To identify where the on hand amount discrepancy is coming from:
- Run the On Hand Change report for the specific item to see manual and purchase order item changes to the on hand quantity.
- Run the Usage Report with the start date as the last time the quantity of the on hand amount was known to be correct. The report should only use filters for the date range, show totals, and show transactions. Other filters can restrict your report results.
- Compare both reports to find discrepancies.
Note: It is best to start at a date when the inventory items on hand amount was correct and matched your physical on hand count.