Stocktaking is the operation of physically counting the items held in stock and then valuing them to determine their book value. It makes it possible to compare the theoretical stock (the one recorded in the system) with the actual stock present in the warehouse, and to identify any stock discrepancies (theft, breakage, data-entry errors, shrinkage).
In France, the annual stocktake is a legal obligation: article L.123-12 of the Commercial Code requires that the existence and value of asset items be checked at least once every twelve months. Several methods coexist: periodic stocktaking (one large count at the end of the financial year), perpetual inventory (continuous updating with every movement) and cycle counting (counting subsets of items on a rolling basis throughout the year).
Valuation relies on standard conventions, most often the weighted average cost (WAC) or first in, first out (FIFO). To prioritise counts, many organisations rely on the ABC analysis, which focuses effort on the highest-value items, and on rotation rules such as FEFO for products with an expiry date.
eyeot's Stock module keeps track of stock movements and levels, which serves as the basis for reconciliation during stocktaking campaigns.