| Full Physical | Cycle Count |
Includes all items in the store. | Includes a sub-set of items (typical high-value or high-shrink items). |
Closes out the period preceding the physical inventory, locking in prior data. | Does not trigger a close out, preserving the ability to make historical adjustments. |
Should be performed on a consistent schedule (e.g., monthly, quarterly) to ensure accurate financial and inventory reporting. | Can be performed at any time—daily, weekly, or on an ad-hoc basis—without interrupting business operations. |
Typically used for end-of-period reconciliation, audits, or to reset baseline inventory accuracy. | Enhances overall inventory accuracy between full physicals, helping to catch issues early. |