycle or physical count, Count Discrepancy Reason Code Entry requires entry of
codes that denote reasons that parts are out of tolerance with respect to the actual physical count quantity and
perpetual inventory balance in the Epicor application. Define these codes as Inventory Adjustment codes in Reason
Code Entry, and select the Count Discrepancy Reason Code check box to designate each code for use in Count
Discrepancy Reason Code Entry.
To use reason codes, select the appropriate options in Company Configuration. Next, set up the codes in
Reason Code Maintenance and select reason codes in the following programs:
• Count Discrepancy Reason Code Entry
• Time and Expense Entry
• Inventory Adjustment Entry
• RMA Processing
• RMA Dispositions
• Opportunity/Quote Entry
Menu Path
• Material Management > Inventory Management > General Operations > Count Discrepancy Reason
Workshop - Modify Discrepancy Reason Codes
When you complete a cycle count, you must enter reason codes for counted inventory items that are out of
tolerance. In this workshop, modify existing discrepancy reason codes.
Navigate to Reason Code Maintenance.
Menu Path: Material Management > Inventory Management > Setup > Reason Code
1. In the Reason Type field, select Inv. Adjustment.
2. In the Reason Code field, search for and select Cycle Count Variance.
3. In the tree view, highlight the reason code.
4. In the Detail sheet, in the Inventory Adjustment pane, select the Count Discrepancy Reason check
box.
Important If you are working in a shared database, the check box could be already selected. In such
case, leave the check box selected and exit the program.
5. Select Save.
6. Exit Reason Code Maintenance.

Initialize Last Cycle Count Dates
Use Initialize Last Cycle Count Dates to initialize the Last Cycle Count Date field in part records for selected
warehouses, prior to use of inventory count functions in the Epicor application.
• When running the Perform Part Selection selection on the Cycle Count Schedule Maintenance Actions
menu, it uses the Last Cycle Count date, in conjunction with the cycle count interval factors defined for specific
parts, to calculate the dates on which individual parts should be reselected for cycle counting.
• Initialize Last Cycle Count Dates assigns (and spreads) the last count dates for the selected ABC items across
the last x number of months, where x is the cycle count interval defined for the ABC code category in ABC
Code Maintenance. However, it uses as an override any part/warehouse parameters that have been defined
for the ABC code category in the Part Maintenance > Part > Sites > Warehouses > Cycle Count\Physical
Inv sheet, or part/site parameters that have been defined in the Site Configuration Control > Modules >
Inventory > Cycle Count/Physical Inv > ABC Code > Detail sheet.
Note This program should only be used when first implementing Cycle Counting capabilities. Once run,
this program should not be re-run once Cycle Counting has been implemented.
Menu Path
• Material Management > Inventory Management > General Operations > Initialize Last Cycle Count Date

Cycle and Physical Count Course Cycle and Physical Count Processing
Cycle and Physical Count Processing
Cycle and Physical Count Processing includes performing operations on a periodic and daily basis.
Cycle Counts versus Full Physical Inventory Counts
The manner that you begin processing is dependent on whether you are performing a cycle count, or a full
physical inventory (wall-to-wall) count.
Cycle counting is a procedure in which a small subset of inventory, in a specific location (usually a warehouse),
is counted on a specified day or period of time; a "Cycle" is the period of time over which all items in inventory
are counted. If you are performing a single full physical inventory count in which you count all parts in a
warehouse, you first use the Initialize Physical Inventory program to initialize data and select the parts for
processing. After specifying the warehouses being counted, the Epicor application performs the following tasks:
• For each selected warehouse, the Epicor application creates an internal warehouse count control record,
flagged as a full physical inventory count, and assigns a single cycle scheduled for the specified start date.
• Selects all bins in the specified warehouse, and assigns parts for counting that meet the following criteria:
• Parts are stocking, quantity-bearing (regularly stocked) items that are not defined as Kit type parts.
These are parts for which the Type field is not set to Sales Kit, the Non-Stocked Item check box has
been cleared, and the Quantity Bearing check box has been selected in the Part Maintenance > Part
> Detail sheet.
Note An Include Non-Stock check box in Initialize Physical Inventory can be used as needed to
designate if quantity-bearing parts that are flagged as non-stock should also be included in the
physical count.
• An Include Zero check box can be used as needed to select parts with zero quantity on-hand balances.
Unlike cycle count cycles, you cannot add, delete or move parts assigned to the physical inventory cycle.
Note When performing full physical inventory counts, you skip the use of the Cycle Count Period Definition
and Cycle Count Schedule Maintenance programs. The remaining tasks you perform (generating tags,
entering count quantities, printing reports, accounting for discrepancies and posting counts) are essentially
identical to cycle count processing.
Cycle Count Period Definition
Use Cycle Count Period Definition to define cycle count periods used in Cycle Count Schedule Maintenance.
The cycle period includes a two-digit identification number (from 01 - 99) and specifies the year, start date and
end date for the cycle count period.
Cycle count periods can span any length of time (months, weeks, days) but should take place within the same
calendar year. When you use Cycle Count Schedule Maintenance to define cycle count schedules for your site,
select a cycle count period defined in Cycle Count Period Definition.

