When receiving shipments, what is a best practice to maintain inventory accuracy?

• A. Inspect for damage
• B. Verify quantities against advance ship notices
• C. Update the system promptly
• D. Leave discrepancies undocumented

Answer: (B)

Verifying quantities against the advance ship notice is the essential step to keep inventory records accurate when shipments arrive. An ASN is a document from the supplier that details what should be in the shipment, including item descriptions and the exact quantities. By comparing what you physically receive with what's listed on the ASN, you confirm you’ve got the right items and the right amounts, and you quickly spot short or excess quantities, mis-picks, or missing line items.

This practice directly ties the physical receipt to your system records, so you can update inventory with confidence and avoid carrying incorrect stock levels, which helps with future replenishment, cycle counting, and order planning. It also creates a clear basis for resolving discrepancies, whether due to packing errors, label issues, or supplier mistakes, by documenting the variance and coordinating corrections with the supplier.

While inspecting for damage is important for product quality and updating the system promptly is necessary for accuracy, neither alone ensures that the quantities match what was expected. Leaving discrepancies undocumented permits hidden errors to persist and undermines inventory control.