Count day begins with a short meeting: who owns each zone, how tags or scanners work, and when receiving and shipping pause. Auditors listen for gaps between the written procedure and what floor supervisors actually plan to do.
We then select locations to test—high-value SKUs, slow movers, and a few random bins. Your counters still perform the count; we observe method, cut-off of movements, and whether damaged stock is set aside.
Common exceptions include open shipments left on the dock, consignments mixed with owned stock, and units counted twice when tags move between aisles. None of these are unusual; they become problems only when undocumented.
After the floor work, we compare a sample of count sheets to the perpetual records. Large variances need explanation the same day while memories are fresh—mis-picks, unit-of-measure errors, or unfinished put-away.
Send the final compiled count file within the agreed window. Late compilations force re-observation or heavier year-end substantive testing, which extends both cost and calendar for the full audit engagement.