August 22, 2021 8 min read

Simplify Cycle Counts and Inventory Audits

Inventory Audit Example Image


Asset Tracking

Inventory Audit

Mobile Commerce

Process Tracking

Track & Trace

Warehouse Operations

Wholesale Ordering


A Simple Method to Improve Accuracy of Inventory Audits and Cycle Counts

Counters can improve the accuracy of cycle counts and inventory audits by using a barcode scanning app with instant count verification. The app will show the counter if the physical count of each item matches the quantity in the current inventory database.

Why conduct cycle counts and inventory audits?

The primary benefit of cycle counts and inventory audits is improved accuracy. Accurate inventory can help increase sales and customer satisfaction by having the ideal amount of inventory on hand to fulfill orders. That leads to more customers, more revenue, happier customers, and operational efficiencies to lower costs.

What are standard best practices for cycle counts and inventory audits?

Best practices include closing all item transactions during the count and investigating all significant discrepancies that are found. Comparing the system’s recorded inventory to the actual count will highlight discrepancies and allow for corrections to be made to all relevant processes.

Will counting be faster when scanning UPC/EAN or SKU barcodes?

Yes, scanning will make counting much faster. The most common method used is scanning an item’s barcode. The barcode can be a UPC/EAN or SKU barcode. The barcode can be scanned with smartphones, tablets, or dedicated mobile computers from suppliers like Honeywell and Zebra Technologies.

The most common way to count is to scan the item’s barcode and then physically count the number of items. That’s standard. A faster and more accurate way to count is to use batch scanning where up to 200 unique barcodes can be captured simultaneously. Duplicates are not captured. To apply this batch scanning technology, please contact

How does instant count verification work?

The counter is assigned credentials by the CodeREADr account administrator. They download the CodeREADr app from Apple’s App Store or from Google Play and then sign in with their issued credentials. Once signed in, the app will automatically download the administrator-supplied inventory database including the system’s current counts.

The counter scans an item’s barcode and then enters the counted quantity. The app will compare the manually entered quantity with the actual system quantity stored on the device. If it matches, the app will indicate a valid scan. If not, the app will indicate an invalid scan. If the quantity is off, the counter can then recount that item.

Can you export the record of the inventory counts?

Yes, every count can be exported as a scan record in a CSV file. Those files can then be imported to the administrator’s inventory database. The files can be uploaded manually to any database that accepts CSV imports. Uploads can also be automated based on pre-defined schedules.

Do you need to be a programmer to configure the application for instant count verification?

No, the application can be configured using these PDF instructions: Verify the Accuracy of Cycle Counts and Inventory Audits.

Can I also use the app for cycle counts and inventory audits without instant count verification?

Yes, you can. With the standard workflow, the counter does not see the system quantity until after they add the counted amount for comparison. In that way, exact counting is required.

Alternatively, the counter could see the system quantity before counting. While the counter could cut corners and simply enter that quantity as their physical count, it nonetheless can be helpful when doing a quick audit for shelf replenishment purposes.

Yet another option is to integrate in real-time with internal systems. In that way, the counted quantity can be compared with the system quantity directly and be posted to the system database immediately.

Please see our Knowledgebase for best practices, tutorials, and a broad range of available options.

Screenshots of signing into the app and scanning:

Signing In Screenshot

Screenshots showing the counted quantity matching the database quantity:

Counted quantity matching the database quantity

Screenshots showing the counted quantity not matching the database quantity:

Counted Quantity not matching the Database Quantity