Cycle and Physical Count Processing Cycle and Physical Count Course
Example You can define period lengths based on how frequently you count parts, or the lowest value
you would want to use for count frequency. For example, if your lowest count frequency is monthly (for
example, 30/31 days), it makes sense to define monthly cycle count periods. However, if there are some
parts you want to count weekly or bi-weekly, you should define cycle count periods as weekly or bi-weekly.
Note Even though you can define cycle count periods in Cycle Count Period Definition with overlapping
dates, a part can only be assigned to one open cycle at a time in Cycle Count Schedule Maintenance. This
happens even if different cycle schedules include the same date on which a part is due for counting; the
part would be selected for only one of the cycle schedules.
Menu Path
• Material Management > Inventory Management > Setup > Cycle Count Period Definition
Workshop - Define a Cycle Period
Once the ABC codes have been set up and calculated, the next step is to define the cycle count periods. In this
workshop, define a cycle period.
Navigate to Cycle Count Period Definition Maintenance.
Menu Path: Material Management > Inventory Management > Setup > Cycle Count Period Definition
1. Click New.
2. In the Year field, verify the current year defaults.
3. In the Description field, enter XXX-Period (where XXX are your initials).
4. In the Period Start field, select the date for the Monday next week.
5. In the Period End field, select the date for the Monday next week.
The period range is user-defined; in our workshop, we are defining a single-day period so all parts in the
training warehouse are selected for counted. In normal operations, this will probably represent a longer
period, usually a month.
6. Select Save.
7. Record the period number __________.
8. Exit Cycle Count Period Definition Maintenance.

Cycle Count Schedule Maintenance
Use Cycle Count Schedule Maintenance to create and maintain cycle count schedules. This includes selecting
the parts that will be cycle counts for a specific warehouse in a designated time period and year, based on the
selected production calendar.
After specifying a cycle period, year and production calendar, the program creates a default cycle schedule; the
default cycle count dates can then be modified as required. The individual cycles within the master periodic
schedule are independent of each other but multiple cycles can be conducted concurrently as necessary.
• After modifying the generated cycle count schedule, select the parts being counted by running the Perform
Part Selection selection on the Actions menu.
• The Epicor application uses the cycle count method (Random or Repetitive) defined for the specified warehouse
in the Warehouse Maintenance > Cycle Count\Physical Inv sheets to select and assign specific parts to
each cycle count sequence within the cycle period.
Prior to using this program, you must define cycle periods in Cycle Count Period Definition, and define count
parameters at the part/warehouse, warehouse, part/site, site configuration and ABC code levels.
Note Even though you can define cycle count periods in Cycle Count Period Definition with overlapping
dates, a part can only be assigned to one open cycle at a time in Cycle Count Schedule Maintenance. This
happens even if different cycle schedules include the same date on which a part is due for counting; the
part would be selected for only one of the cycle schedules.
Menu Path
• Material Management > Inventory Management > General Operations > Cycle Count Schedule Maintenance
Perform Part Selection
After defining cycle count schedules, you use the Perform Part Selection option in the Cycle Count Schedule
Maintenance Actions menu for a specific cycle schedule:
• While using this process, the Epicor application locks the cycle schedule record and prevents any further
maintenance in Cycle Count Schedule Maintenance while performing the actual cycle count selection processing.
• The number of parts selected for each cycle displays on the Cycles sheet, and for each ABC code on the ABC
Qtys sheet.
• After running this process, you can also view the selected parts on the Count Cycle Parts Selected Report.
This process uses one of the two following methods for cycle count item selection (as designated in the Cycle
Count Selection field at the warehouse or site configuration levels):
1. Repetitive - This method selects items for cycle counting based on the cycle count intervals defined in the
Count Interval field (in order of precedence) at the part/warehouse, warehouse or site configuration levels.
It divides the selected items equally among the number of count cycles in the month.
2. Random - This method randomly selects parts for cycle counting and uses an algorithm to randomly select
the items being counted, and divides this number among the specified cycle count cycle sequences defined
for the month/year.

