PARTS INVENTORY USING REYREY - WIP

[drjay]

having trouble getting a straight answer so I am here to consult with the best of the best !!! when doing a parts physical inventory - we isolated all of our parts in wip on parts invoices and service work orders and DID NOT count them on our count sheets or hand write sheets ... assuming they would be part of the wip... we are seeing these parts put into a negative on hand once they are invoiced .. as well my inventory doesn't balance with accounting - can anyone shed some light on this for me ?? greatly appreciated .. Jason

[greenthumb-38]

the value is pulled from the WIP reports, but the counts need to be manually re-added. or so I have been told...

this is a typical problem with dealertrack, but only on the parts invoices that have not been closed and posted to acct'g. Repair Order parts work just fine.

~ gt is speaking from dealertrack/arkona experience, not reyrey.

[queenbee]

we haven't done a physical inventory yet since going on Reynolds, but they explained to me that only repair orders are included in the WIP (and therefore should be excluded from counting). They told us we should count parts on open invoices since on hand quantity isn't reduced until invoices are closed.

[drjay]

from what I can see currently , it appears the service work order side of things with WIP isn't affected and doesn't throw a wrench into the count , just open parts invoices with parts on them..

based on your responses and my re counts on these parts - it seems to be just parts invoices , which is more or less the value I was out with the accounting side of the fence.

you guys rock !! thanks for the responses and feel free to add anymore for this or other "tricks' ..

Peace out ... Jason

[Fixed Ops Mgr]

Been to many years since I was on reyrey however many other DMS systems will have a report that shows wip on parts invoices and wip on ro's. These
values need to be added back into your inventory value on your parts pad when comparing $ to the accounting gl $ The counts on wip report need to be
added back into your inventory counts also because those invoices and ro's have not yet posted to accounting and accounting has not lowered the inventory value yet.
It would not make sense to me that your parts invoices and repair orders are treated any differently. If the parts are in wip stage then they need to be
added back into your parts inventory value no matter if they are on an invoice or ro.
Hope this helps a little.

[drjay]

yeah I get that the WIP values have to added to the reconciliation stage , but on parts open invoices which we didn't physically count - reduced the on hands ..

so for example I did an sor parts wholesale order before our physical inventory , 3 of the 4 parts I had in stock and I put those on the open invoice as sold. the 4th part came in after the physical count then I closed off the invoice and delivered them. once doing this it put those 3 of the 4 parts into a negative on hand. I find it odd that reyrey is doing this with WIP parts on invoices but not service work orders , etc etc... ( I'm former CDK user ) ....

[queenbee]

I also came from CDK, we just switched to Reynolds in April. On Reynolds, the difference between a repair order and a parts invoice is: When you bill a part to a repair order, the on hand quantity is immediately reduced. But when you bill a part to a parts invoice (or an appointment), your on hand quantity doesn't change. Your available quantity is immediately reduced, but on hand quantity doesn't get reduced until the invoice is closed. I think their logic is that when you bill a part to a repair order, you immediately give it to the technician, whereas a part you bill on an open invoice is still physically in the parts department. It was pretty confusing for us to wrap our hands around at first, and sometimes still.

[PartsPlant81]

yeah I get that the WIP values have to added to the reconciliation stage , but on parts open invoices which we didn't physically count - reduced the on hands ..

so for example I did an sor parts wholesale order before our physical inventory , 3 of the 4 parts I had in stock and I put those on the open invoice as sold. the 4th part came in after the physical count then I closed off the invoice and delivered them. once doing this it put those 3 of the 4 parts into a negative on hand. I find it odd that reyrey is doing this with WIP parts on invoices but not service work orders , etc etc... ( I'm former CDK user ) ....

When they did the physical count on the 3 parts you had in stock did they show quantity on hand and did they count them as shelf stock or did they show quantity of zero and record them as a write in during inventory?

[drjay]

they were not counted at the physical thus marked as a zero. once we closed the invoice it pushed those 3 into a negative on hand.

yeah I get that the WIP values have to added to the reconciliation stage , but on parts open invoices which we didn't physically count - reduced the on hands ..

so for example I did an sor parts wholesale order before our physical inventory , 3 of the 4 parts I had in stock and I put those on the open invoice as sold. the 4th part came in after the physical count then I closed off the invoice and delivered them. once doing this it put those 3 of the 4 parts into a negative on hand. I find it odd that reyrey is doing this with WIP parts on invoices but not service work orders , etc etc... ( I'm former CDK user ) ....

When they did the physical count on the 3 parts you had in stock did they show quantity on hand and did they count them as shelf stock or did they show quantity of zero and record them as a write in during inventory?

[PartsPlant81]

They should have been counted during the physical if they weren't on a closed invoice yet IMO.