Round 38 of our Dynamics GP vs. Dynamics 365 Business Central Functionality Face-Off heads out to the warehouse floor with a clipboard: it’s physical inventory count day.
Nobody loves count day. The shelves get counted, the numbers come back, and somebody has to key them all in and explain the differences. Both GP and Business Central have real tools for this — snapshots, count sheets, variance postings. The difference is in how the work gets organized, especially when more than one person is counting.
Let’s count it down.
How you do it in Dynamics GP
GP’s stock count feature is a genuinely nice part of the Inventory module. It runs on a schedule-and-entry pattern.
Step 1 — Set up the calendar and cycles (optional but smart). The Stock Count Calendar (Tools >> Setup >> Inventory >> Stock Calendar) defines which days counts can happen. The Stock Count Cycle Assignment window (Cards >> Inventory >> Count Cycle Assignment) sets how often each item-site combination should be counted, so GP can suggest next count dates (Microsoft Learn — Inventory Control year-end procedures).
Step 2 — Build and start the count. Open the Stock Count Schedule window (Inventory >> Transactions >> Stock Count Schedule) and list the item-site combinations to count. When you choose Start Count, GP takes a snapshot of the on-hand quantity for every line — the Captured Qty — and prints the stock count forms your team uses on the floor (Microsoft Learn — Inventory Control in Dynamics GP).
Step 3 — Key in the results. Everyone’s paper forms come back to one place: the Stock Count Entry window. Someone types the Counted Qty for each line, marks it Verified, and GP calculates the variance against the captured snapshot (Microsoft Learn — Posting transactions for a stock count).
Step 4 — Investigate and post. For lines with a variance, the Unposted Trx and Trx History buttons help you figure out whether a transaction posted between the snapshot and the count. When you’re satisfied, choose Process — GP creates variance transactions, and if you marked Auto Post Stock Count Variances, it posts them too. Newer GP builds even added an Export/Import button so you can round-trip the count through Excel.
It’s a solid routine. But notice the funnel: however many people count, one window and usually one person absorbs all the data entry.
How you do it in Business Central
Business Central gives you two paths: a quick physical inventory journal, and a document-based flow built for teams — physical inventory orders and recordings.
Step 1 — Create the order. Search for Physical Inventory Orders and choose New — typically one order per location. Use Calculate Lines to prefill the order with every item and its expected quantity (Microsoft Learn — Count inventory using documents).
Step 2 — Split the count into recordings. Choose Make New Recording to generate a physical inventory recording — the actual count sheet. Here’s the team move: you can create several recordings from one order and hand different groups of items to different employees. Each recording prints with blank quantity fields for the floor count.
Step 3 — Enter counts where they happened. Each counter (or a scanner integration) fills in the Quantity field on their own recording lines — including serial and lot numbers for tracked items, which ties straight into what we covered in Round 37 on lot and serial tracking. When a recording is done, its owner chooses Finish, and the quantities flow to the matching order lines automatically.
Step 4 — Finish and post the order. The manager reviews the order, where BC has already calculated the differences, then finishes and posts it. Positive and negative adjustments hit the item ledger, and the whole count — order, recordings, and results — is saved as a posted document you can pull up years later. It’s a built-in segregation of duties: one person prepares and posts, others count (Microsoft Learn — Count inventory with physical inventory orders).
Cycle counting is built in too. Assign a counting period code (monthly, quarterly) on the item card, and the Calculate Counting Period action pulls up exactly the items due for a count — no separate calendar setup (Microsoft Learn — Count, adjust, and reclassify inventory).
Side by side
| Task | Dynamics GP | Business Central |
|---|---|---|
| Count setup | Stock Count Schedule window per item-site list | Physical inventory order, one per location, Calculate Lines prefills |
| Count sheets | Stock count forms printed at Start Count | One or more recordings printed from the order |
| Splitting the work | One count, one entry window | Multiple recordings per order, one per counter or area |
| Entering results | Keyed into Stock Count Entry centrally | Entered on each recording; Finish rolls them up |
| Cycle counting | Stock calendar + count cycle assignments | Counting period code on the item card |
| Audit trail | Variance transactions in inventory history | Full posted order with recordings, dates, and who counted |
Why BC comes out ahead
Credit where due: GP’s stock count schedule, captured-quantity snapshot, and variance handling have made count day manageable for a generation of warehouses, and the Excel export made it better still.
Business Central’s edge is that the process is built for more than one set of hands. Recordings split a big count across people cleanly and roll back up without retyping. The count itself is a document — not just the variance transactions it produced — so the audit trail includes who counted what and when. Cycle counting hangs off a simple code on the item card, the same low-setup pattern we liked in Round 24 on inventory adjustments. And because it’s all in the browser, a counter with a tablet can enter quantities standing in the aisle instead of handing paper to the office.
Fewer retyping steps, cleaner accountability, faster count day. That’s the modern version.
Make your next count day the easy kind
Aisling Dynamics helps GP shops carry their count routines — calendars, cycles, and all — into Business Central without missing a beat. See what we offer, then contact us or call (251) 293-0555 to talk it through before your next count.
Next up in the Face-Off: kitting and assembly — GP’s Bill of Materials kits vs. Business Central assembly orders. See you tomorrow.
Suggested URL: https://aislingdynamics.com/physical-inventory-counts-dynamics-gp-vs-business-central/