Once you run the Perform Part Selection process:

• You can no longer add cycles to, or delete cycles from, the warehouse schedule for this month/year.
• The quantity in the Quantity to Select field in the Cycle Count Schedule Maintenance > ABC Qtys sheet
cannot be changed.
• Part selection criteria cannot be changed in the Cycle Count Schedule Maintenance > Detail sheet.
• The Epicor application flags the selected parts as being attached to a cycle count cycle; they are skipped for
any subsequent cycle count selection processing.
• Parts can be added to the cycle sequence, moved to another cycle sequence, or removed from the cycle
sequence using the Cycle Count Part Selection Update program.
Note A part that has been inactivated (by selecting the Inactive check box in the Part Maintenance >
Detail sheet) cannot be selected for cycle counting (using the Perform Part Selection option on the Actions
menu in Cycle Count Schedule Maintenance), or manually added to an existing cycle count in Cycle Count
Part Selection Update. To cycle count an inactive part, you must first activate it by clearing the Inactive
check box. You can then select or manually add the item for cycle counting and perform all related
count-related activities. Once you do this, you then reselect the Inactive check box to inactivate the part.
Note Part quantities associated with a PCID are excluded from inventory counts.
Workshop - Define a Cycle Schedule and Select Parts for Counting
In the previous workshop you defined the cycle count period. Now you have to define a cycle schedule for a
specific warehouse and cycle count period. In this workshop, define a cycle schedule for the Main warehouse
and the cycle period you defined in the Workshop - Define a Cycle Period.
Navigate to Cycle Count Schedule Maintenance.
Menu Path: Material Management > Inventory Management > General Operations > Cycle Count Schedule
Maintenance
1. From the New menu, select New Schedule.
2. In the Warehouse field, select Cycle Count Warehouse.
3. In the Year field, verify the current year defaults.
4. In the Cycle Period field, select XXX-Period (where XXX are you initials).
5. Click the Calendar button, then search for and select D5H8.
6. In the remaining fields, accept the default values and click Save.
7. From the Actions menu, select Perform Part Selection.

The Parts Selected indicator displays.
8. Select the Cycles sheet to see the total number of parts assigned to each cycle per day.
9. Exit Cycle Count Schedule Maintenance.

Workshop - Add Parts to Cycle Count Schedule
After running Perform Part Selection in Cycle Count Schedule Maintenance, you decide you need to add two
parts to the cycle count schedule. Add the two parts using Cycle Count Schedule Update.
Navigate to Cycle Count Part Selection Update.
Menu Path: Material Management > Inventory Management > General Operations > Cycle Count Part / PCID
Selection Update
1. Click Cycle, then search for and select the cycle count schedule you generated in Workshop - Define a
Cycle Schedule and Select Parts.
The parts you selected for the cycle count schedule display in the Parts Selected grid.
2. Click New.
An empty line displays in the grid.
3. In the Part field, enter DRPLT59375.

The part description, ABC code, Quantity Adjustment Status and Posting Status for the newly added item
display.
4. Click Save.
5. Exit Cycle Count Schedule Update.
Count Cycle Maintenance - Generate Tags
Use Generate Cycle Count Tags to generate count or blank tag records for a specific cycle in a specified warehouse.
It generates tag numbers for all parts that were previously assigned to the cycle sequence using the Perform Part
Selection option in the Cycle Count Schedule Maintenance Actions menu, or assigned to a physical count using
Initialize Physical Inventory. You must generate tags before you can start the count sequence using the Start
Count Sequence selection.
To generate tags, navigate to Cycle Count Maintenance > Actions > Generate Tags.
• The Epicor application locks the cycle record and prevents any further maintenance of the specified cycle
sequence in Cycle Count Schedule Maintenance or Part Selection Update while generating tag records.
• It uses the parts selected for the count cycle and generates one tag number for each part/bin/UOM/lot
combination associated with the parts/warehouse.
• If the part is serial tracked, it generates one tag for each of the serial numbers for the part that have not been
voided or scrapped in the current warehouse, and with a serial status of Inventory. It assigns an identifying
tag number of n.1 (where n is a sequentially assigned counter number) to each cycle count tag.
• It also sets the status of the cycle sequence to Tags Generated.
• If the Blank Tags Only check box has been selected, it generates blank tag records for number of tags
specified in the Number of Blank Tags field. Blank tags can be used to handwrite count quantities in the
event the count tags have been lost.
Note Count tags are not generated for items with zero on-hand inventory balances and for which a
primary bin has not been designated in the Part Maintenance > Sites > Warehouses > Bins sheet. If
you wish to generate tags for items with zero on-hand inventory balances, a primary bin must be designated
for the part.

