Internal Count Accuracy Verification

The world’s fourth largest packaging manufacturer required the support of RGIS. The manufacturer has packaging companies in six European and nine African countries. The company manufactures packaging of all types at 18 separate divisions and is one of the few groups in the world that converts products from all base raw materials. It exports to over 50 countries world-wide.

REQUIREMENT

The packaging manufacturer needed a solution to verify the accuracy of internal stocktakes that had been completed, so required RGIS to provide the following:

  • Five sites to be counted – two in Ireland and three in the UK
  • Same process to be used irrelevant of site location
  • Validate results against the internal count
  • Feedback any issues or improvements that RGIS could suggest to enhance the internal count process

SOLUTION

The packaging manufacturer partnered with RGIS to complete the accuracy verification of internal count project, and RGIS provided the following:

  • Scheduled two experienced RGIS auditors per site, for one day
  • RGIS validated the internal count – checking 10,000 units at SKU level
  • RGIS provided feedback on each site, which was around how the stock was maintained in location to help improve accuracy when counting, also transfers were not being actioned causing miscounts
  • The accuracy of internal counts came out at 97.5% accuracy

RESULTS

The packaging manufacturer found by outsourcing the accuracy verification of internal count project to RGIS, the following recommendations were given to the customer:

  • Internal stock take process seemed fine but stock transfers being incorrect were creating large variances when the actual count was completed
  • Only issues that could possibly occur would be miscounts in the initial phase of counting, as well as stock being sent out while counts are ongoing
  • Currently only one person does the initial counts – this could be increased to  two people so they can double check the numbers against each other for insured accuracy
  • For stock being sent out – they had a system in place to deal with that, by keeping note of the pallet ID’s that went out
  • The customer was very happy with the recommendations, and took RGIS’ feedback on board going forward