Process Inventory Adjustment
To maintain an accurate perpetual inventory, any change to inventory must be recorded on a timely basis. While many transactions are recorded immediately, such as sales, the following inventory adjustments must be entered into the system within one day of the event. Inventory Adjustments are not allowed on Category SKUs.
Use Store Inventory Adjustments in MMS to reduce inventory for Departments 3-8 merchandise. These transactions affect the unit perpetual inventory and financial inventory, except known theft which only affects perpetual inventory.
Inventory Adjustments submitted in MMS is only for removing inventory. To add, submit an Inventory Adjustment Request in eStore Portal
Inventory Accounting audits all inventory adjustments. You may be contacted with questions or clarification.
Reason Code | Use for… |
|---|---|
S1 Supply Usage | Store supplies that have been taken from the store’s inventory and used by the store, such as printer ink, paper, pens, etc. Markdowns are captured automatically. |
S2 Damages | Removing from inventory merchandise that meets all three of these conditions: 1. Is damaged 2. Can NOT be returned to the vendor 3. Is NOT in saleable condition This merchandise must be destroyed or donated and removed from the store. If the merchandise will be donated, follow the instructions for Donations in the Policy and Procedure Manual. Markdowns are captured automatically.
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S3 Mark Out of Stock | Removing from inventory merchandise that meets all three of these conditions: 1. Permanently marked down to $0 2. Has NOT been donated 3. Is NOT damaged or expired merchandise This merchandise must be destroyed or donated and removed from the store. If the merchandise will be donated, follow the instructions for Donations in the Policy and Procedure Manual. Note: MMS will show $0.01 for any items that have been marked down to zero $0 as instructed by the home office.
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S5 Known Theft / Shrink | Removing from inventory merchandise that is missing because of a known theft. This reason code can also be used to remove from inventory items missing for an unknown reason. Use the code this way only as a last resort after researching the discrepancy. Try to locate the merchandise by searching all areas of the store and review receiving and shipping reports to ensure that there is not an error that needs to be corrected.
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S6 Expired | Removing from inventory convenience merchandise that is expired. This merchandise must be destroyed; do not donate expired items or permit store associates to consume them. Markdowns are captured automatically. |
Process Store Inventory Adjustments
1. From the MMS Main Menu, select Store Inventory Adjustments.
2. Type or scan the SKU# to be adjusted.
- or -
xxSelect the open SKU/UPC/ISBN field, select Lookup, select the SKU from the list, and select Accept.
3. Type the Quantity. (Type the amount that you want deducted from your inventory count. If MMS reports 10 on hand, but you actually have 8, type 2.)
Note: The quantity must be a positive number.
4. In the Reason Code field, select the correct Reason Code from the list.
5. Repeat steps 2-4 to adjust additional SKUs.
6. When you are finished, select Accept Transactions.
7. At the prompt, select Yes to accept the adjustments.
8. Select the Save or Printer icons to save or print the Inventory Adjustments report that appears on the screen and follow the prompts.
You must allow popups on your computer for the reports to display for printing. Click here for directions on allowing popups.