Once count or blank tags are generated, you can use the Print Tags selection on the Count Cycle Maintenance
Actions menu to print the tags being used in your actual cycle or physical inventory counts.
Workshop - Generate Count Tags
After defining the cycle count sequence and cycle schedule, you generate the count sheets or tags for the cycle
period defined in the Workshop - Define a Cycle Period.
Navigate to Count Cycle Maintenance.
Menu Path: Material Management > Inventory Management > General Operations > Count Cycle Maintenance
1. Click the Cycle button.

The Count Cycle Search window displays.
2. In the Filters pane, in the Cycle Period field, select XXX-Period (where XXX are your initials) and click
Search.
3. In the Search Results grid, click the Cycle Sequence header one time.
The cycle sequences display starting with 1.
4. In the Search Results grid, select cycle sequence 1 for the cycle period created in Workshop - Define
Cycle Period and click OK.
5. In the Cycle Period field, verify XXX-Period (where XXX are your initials) displays.
6. From the Actions menu, select Generate Tags.

The Generate Count Tags window displays.
7. In the Number of Blank Tags field, enter 3.
8. Select the By Part / Bin ID / UOM / Lot Number sort sequence.
9. Click the Generate Tags button.
10. Click OK to confirm the first and last tags generated.
11. From the Actions menu, select Print Tags.

The Print Tags window displays.
12. In the Sheets or Tags field, verify Tags displays.
13. Select the Print Blank Tags check box.
14. Click Print Preview.
15. Review the tags.
16. Close the Print Cycle Count Tags and Print Tags windows.
17. Remain in Count Cycle Maintenance.

Count Cycle Maintenance - Start Count Sequence
Use Start Count Sequence in preparation for actual counting of parts or PCIDs selected for a specified cycle
sequence, or for a full physical inventory count in a selected warehouse. If a full physical inventory count is already
in process for the specified warehouse, you cannot run Start Count Sequence; however, you can run it if there
are other active cycle counts because each part or PCID can only be assigned to one cycle count sequence at any
given time.
Prior to running Start Count Sequence Count, you must first generate tag records for the selected cycle sequence
(or full physical inventory) using the Generate Tags selection on the Count Cycle Maintenance Actions menu.
However, Start Count Sequence can be run before printing count and blank tags using the Print Tags selection.
Note If possible, you should execute the Start Count Sequence process when there are no inventory
adjustments taking place to avoid the likelihood of record locking issues.
The Start Count Sequence selection performs the following functions:

• Freezes the unit costs for each part assigned to the selected cycle counts (or full physical inventory), based on
the costing method being used for the warehouse.
• Freezes pre-count perpetual inventory quantities of parts in the specified count cycle (or full physical inventory).
• Freezes the pre-count perpetual inventory quantities of PCIDs and unit costs for each PCID assigned to the
selected cycle counts (or full physical inventory).
Note This is only available if your company has an AMM license, the Enable Package Control check
box is selected for the current site in Site Configuration.
• Sets the Cycle Status to Count Started for the selected cycle sequences (or full physical inventory).
• Prevents inventory activity from taking place for the specified warehouse while a pre-count quantity snapshot
is being created.
• For each tag number associated with the cycle sequence or full physical inventory, it verifies that each has an
Open status. It skips tag numbers that do not have an Open status.
• For non-serial tracked parts, it sets the per-count bin/lot snapshot quantity to the current bin/lot quantity in
warehouse for the bin/lot/serial combination in the tag record.
• For serial tracked parts, it always sets the per-count snapshot quantity for each tag that did not originate as
a blank tag to one (1). It sets the per-count snapshot quantity for tags that originated as a blank tag to zero.
Once you have started the count sequence for a selected cycle sequence or full physical inventory, it can be
reversed (using the Reverse Count Sequence selection on the Actions menu) as long as the Cycle Status has not
progressed beyond Count Started (that is, no count quantities have been entered). The Reverse Start Count
selection clears the snapshot quantity and cost values from the tag records and resets the Cycle Status back to
Tags Generated.
Workshop - Start Count Sequence
After generating count tags, start the count sequence for the selected cycle count.
1. From the Actions menu, select Start Count Sequence.
2. In the Count Status field, note that the status is now set to Count Started.
3. Exit Count Cycle Maintenance.

