Inventory Protocol
How we receive, count, and manage retail inventory

Inventory Management Protocol

Accurate inventory keeps our shelves stocked for clients, prevents lost revenue, and ensures every team member can confidently recommend and sell products. Tracking inventory is a shared responsibility - everyone who touches retail product plays a part.

Receiving New Shipments

When an order is placed with any vendor (Aveda, Comfort Zone, or Jane Iredale), the system automatically reads the confirmation email and creates a Purchase Order in SalonBiz. The PO will already be there when the shipment arrives - you do not need to create it.

When a shipment arrives

  1. Open SalonBiz → Products → Orders (Purchase Orders).
  2. Find the PO for that vendor - look for "Auto-PO" in the notes column. It will have the vendor's order number.
  3. Open the PO and compare it to the packing slip in the box.
  4. Count every item - verify quantities match what the PO says.
  5. If anything is missing or damaged, note it on the PO before receiving. Set damaged product aside and notify management immediately. Do not shelve damaged product.
  6. Click "Receive" on the PO to update inventory counts.
  7. Shelve products by brand and category (Aveda hair together, Comfort Zone together, Jane Iredale together, etc.).
  8. Follow First In, First Out (FIFO) - new stock goes behind existing stock on the shelf so older product sells first.

Why same-day receiving matters

The inventory system tracks how fast products sell and automatically suggests when to reorder. It only works if receiving is done right away. If a shipment sits unreceived, the system thinks we are still low on those products and may suggest ordering more - which means we could end up with double the stock we need.

The rule: receive shipments the same day they arrive.

Daily Physical Counts

Instead of counting an entire brand in one sitting, we break inventory into small daily counts by subcategory. Every product across all brands gets counted once per cycle, then the schedule starts over automatically - you just check the Count Schedule each day to see what is assigned. There are no counts on Thursdays or Saturdays (busy days) and some buffer days are built in with no count. If the salon is closed for a holiday, the rotation picks up where it left off the next business day.

Count Process

Use the SalonBiz Stylist app on your phone to do counts - you do not need to be at the front desk computer. This lets you walk the floor and count product right where it sits instead of going back and forth.

Both front desk staff can count at the same time. If there are multiple subcategories assigned for the day, split them up - one person takes one category, the other takes a different one. You will each create your own count session in the app.

How to count in the SalonBiz Stylist app

  1. Check the Count Schedule for today's assigned subcategories.
  2. Open the SalonBiz Stylist app on your phone.
  3. Go to Inventory → Counts → New Count.
  4. Select the assigned subcategory.
  5. Walk to the shelf where that category lives and count systematically from one end to the other.
  6. Enter the physical count for each product as you go. Count what is on the shelf AND any backstock in storage.
  7. When finished, review any variances the app flags.
  8. Recount any item with a large variance before finalizing.
  9. Process the count in the app, then complete the daily sign-off.

After Counting

  • Check the Inventory Dashboard to review low stock items and count history.
  • Flag any product with 2 or fewer units to management for reorder.
  • Note any patterns - if the same product keeps showing shrinkage, report it.

Shrinkage & Discrepancies

  • A variance of 1-2 units is normal - it could be a recent sale not yet synced, a miscount, or a return in progress.
  • A variance of 3+ units requires investigation:
    • Recount the product.
    • Check if there is backstock that was not included in the count.
    • Check recent sales and returns in SalonBiz.
    • Report to management if the discrepancy cannot be explained.
  • Repeated shrinkage on the same product will be escalated.

Reorder Guidelines

The system automatically monitors stock levels and suggests reorders based on how fast each product sells. Management reviews and approves orders from the Inventory Reorder Dashboard. Your role:

  • Flag any product with 2 or fewer units to management - even though the system tracks this, an extra heads-up helps.
  • High-velocity items (top sellers) should never drop below 3 units.
  • Do not wait until something is at zero to speak up. By then we have already lost sales.
  • Receive shipments the same day they arrive - this is the single most important thing you can do to keep the system accurate.

Product Rotation & Expiration

  • Always rotate stock: oldest in front, newest in back (FIFO).
  • Check for damaged packaging during counts - pull anything that cannot be sold and set it aside for management review.
  • Comfort Zone products have expiration dates - check them during Comfort Zone count days.
  • Report any expired or nearly expired product to management so it can be removed from the floor.

Vendor Ordering

Management handles all ordering. The system automatically tracks sales velocity and suggests what to order and when. You do not need to place orders, but you should:

  • Flag low stock early. If you notice a product is running low during your count or while helping a client, let management know. Do not wait until it hits zero.
  • Check for POs when shipments arrive. A Purchase Order will already exist in SalonBiz - find it under Products → Orders and receive it the same day.

How auto-PO works (for reference)

When management places an order with a vendor, the vendor sends a confirmation email. The system automatically:

  1. Reads the email and parses the invoice
  2. Matches every product to our SalonBiz inventory
  3. Creates a Purchase Order in SalonBiz with the correct items, quantities, and costs

All three vendors are supported:

  • Aveda - Orders placed on avedaeo.com
  • Comfort Zone - Orders placed through the CZ rep or portal
  • Jane Iredale - Orders placed through the JI B2B portal or rep

Tools & Links

Questions about inventory procedures? Ask your manager or refer to the SalonBiz training guide.