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Cycle Counting

In this step, you complete the system settings for the physical inventory method of cycle counting by defining the individual cycle counting indicators for the given plant.
The cycle counting indicators are used to group the materials together into individual categories.

Recommendation

Normally, the cycle counting indicators are assigned when an ABC analysis is run. However, different indicators can be defined, if necessary.

Activities

1. Define the allowed cycle counting indicators in the plant.
2. Make the required settings for each indicator.
Remember that the total of the percentages must be 100 if you want to assign the indicator to the individual materials as part of an ABC analysis.