Count Tag Entry
Use Count Tag Entry to add or update the physical count information for count tags or sheets in a selected
cycle sequence. Open tags can be updated, and blank tags can be added only until the cycle sequence has been
posted using the Post Counts selection in the Count Cycle Maintenance Actions menu.
If the tag for which a count quantity is being entered was not originally generated as a blank tag, you cannot
change the displayed part number, bin, lot, UOM (unit of measure) code and serial number information. If you
are entering a count quantity for a blank tag, you can only change the UOM code if the Track Multiple UOMs
check box has been selected for the part in Part Maintenance in the Part > Detail sheet. Before entering count
quantities for a tag or sheet, you must:
• Create a cycle count schedule in Cycle Count Schedule Maintenance.
• Generate tags for the cycle sequence using the Generate Tags selection in the Count Cycle Maintenance
Actions menu.
• Start the cycle sequence using the Start Count Sequence selection in the Count Cycle Maintenance Actions
menu.
Note Count or blank tags cannot be deleted or voided in Count Tag Entry. They can only be voided using
the Void Tags by Part or Void Blank Tags selections in the Count Cycle Maintenance Actions menu.
Menu Path
• Material Management > Inventory Management > General Operations > Count Tag Entry
Workshop - Count Tag Entry
Using the count tags generated in the previous workshop, your warehouse crew has just completed a physical
count of some of the parts and need to update count quantity information. In this workshop, update count
quantity information for count tags or sheets in your cycle sequence.
Navigate to Count Tag Entry.
Menu Path: Material Management > Inventory Management > General Operations > Count Tag Entry
1. Click the Cycle button, and search for and select the cycle period created in Workshop - Define Cycle
Period.
2. Click the Tag button, and click Search.

The Count Tag Search window displays.
3. From the Search Results grid, select all the part numbers.
4. Click OK.
5. Navigate to the List sheet.
6. In the Count Tag List grid enter a Counted Qty and Counted By for all selected parts. Use the following
format (where XXX are your initials):

Part Counted Qty Counted By

DRPLT48125 10 XXX
DRPLT48250 50 XXX
DRPLT59125 95 XXX
DRPLT59250 94 XXX
7. Click Save.
8. Exit Count Tag Entry.
Print Reports
Use the Actions menu in Count Cycle Maintenance to generate the following reports after entering physical
count information:
• Print Count Parts Not Posted Report
• Print Unreturned/Voided Tags Report
• Count Variance Calculation/Report
Menu Path
• Material Management > Inventory Management > General Operations > Count Cycle Maintenance
Print Unreturned/Voided Tags Report
Use the Print Unreturned/Voided Tags Report option from the Actions menu in Cycle Count Maintenance
to review open tags for which count quantities have not yet been entered for a cycle sequence using Count Tag
Entry or Count Entry (Handheld). You can also optionally include tags that have been voided using Void Tags
by Part and Void Blank Tags. All missing tags must be accounted for before the posting and closure of the
cycle sequence takes place using the Post Counts selection.
Count Variance Calculation/Report
Use the Count Variance Calculation/Report option from the Actions menu in Cycle Count Maintenance to
calculate and analyze variances between the per-count snapshot quantity and counted quantities for parts in a
count cycle for a specified warehouse, year, and cycle period. The report also calculates and updates tolerance
data used by the Post Counts selection when posting count quantities to inventory.
Running the Count Variance Calculation/Report is a mandatory step in the Cycle Counting process. When run,
the report automatically takes a snapshot of the tolerance levels for counted parts in the specified cycle, so that
the tolerance variance information on the report matches the criteria used for inventory updates when running
Post Counts. Count quantities cannot be posted for a part unless it has been properly processed by the Count
Variance Calculation/Report.

Workshop - Print Post-Count Reports
In this workshop, generate the Print Unreturned/Voided Tags Report and the Count Variance Calculation/Report.
1. Click Cycle and select period you previously created in the Workshop - Define a Cycle Period.
2. From the Actions menu, select Print Unreturned/Voided Tags Report.

Note If the Unreturned/Voided Tags Report message displays, click Yes to continue.
The Unreturned/Voided Tags Report window displays.
3. Accept all the provided defaults, and click Print Preview.

The Unreturned/Voided Tags Report displays.
4. Review and close the Unreturned/Voided Tags report.
5. Close the Unreturned/Voided Tags Report window.
6. From the Actions menu, select Count Variance Calculation/Report.

The Count Variance Report window displays.
7. In the Part Detail field, verify All Parts defaults.
8. Verify the Print Tag Detail check box is selected.

