Inventory shrinkage: why it happens and how to stop it

After a stock count, you have less on hand than the records say — sound familiar? Shrinkage isn't always theft — often the cause is the record-keeping itself: when receipts, sales, returns and write-offs are logged in different places, discrepancies are inevitable. The fix is to record every movement in one system.

Where shortages come from

Deliveries are received incorrectly

Goods from a supplier are entered without being counted, or under a different name — so stock is wrong from day one.

Sales and returns go unrecorded

Sales made outside the register, returns or exchanges never make it into the notebook.

Write-offs leave no trace

Broken, expired or sample goods don't show up anywhere.

No one knows who did what

Everyone shares one notebook or one login, so when a discrepancy appears there's no way to find who's responsible.

How a system reduces shrinkage

01

Every movement in the system

Receipts, sales, returns, transfers and write-offs — each one is recorded with a document, a date and the employee's name.

02

Sales reduce stock automatically

Goods sold at the register or in the online store are deducted from inventory automatically, with no manual subtraction.

03

Personal logins and permissions

Each employee works under their own login and can only carry out permitted actions: who did what is always known.

04

Quick stock counts

Count results are compared with the stock in the system, and items with discrepancies show up immediately.

05

Reports and alerts

Stock movement reports and Telegram messages about important events (for example, a large return) — we set them up for you.

Where to start

Fighting shrinkage starts not with expensive cameras but with a simple rule: every item has to enter the system and leave through the system. When the receiving document, the register sale, the return receipt and the write-off record all affect the same stock figure, tracking down a discrepancy becomes much easier.

In MasalaHal POS, the register, inventory and online store all work from the same stock; for a larger warehouse and supply operation, we build a tailored CRM/ERP system. Solutions for your industry: grocery store, building materials, pharmacy.

Also known as

Business owners also describe this problem as stock discrepancies, missing inventory or stock that “doesn't add up”. In Uzbek it's usually called “sklad kamomadi”, “tovar yetishmovchiligi” or “qoldiq to'g'ri kelmayapti”, and in Russian “недостача на складе”, “расхождение остатков” or “пересорт”.

FAQ

Frequently asked questions

Nobody can guarantee zero shrinkage, but part of it comes from record-keeping errors. When every movement is recorded in the system, you can see where a discrepancy appeared and who it relates to — which makes it easier to find the cause and stop it from happening again.

Because the system always knows your stock levels, full counts can be done less often, while expensive and fast-selling items can be spot-counted more frequently. We'll set the routine together based on your business.

Each warehouse and branch keeps its own stock, and transfers between them are recorded with documents, so goods don't vanish in transit.

First we enter the product list and opening stock into the system (it can be imported from Excel), then you start running the register and deliveries through the system. After the first stock count, your records start from a clean slate.

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