Cycle Counts Overview

"Cycle Counts" is the method FTx Cloud POS uses to perform physical counts of products in your store.

A cycle count is an inventory management technique where a company regularly counts a portion of its inventory instead of the entire stock all at once. This approach helps maintain accurate inventory levels and makes it easier to detect and fix discrepancies in the inventory system.

Typically, store employees carry out cycle counts using handheld devices. They can perform counts based on a specific inventory definition or choose to count without any predefined definition (no definition), depending on the situation.

Cycle counts can also be initiated, viewed, and reviewed from Control Center. To learn more about inventory definitions, please read Inventory Definitions.   

This article includes information about: 

1. How to perform cycle counts.
   
2. How to view and review cycle counts.
   
3. How to add notes to the cycle count record.

1. Reaching "Cycle Counts"

To reach "Cycle Counts," follow the steps below:

1. Step 1: Log into Control Center
   
2. Step 2: Choose Point of Sale
   
3. Step 3: Choose Inventory
   
4. Step 4: Choose Inventory Counts
   
5. Step 5: Choose Cycle Counts
   

See Figure 1.1 below will help you understand the navigation better. 

                                                                                             Figure 1.1

2. Understanding the "Cycle Counts" Layout

1. Please refer to Figure 2.1 and the descriptions of the buttons and fields below to understand the layout of "Cycle Counts."
   

                                                                             Figure 2.1

1: Start Count: This button lets you initiate the cycle count process from Control Center. 

1. View: This button lets you view the cycle count details. Section 4 - Viewing the Cycle Count in Control Center explains further details below.
2. View Notes: This button lets you view the notes added to the transfer, if any. 
   
3. Print: This button lets you print the cycle count details. 
   
4. Delete: This button lets you delete the cycle count record.
   
4. A cycle count record can only be deleted until it is saved. The system doesn't show the Delete icon for a saved (reconciled) cycle count record.
   

                                                                        Figure 3.1

Fields:

1. Employee: From the list of employees, select the name of the employee initiating the cycle count. Depending on the store's settings and situation, the employee can start the cycle count themselves, or the corporate user can assign it to the selected employee at the selected store location.
2. Location: Select the location name from the list drop-down attached below.
   
3. Definition: Select the inventory definition from the list down below.

1: Start Count: Click this button to start the count. As 3.2 Cycle Count Process on a Handheld Device explains, the rest of the process will be carried out with a handheld device.

Either the corporate user can assign a cycle count to a specific employee, and the employee will see the assigned cycle count under their login on the POS and handheld device.

Or the employee can start the cycle count himself from Employee-CC login.

1. Click "Start Count," shown in the top right corner.
   
2. The Start Count screen will appear, as shown in Figure 3.1.1 below.
   

1. Select the definition and start the cycle count process on the handheld device. As the 3.2 Cycle Count Process on a Handheld Device explains, the rest of the process will be carried out with a handheld device.
   

You can also start the cycle count from the POS directly. To get more information on Cycle Counts from POS, read here: Cycle Counts POS.

3.2. Cycle Count Process on a Handheld Device

1. The employee must ensure that the FTx Cloud Handheld app is authenticated. If it is not, you will see Figure 3.2.1 below.
   

                               Figure 3.2.1

1. To authenticate the device, the employee enters the API username and password. (Support will assist with this initial setup; this does not have to be done regularly).

                                  Figure 3.2.2

1. If the store location is missing in the settings, the device will prompt the employee to set it first. The employee needs to click on the Settings icon to do so.

                              Figure 3.2.3

1. As shown in Figure 3.2.4, the employee clicks the "Location" button to enter or select the location.

                         Figure 3.2.4

1. Click on "Select Location" to change/select location.

                       Figure 3.2.5

The selected location will be displayed as highlighted in Figure 3.2.6.

                        Figure 3.2.6

1. Once the device authentication and location setting processes are completed, the employee needs to log in with their employee ID and password.
   

                            Figure 3.2.7

1. Once the employee is logged in, the screen on their handheld device will look like the one shown in Figure 3.2.8. To start the cycle count, the employee clicks on the Cycle Count icon .

                                   Figure 3.2.8

1. The employee clicks the + icon in the bottom right corner and selects the predefined inventory definition, as displayed in Figure 3.2.9.

                                           Figure 3.2.9

1. The device prompts a confirmation, as highlighted in Figure 3.2.10 below. The employee clicks "YES" to proceed. 

                                                Figure 3.2.10

1. The employee can choose two modes for the selected inventory definition: Backroom Mode and Floor Mode. 

                                                         Figure 3.2.11

Backroom Mode vs. Floor Mode: 

1. Backroom Mode: A backroom is a stockroom that is used to handle excess items. Employees use Backroom Mode. Mostly, employees are bound to Floor Mode only, but if they cycle count the backroom too, the number of units that the system is displaying should be changed physically or otherwise. For example, if the QOH is five units for the backroom, the employee should not move that item to the floor or transfer/sell/adjust it.
   