The Count Variance Report displays.
10. Review and close the Count Variance Report.
11. Close the Count Variance Report window.
12. Remain in Count Cycle Maintenance.
Perform Tag Maintenance
After entering the physical count in Count Tag Entry, use the Actions menu from Count Cycle Maintenance
to perform tag maintenance.
Menu Path
• Material Management > Inventory Management > General Operations > Count Cycle Maintenance

Generate Recount Tags

Count Cycle Maintenance > Actions > Generate Recount Tags
Use the Generate Recount Tags option from the Actions menu in Cycle Count Maintenance to generate tags
for parts that need a recount.
Use Generate Recount Tags to generate recount tags for parts in the specified cycle sequence that have been
flagged as out of tolerance by the Count Variance Calculation/Report but for which count discrepancy reason
codes have not been entered using the Count Discrepancy Reason Code Entry program.
Void Blank Tags

Count Cycle Maintenance > Actions > Void Blank Tags
Use the Void Blank Tags option from the Actions menu in Cycle Count Maintenance to void all unused open
blank tags, or individual blank tags for a specified cycle sequence. Used blank tags (blank tags already assigned
to a part) can also be voided if the associated cycle item has not been flagged as Completed/Posted.
You can select multiple tag rows for void. Click the Void All Unused button to void all open blank tags not
assigned to a part or PCID, regardless of the rows that are currently selected, while the Void All Selected Tags
button voids all tags for rows currently selected. Once the tags are voided, the Epicor application sets the tag
status to Void, and removes the voided tags from the grid. Use the Deselect All button to clear all selections,
while the Select All button select all rows.
Workshop - Void Blank Tags
In this workshop, perform tag maintenance by voiding blank tags.

1. In the Cycle Period field, verify XXX-Period (where XXX are your initials) you previously created in the
Workshop - Define a Cycle Period displays.
2. From the Actions menu, select Void Blank Tags.

The Count Cycle Void Blank Tags window displays.
3. Click the Select All button.
4. Click the Void Selected button.

The Blank Tags are removed from the list.
5. Close the Count Cycle Void Blank Tags window.
6. Click Save and remain in Count Cycle Maintenance.
Void Tags by Part
Use the Void Tags by Part to remove a part from a cycle if count tags or sheets have already been generated
using the Generate Tags selection.
The Void Tags by Part selection voids all cycle counts tags that have been generated in the specified cycle sequence
for the part, marks the part as voided and moves it to the next scheduled cycle for which the parts have already
been selected but for which tags have not yet been generated (if it exists). If more than one cycle exists that

meets these conditions, the cycle with the earliest scheduled date is used as the move-to cycle. If required, the
Cycle Count Part Selection Update program can then be used to remove the part from the specified moved-to
cycle.
If count tags have not yet been generated for the specified part, use Cycle Count Part Selection Update in place
of Void Tags by Part to remove the part from the cycle. The Void Tags by Part option cannot be used for parts
for which inventory adjustments have already been posted to inventory using the Post Counts selection. To void
a tag by a part, navigate to Cycle Count Maintenance > Actions > Void Tags by Part.
Workshop - Void Count Tag
Your cycle counting person was not able to count one of the parts assigned to the cycle count schedule. After
analysis, you decide to simply void the count tag.
1. In the Cycle Period field, verify XXX-Period (where XXX are your initials) displays.
2. In the Parts Selected grid, select DRPLT59375.
3. From the Actions menu, select Void Tags by Part. If a confirmation dialog message appears, click Yes.
The Posting Status for the part changes to Voided.
4. Click Save.
Count Discrepancy Reason Code Entry
Use Count Discrepancy Reason Code Entry to enter the reason codes for parts that are out of tolerance. These
codes denote the reasons for discrepancies between the actual physical count quantity for a part and the perpetual
inventory balance in the Epicor application.
The Count Variance Calculation/Report in the Count Cycle Maintenance Actions menu evaluates each part
within a cycle sequence for out of tolerance quantity conditions. Inventory quantity adjustments cannot be posted
for these parts by the Post Counts selection (also on the Count Cycle Maintenance Actions menu) until you
enter a reason code into Count Discrepancy Reason Code Entry. This allows parts to be held back from posting,
pending further investigation. You can also enter reason codes for parts that are within tolerance, but they are
not required.
Menu Path
• Material Management > Inventory Management > General Operations > Count Discrepancy Reason
Workshop - Enter Discrepancy Reason Codes
In this workshop, you will select reason codes for the out-of-tolerance counted parts that you selected in the
Workshop - Count Tag Entry. These codes specify the reason why the quantity is out of balance for each of the
out-of-tolerance parts.
Navigate to Count Discrepancy Reason Code Entry.
Menu Path: Material Management > Inventory Management > General Operations > Count Discrepancy Reason


