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I require a paper that outlines the exact numbers of minimum inventory required to be checked in order to be confident of the inventory. I would like this for 2 different scenarios. One is a quick rolling audit check that can be done without shuting down a facility and another longer one where work would be stopped for a certain amount of time. I require formulas to input the number of items at a specifc facility in order to know the minimum number of items to check. Additional I would like 2 or 3 different thresholds. What I mean is I want different levels of confidence in the numbers. I would like one formiula for how businesses normally do rolling inventory checks, and I would like other stricter numbers in case the people in charge want a higher level of security. Please explain the difference in the confidence levels in the paper.
The facilities number of items can range from 100 different SKUs to 2,000 different SKUs. I need a paper that shows the level of low count inventory audits but I also need to cover my bases and give an option for higher confidence counts. The supervisors need to be convinced that you don’t need to count 100% of all items in order to have a high confindece that inventory is being accurately kept. Please write the paper as if you are communicating with people with limited business knowledge who think the more you count, the better.
Please quote established business practice references to estblish credibility.
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