2. Floor Mode: In this mode, the accounting is done for the items in the inventory definition that are present on the floor. The employee can directly move to Floor Mode, but if they need to count for both modes, they must count for the backroom first.

Based on the inventory definition, the system will fetch the items expected to be counted in the right column. If, by any chance, an item that is listed is not scanned, the system will read the QOH for that item as 0 unless the "Set Uncounted to Expected Qty" button is pushed before completing the count, in which case the non-counted items will remain at the inventory levels they were before the count.

1. Once the required mode is selected, the employee scans the item or manually searches for it by entering the UPC in the search bar.
   

1. Once done, the Item Entry pop-up screen will appear on the handheld device, displaying the item name, Purchasing QOH, Subunit QOH, and Retail Price. The employee fills in the numbers of Actual QOH.

                                              Figure 3.2.12

1. In case of any incongruency, the employee can search again or rescan the item. If the incongruency persists, you can edit the values on the resultant screen. See Figure 3.2.13.

                                                       Figure 3.2.13

1. If the item is rescanned or researched, the system will prompt to append or replace it, where replacing means replacing the older account and appending means adding to it.
   

                                                              Figure 3.2.14

1. When the count is completed, the employee can press the Back button (as highlighted in Figure 3.2.15). 
   
2. The rest of the process is carried forward from Control Center.

                                                                 Figure 3.2.15

4. Viewing the Cycle Count in Control Center

1. Click the View button highlighted in Figure 2.1 above.
   
2. The View Cycle Count screen will appear, as Figure 4.1 shows.                                                         
   

1. Any record having a variance will be highlighted in Red. The records without variance will be in Green.
   
2. These are items that the system expected to have in the physical inventory, but the user did not count them. So, if you Save (Reconcile) the cycle count, it will zero (0) those items out. 
   

If an item is not counted, the system assumes it is not physically present in inventory.

You can customize which columns are displayed by using the Columns button and restore the default view at any time using the Reset button.

                     Figure 4.2

1. Reconciled By: User who reconciled the cycle count.
2. Reconciled At: Date and time of reconciliation.
   

3. Product Filter & Rollup View: This section controls how products are displayed in the grid. Helps narrow down and organize product data for easier review

1. Product Filter (All Products): Filters the grid to show specific products or groups
   
2. Rollup View (On/Off): When disabled, displays individual product entries. When enabled, it groups related items (such as parent/child products) into a summarized view.
   
3. Search: This button lets you search the product by its Name or UPC and displays the search-related data in the Cycle Count Report.

4. Cycle Count Information Ribbon

                                                                                         Figure 4.3

This ribbon provides summary metrics and grid controls.

1. Settings: Use this option to control how items scanned multiple times during a cycle count are displayed, making it easier to review results, investigate discrepancies, and audit scanning activity.
   
1. Show Items Scanned Multiple Times: This option controls whether products that have been scanned more than once during the cycle count are displayed in the Cycle Count Information grid.
   
                       Figure 4.4

1. When set to NO (default): Products scanned multiple times are grouped into a single row. The grid shows the final consolidated count for each item. Recommended for normal review and reconciliation, as it keeps the list clean and easier to read.
   
2. When set to YES: Products that were scanned more than once are displayed individually. Each scan event is shown separately.
   
1. Total Products: Displays the total number of products included in the cycle count.
   

1. Uncounted Products: Indicates how many products have not yet been counted.

1. Variance Products: Shows the number of products where the counted quantity does not match the expected (snapshot) quantity.

1. Total Variance: Displays the combined quantity variance across all products in the cycle count.
1. Negative value - shortage
   
2. Positive value - overage
   
   
2. Switch Font: Click to toggle between large and small font sizes in the Cycle Counts table.

1. Columns (All Selected): From the associated drop-down, check and select the number of columns to be displayed in the Cycle Count Table.
   
                           Figure 4.5
   
2. Reset: Use Reset Columns if the grid layout has been customized and you want to quickly return to the standard, system-defined view. 

                                Figure 4.6

1. Color Legend for Cycle Count: The legend in the Cycle Count Information popup provides a clear explanation of all color highlights used for rows and text, enabling users to accurately interpret system indicators.
   

1. Name: This column gives the name of the accounted product.
   
2. UPC: The UPC of the product that is scanned during the cycle count is in this column. Clicking UPC will open-up Item Activity/Scan Order/User Adjusted Count History explain 4.1. Viewing Item Activity / Scan Order / User Adjusted Count History.
3. Scanned: This column gives out the value of the items scanned via a handheld device.
   
4. Counted: This column shows the value of the manually punched items.

The benefit of having these two values (scanned and counted) separated is that it prevents incongruencies in manual entries and also prevents the potential theft threat.

