Delivery mix-up creates £1500 deficit. Stocktaking true stories

Stocktaking true story. Real stories from stocktakers and stock auditorsOn a recent job I calculated a large unexplained deficit of £1500.  In these challenging trading times that could be devastating to many businesses.

With a deficit of this size experience leads me to check the purchases first.  Working through the paper invoices that had been made available for the stocktake, I was able to pinpoint a possible explanation.

2 invoices, 1 signed delivery note

There had been a delivery on a Monday followed by the same products delivered on the Tuesday.  Although there were two different invoices there was only 1 signed delivery note for the Tuesday delivery.

On checking with the steward it became apparent what had happened.  The delivery had been scheduled for the Monday but the steward was not there to see the delivery in.  The beer was therefore returned to the brewery but the invoice was still issued.  The beer was then sent out the following day and a further invoice was raised.  Obviously, it should not have happened but human error does occur.

Worryingly both invoices had been paid by direct debit and no-one had picked up the error. Had a stocktake not been carried out it is unlikely that it would have been discovered.

Happily, once the brewery was informed a credit was raised and the client was £450 better off instead of showing a deficit of nearly £1500 at retail.

That one correction went a long way towards justifying the stocktaking fees for the next few months!

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Stocktaking is an important business tool but most people are unaware of the benefits and savings it can bring a business. We want to promote the trade by highlighting just how we, as a profession, really add value. So, if you have a great story please tell us about it via the  website contact form.

ILTSA Bulletin: news e-zine issued for stock auditors



This article was included in the May ILTSA e-zine. You can see more articles in our blog or you can download a PDF copy, print it off and read at your leisure.

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