Last Updated on April 22, 2024 by Ossian Muscad
If you’ve ever worked in the receiving department of a business, then you know how important receiving logs are. A receiving log records every delivered item, when it was delivered, and who received it. With this information, you’ll be able to track inventory, reconcile invoices, and more. In this article, we will discuss what receiving logs are and how to make one. We’ll also review some of the benefits of using a receiving log.
What is a Receiving Log?
A receiving log is a document that keeps track of what was given and when it was sent. It’s used and completed by the company’s receiving staff, who will then share it with the receiving team, accounting staff, and other management levels. A receiving log contains valuable information such as:
- What was delivered
- The date of delivery
- The recipient’s information
These details are important because they help businesses keep track of their inventory and reconcile invoices. Receiving logs are usually used for businesses that sell physical products.
Why Are Receiving Logs Important?
Receiving logs are a common document used by warehouse or inventory managers to track the incoming influx of goods. They work similarly to a delivery note or Goods Received Note.
Verifies Your Order
The primary reason you should use receiving logs is to ensure everything paid for arrived on the exact date and in great condition. At the same time, it verifies that the type and number of incoming goods are accurate and in line with expectations.
Inventory Management
Receiving logs are also helpful for inventory management purposes. Apart from missing items, a receiving log can also be used to track expiration dates, which is useful for inventories or tracking the number of products in stock.
Accounting and Finance
Receiving logs plays an important role in accounting and finance. As mentioned earlier, the data from receiving logs are used to settle invoices and ensure that the vendor paid the correct amount. This is also helpful in identifying any discrepancies between what was ordered and what was received.
Elements of a Receiving Log
A typical receiving log contains the following elements:
- The time and date the delivery was received;
- Name of the person who carried out the delivery;
- Mode of transportation used;
- The list of items received;
- The amount of each item received;
- Proof of purchase and shipping details;
- The condition of the items received; and
- The name of the person or group receiving the items.
For record-keeping purposes, the head of the receiving staff may need to sign off the receiving log once it’s passed to them. Other people may also need to sign the document, such as the person in charge of delivering the goods. That way, both parties are aware of what was delivered and when.
In other cases, receiving logs can also be used as an incident report form. For this situation, the log should include a field for the receiving staff to fill out for potential issues, such as damaged goods.
How to Make a Receiving Log?
Now that we know what receiving logs are, and why they’re important, it’s time to learn how to make one. Creating a receiving log from scratch can be daunting, but we’ve covered you.
Here’s a step-by-step guide on how to make a receiving log:
Step 1: Choose Your Format
The first step is to decide what format you want your receiving log to be in. Do you want it to be a physical document or an electronic spreadsheet? Both options have advantages and disadvantages, so it’s important to choose the format that will work best for your needs.
If you opt for a physical receiving log, choose a sturdy notebook that can withstand moving around a lot. You’ll also want to make sure that the notebook has enough pages for all of your receiving logs.
If you prefer an electronic receiving log, you can use a program like Microsoft Excel or Google Sheets. These programs allow you to easily add and remove rows and columns, which can be helpful if you need to change your receiving log.
Step 2: Create a Header
The next step is to create a header for your receiving log. The header will have the following information:
- The name of your business
- The date the receiving log was created
- The name of the person who created the receiving log
If you’re using an electronic receiving log, you can create the header by inserting a row at the top of your spreadsheet. You can write the header information at the top of the first page using a physical receiving log.
Step 3: Add Column Headers
After you’ve created a header, you’ll need to add column headers to your receiving log. The column headers will vary depending on what information you want to include in your receiving log, but some common ones are listed below:
- Date Received
- Time Received
- Delivery Method
- Sender
- Description of Goods
- Quantity Received
- Unit Price
- Total Price
- Condition of Goods
If you’re using an electronic receiving log, you can add column headers by inserting a row at the top of your spreadsheet and typing in the header information. You can write the column headers at the top of the second page using a physical receiving log.
Step 4: Start Logging Receipts
The fourth and final step is logging receipts in your receiving log. For each receipt, be sure to include the following information:
- The date the receipt was received
- The time the receipt was received
- The delivery method used (e.g., UPS, FedEx, USPS)
- The name of the sender- A description of the goods received
- The quantity of each item received
- (If applicable) The unit price of each item
- The total price of the receipt
- The condition of the goods received
If you’re using an electronic receiving log, you can add this information by inserting a row below the column headers and typing in the information. You can also write this information on the next available page using a physical receiving log.
Frequently Asked Questions (FAQs)
Q1: Can I customize the columns in my receiving log to match the specific needs of my business?
Yes, you can customize the columns in your receiving log to fit the specific needs of your business. Whether you are using a physical log or an electronic one, you can add or remove columns based on the type of information you need to track. For example, businesses dealing with perishable goods may need to include an “Expiration Date” column.
Q2: How often should I update my receiving log?
Your receiving log should be updated immediately after the goods have been received. This ensures that inventory records are current, which is critical for accurate inventory management and for reconciling purchase orders and invoices.
Q3: Is it necessary for both the sender and receiver to sign the receiving log?
While it’s not strictly necessary for the sender to sign the receiving log, having both the sender (or the delivery representative) and the receiver sign the log can provide an additional layer of verification and accountability for the goods received.
Q4: How long should I keep my receiving logs for accounting and auditing purposes?
The length of time you should retain your receiving logs depends on your local regulations and your company’s policy. However, it is common practice to keep these logs for at least seven years to satisfy accounting and auditing requirements.
Q5: Can I digitalize the receiving log process for efficiency?
Absolutely, digitizing your receiving log process can increase efficiency, reduce the risk of errors, and make it easier to search and track inventory. Using inventory management software or cloud-based spreadsheets can facilitate this transition.
Q6: What should I do if I find discrepancies between what was ordered and what was received?
Discrepancies should be addressed immediately by contacting the supplier to notify them of the issue. It’s important to document these discrepancies in your receiving log and retain any correspondence as part of the resolution process. Depending on the situation, you may need to return the incorrect items, request a refund, or wait for the correct items to be delivered.
Create a Receiving Log with DATAMYTE
DATAMYTE is a quality management platform with low-code capabilities. Our Digital Clipboard, in particular, is a low-code workflow automation software that features a workflow, checklist, and smart form builder. This tool lets you build custom receiving logs that can be accessed and filled out on any mobile device, making it easy to log receipts in real time.
DATAMYTE also lets you conduct layered process audits (LPA), a high-frequency evaluation of critical process steps, focusing on areas with the highest failure risk or non-compliance. Conducting LPA with DATAMYTE lets you effectively identify and correct potential defects before they become major quality issues.
With DATAMYTE, you have an all-in-one solution for quality management, allowing you to streamline processes, improve efficiency, and maintain accurate records. Book a demo now to learn more.
Conclusion
Now that you know how to make a receiving log, it’s time to put your knowledge into practice! Use our guide to create your receiving log, and start tracking your receipts today. Creating a receiving log is essential for any business — large or small. Not only does it help with organization and record keeping, but it can also be helpful in dispute resolution. So, if there’s ever an issue with a delivery, you’ll have all the information you need to resolve the problem quickly and efficiently.