1. Backroom Count: This column displays the values of items scanned and counted in the backroom.
   
2. Floor Count: This column displays the items counted on the floor.
   
3. User Adj Count: This field should only be used if an item was missed.
   
4. Total Count: This column displays the total values in the Backroom Count, Floor Count, and User Adj. Count.
   
5. Qty Sold: The quantity of the product sold during the inventory count.
   
6. Breakdown Qty: This is the quantity sold during the cycle count that underwent parent-child breakdown during sales. That quantity is mentioned here during the count. For example, you have two packs of cigarettes at the counter and sell 3. In such situations, the system knows that it can't be done; hence, it will break down the one parent quantity (1 carton) into child quantities (10 packs), and if a pack is sold, then nine packs will be left. Depending on the quantity sold, the remaining value of the child item would become the breakdown quantity. If nothing is sold, ten will be the breakdown quantity.
   
7. Snapshot Qty: Snapshot Qty is the expected Quantity-On-Hand during the cycle count and is initially generated the first time an item is scanned in the count.
8. Other Adjustments: If any other adjustment is needed, it is mentioned in this column.
   
9. Adj Total Count: Adjusted Total Count is the sum of Quantity Sold, Breakdown Quantity, and Total Count.
   
10. Adj Snapshot Count: The difference between the Snapshot Quantity - Breakdown Quantity/Quantity Sold.
    
11. Variance Count: This is the adjusted snapshot, the difference between the Adjusted Total Count and Adjusted Snapshot Count.
    
12. Variance Dollars: The variance count X price of one unit of the product will give the variance dollars.
    

6. Buttons:


                                        Figure 4.7

1. Cancel: Using this button lets you cancel the changes made to the cycle count.
   
2. Add Notes: Using this button lets you add notes to the cycle count.
3. View Notes: Using this button lets you view the notes added to the cycle count, if any. The Notes History screen will appear when you click this button. It will show all notes added to the cycle count, as well as information about the user who added them and timestamps. 
   
4. Print Report: Using this button will let you download and print the report as a PDF, CSV, or Excel file with the selected option toggled.
   

                                                 Figure 4.8

1. Print Type: Select the type of report you want to print from: Hybrid Report, Detail Report, Rollup Report, Scan Order, or Worksheet. 
   

1. Hybrid Report: A report that shows both detailed information and summary totals.
2. Detail Report: A report that lists all the small, specific details.
3. Rollup Report: A report that adds up information from child items to their parent items to give an overall summary.
4. Scan Order: The report with the order in which items or places are scanned.
5. Worksheet Report: A report listing all worksheets created to track items counted or adjusted during cycle counts.

2. Sorted by Variance: Enable this button to sort the report by variance in the report. 
   
3. Show Only Products with Variance: Enable this button to include only products with variance in the report.
   

1. Remove Wash Item: It removes products where the rolled-up variance equals zero, that is, when the parent variance plus all child variances cancel out after rollup.
   When enabled, such zero-net (wash) items are excluded from the Cycle Count Print Details report to match the rollup grid behavior.

2. Show Only Items Scanned Multiple Times: Enable this button to include only products that are scanned multiple times. 
3. Show Products With Cost Variance: Enable this button to include only products with cost variance.
   
4. Export Type: Choose the export format: PDF, CSV, or Excel.
5. Include Header: Enable this button to include the header. 
   
6. Send As Email: Enable this toggle button to send the report's PDF file to the email ID. The Email Address field will appear. Enter the email ID(s) and click "Send Email."
   

                                      Figure 4.9

1. Refresh: This button will help you refresh the data displayed in the Cycle Count Report.
   
2. Save (Reconcile): This button will help you apply the verified cycle count data to the inventory. No inventory movement will be applied until this button is clicked.
3. Clicking on "Confirm" will ensure that the variance is applied to the inventory levels. If the products with variance are applied, the system will adjust their inventory.
4. Set Uncounted Quantity to Expected Quantity: This button helps you set the uncounted quantity to the expected amount.
   
                                            Figure 4.10 
5. Cancel: This button will help you discard the changes made.
   
6. Review: This button lets you review the cycle counts.
   
7. Add Notes: This button lets you add remarks to the cycle count record. 4.3. Add Notes to the Cycle Count explains further details. 

1. User Adjusted Count History: Displays a history of manual quantity adjustments made to the item during the cycle count. It records the quantity before and after each adjustment, the time of the change, and the user who made it. This section ensures accountability and helps explain differences between scanned counts and final quantities.

4.2. Right-click a product listed in the Cycle Count

         

4.3. Add/View Notes

1. Please refer to Figure 4.3.1 and the description below to add notes to a cycle count record. 

                                                              Figure 4.3.1

1. Click the "Add Notes" button. The Notes screen will appear. Enter your notes in the Note1 field. 
   
2. Click this "Add" button to save the notes you have entered. 
   

The "View Notes" button shows the total number of added notes. Click on it to view the notes.    

                                              Figure 4.3.2

5. FTx Academy Training Course 

Learn how to manage inventory counts in FTx POS with this FTx Academy video.