2. In the Search Results pane, select the cycle count for which you previously entered count quantities using
Count Tag Entry, and then click OK.
3. Click OK.
4. In the Parts Selected grid, in the Reason Code column, select the appropriate reason code that specifies
why the quantity is out of balance for each of the out-of-tolerance parts. Select Cycle Count Variance.
The Reason Code columns that are out of balance are for the parts selected in the Workshop - Count
Tag Entry and display in white.
5. Click Save.
6. Exit Count Discrepancy Reason.
Post Counts
Use the Post Counts selection on the Actions menu in Count Cycle Maintenance to post cycle count quantity
adjustments to inventory, and flag parts/PCIDs as completed for a cycle sequence. The Epicor application uses
the date entered into the Transaction Date field to determine the accounting period to use for any inventory
adjustment transaction postings.
With the Post Counts selection you can post inventory quantity adjustments once count quantities have been
entered. Parts and top-level PCIDs ready for posting must meet the following conditions:
• Count quantities have been entered for the part/top-level PCID into Count Tag Entry or Count Entry
(Handheld)
• The part has been processed by the Count Variance Calculation/Report selection.
• The top-level PCID has been processed by the PCID Count Report selection.
• The final count for part is within tolerance, or a count discrepancy reason code has been entered for the part
into Count Discrepancy Reason Code Entry.
Note If the Move to Bin check box is selected for the top-level PCID in Count Tag Entry or Count Entry
(Handheld), the application will invoke the inventory transfer logic to perform this move. This will be done
separate from the quantity adjustment posting. If the move fails, the inventory quantity adjustments will
still be posted. A warning message will display to let you know that the move should be performed outside
the cycle count processing.
It does not post count quantities if the following conditions exist:

• Unreturned tags exist for the part.
• Unreturned tags exist for any lower level PCID or item quantity within the top-level PCID.
• The part has been flagged as out of tolerance without entry of a corresponding count discrepancy reason
code into Count Discrepancy Reason Code Entry.
• A warning message displays if Post Counts does not select any parts/PCIDs for posting for the specified cycle
sequence. It states that the Count Variance/Calculation Report or PCID Count Report must be run, after count
quantities have been entered for a part/PCID, before it can select any count quantities for that part/PCID for
posting.

• An error displays on the posting log if the serial number you are counting using a blank tag already exists in
another warehouse and is associated with a PCID; that part count quantity is not posted.
Note
To correct this, do the following:
1. Enter a counted quantity of zero for the blank tag in Counted Qty field in the Count Tag Entry
> Part Detail sheet or Count Tag Entry > PCID Detail sheet.
2. Rerun the Count Variance Calculation/Report (for part) or PCID Count Report (for PCID)
selection on the Actions menu in Count Cycle Maintenance.
3. Rerun the Post Counts selection.
You may need to use other processes to resolve the issue of finding an item in the cycle count warehouse
(during a physical or cycle count) with a serial number that was not there at the time the tags were
generated, but based on other transactions that have taken place, it appears the serial number is
currently associated to a PCID in a different warehouse.
Depending on the specific issue you are seeing, you may need to:
• Use the Package Control ID Maintenance > Items > Detail sheet to remove quantities and serial
numbers from a PCID and then transfer them to the warehouse where the serialized part was located
during cycle count.
• Or if data on the Serial Number record is wrong but warehouse and PCID quantities are correct and
do not need adjustment, it may require a manual update to the serial record using Serial Number
Maintenance to adjust the location and/or PCID number.
Important For parts that are allocated, included in a cycle count, and ready to post, the following situations
may occur:
• Allocated Inventory parts recorded with equal or greater amounts post and adjust inventory quantities.
• Allocated Inventory parts with numbers below the necessary allocated amount posts a notice in the
log. This indicates that there is no longer the required amount that was previously allocated.
• The log notification prompts a user to make a change to the inventory amount, made through programs
such as Fulfillment Workbench, to move parts to fulfill the necessary allocated amount.
Count Processing
For parts that are ready for posting, the Post Counts selection performs the following tasks:
• Determines the exact adjustment quantity and adjustment value.
• Creates PartTran records if it posts count quantity adjustments to the inventory on-hand quantity for the
associated warehouse and updates serial number files as necessary.
• Updates the Last Cycle Count date for each part in the selected cycle sequence.
• Flags the associated part count detail and tag records with a posting status of Posted.
• If at least one part is posted, it updates the cycle posting flag to reflect that posting is in process for the cycle
sequence.
• When it posts the inventory count quantity adjustment, it updates the part transaction record with the
corresponding discrepancy reason code. If an adjustment for General Ledger (GL) was defined for the count
discrepancy reason code in Reason Code Maintenance, it uses that rather than the default company inventory
adjustment control GL account.

