OCS/AGCO Inventory Adjustments

When making adjustments to the inventory of cannabis items, it is important to note that the AGCO will exclusively recognize the following Reason Code:

• OCS - Physical Inventory Count (Operationally Initiated) - A comprehensive manual inventory count of all products across the store, conducted as a standard practice by the licensed operator to ensure accuracy and manage inventory effectively.
• OCS - Physical Inventory Count (AGCO Initiated) - This is a comprehensive store-wide manual inventory count that is carried out in response to a request from the Alcohol and Gaming Commission of Ontario (AGCO). This process ensures compliance with regulatory standards and helps maintain accurate inventory records.
• OCS - Data Entry Error - An error that occurs when an employee incorrectly inputs transaction details into the Point of Sale (POS) system, leading to discrepancies in reported sales and inventory records.
• OCS - Sold Product Handling Error - An error that occurs when an employee improperly manages a product during a sales transaction, resulting in the customer receiving an incorrect quantity of the item.
• OCS - Receiving Error - This error occurs when the quantity of inventory received from a wholesaler does not match the amount specified in the purchase order, resulting in either a shortage (underage) or surplus (overage) of products.
• OCS - Cycle Count - A targeted manual inventory count focusing on specific products or categories within the store, rather than a complete storewide count. This process is initiated regularly as part of the internal business practices established by the licensed operator to maintain accurate inventory management.
• OCS - Internal Audit - A process that involves making necessary adjustments to inventory data to address discrepancies identified during audits or analytical reviews, without the need for conducting a physical inventory count.