• If all posting of all parts for the selected cycle sequence has been completed, it sets the cycle status to Complete,
and voids any unused blank tags.
• Determines the accounting period to use for the register transactions based on the transaction date entered
in the Transaction Date field.
• After posting is complete, it displays a message stating how many parts were posted and that processing for
the specified cycle sequence is now complete.
Workshop - Post Counts
Previously you entered discrepancy reason codes for the out-of-tolerance parts. In this workshop, review the
Count Variance Report and post the count results.

2. In the Filters pane, in the Cycle Period field, select XXX-Period (where XXX are your initials) and click
Search.
3. In the Search Results grid, click the Cycle Sequence header one time.
The cycle sequence displays starting with 1.
4. In the Search Results grid, select cycle sequence 1 for the cycle period created in Workshop - Define Cycle
Period and click OK.
5. From the Actions menu, select Count Variance Calculation/Report.

The Count Variance Report window displays.
6. Accept all the provided defaults.

The Count Variance Report displays.
8. Preview and close the Count Variance Report and the Count Variance Report window.
9. From the Actions menu, select Post Counts.

The Post Count Inventory Adjustments window displays.
10. In the Post Count Inventory Adjustments window, click the Post button.
The Post Count Results window displays.
11. In the Post Count Results window, accept the default date, and click Ok to complete.
When the Post Count Results dialog displays, click OK to confirm the posting.

Conclusion Cycle and Physical Count Course
Conclusion
Congratulations! You have completed the Cycle and Physical Count course.

Additional information is available at the Education and
Documentation areas of the EPICweb Customer Portal. To access
this site, you need a Site ID and an EPICweb account. To create an
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Epicor Kinetic - Classic User Interface

Cycle and Physical Count Course

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Workshop - Void Blank Tags............................................................................................................29

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Cycle and Physical Count Course

Epicor Kinetic - Classic User Interface | 2021.2 5

Before You Begin

Specific audiences will benefit from this course.

6 Epicor Kinetic - Classic User Interface | 2021.2

2. Log in to the training environment using the credentials epicor/epicor.

1. To the Password Expired message, click Yes.

4. In the Confirm new password field, re-enter the same password.

Epicor Kinetic - Classic User Interface | 2021.2 7

4. From the Main menu, select the Main Site.

Kinetic Interface Specific Information

1. Navigate to Kinetic Application Maintenance.

2. From the Menu list, select the Epicor Education company.

3. Inactivate the Enable Kinetic UI ON/OFF button.

4. Exit Kinetic Application Maintenance.

5. On the standard toolbar, select Options > Preferences.

8. Relaunch Epicor ERP.

Epicor Cloud ERP Specific Information

8 Epicor Kinetic - Classic User Interface | 2021.2

Epicor Kinetic - Classic User Interface | 2021.2 9

Cycle and Physical Counting

10 Epicor Kinetic - Classic User Interface | 2021.2

Epicor Kinetic - Classic User Interface | 2021.2 11

Learning Channel: First Time Setup Procedures (job aid)

ABC Code Maintenance

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Workshop - Review Existing ABC Codes

1. Click the ABC Code button.

3. Click Select All, and click OK.

4. Using the tree view, review the following information:

ABC Code Stock Valuation Percent Count Frequency

5. Exit ABC Code Maintenance.

Cascading Count Parameters

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Important This program is not available in Classic Web Access.

Calculate ABC Codes

ABC Code Assignment

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Stock Valuation Calculations

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Workshop - Calculate ABC Codes

1. Navigate to the Filter sheet.

2. Click the Sites button.

3. Search for and select Main.

4. Navigate to the Selection sheet.

6. Verify the Include Projected Usage check box is selected.

7. In the Projected Usage Through field, verify today's date defaults.

8. Select the Include Current On-hand check box.

9. Clear the Update ABC Codes check box.

10. In the Schedule field, verify Now displays.

12. From the Standard toolbar, click Generate Only.

14. Close the generated report.

15. Exit Calculate ABC Codes.

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Count Discrepancy Reason Codes

Workshop - Modify Discrepancy Reason Codes

1. In the Reason Type field, select Inv. Adjustment.

3. In the tree view, highlight the reason code.