It has always been the popular practice to bring your stock down just before inventory. Even in the commercial world, retail stores have huge sales so that their numbers come down for inventory.

This is for two reasons:
#1 The smaller the dollar amount of your inventory, the higher your turns (tunrover) comes out. That makes you look good and the beancounters happy. That tells them that there isn't stock just hanging about doing nothing.
#2 It actually cuts down on the cost of the inventory, even if it's done inhouse. The less you have to count, the less time it takes, and the less overtime you have to pay. If it's done by a company, they usually charge a percentage of the final dollar count.

Philosphically is it honest? Are you really getting an accurate shapshot of the reality of your inventory? No. But like JCAHO, it's the floor show we all do for The Man.

Even if you have the perfect inventory, you'll still be told to cut it as close to the bone as possible. So if possible, have your inventory mid-week, so that you don't screw yourself by cutting stock Friday for the doing it on a Monday, or run the risk or running unnecessary shortages on the weekend by doing it on Friday.

Name of Facility: Kennedy Health System / 180

City, State: http://www.pharmacypurchasing.com

Years as a Buyer: >30 but Retired (for now...)

We usually do our Inventory on a Wed-Thursday. i also cut inventory the week of and try to just "get by". Like was mentioned all they care about is the bottom line. Drug inventory down---YEA! Drug Inventory up---BOO!

Name of Facility: 110

City, State: Specialty

Years as a Buyer: 4+

I use to play the inventory game. Run the stock down real low. Watch the high ticket items even at one point loaned things to another pharmacy and requested them back after inventory. There are other things that I have done and shouldnt mention. I have a new Director and decided that I dont want to play that game anynore and decided to run a true inventory even if it effected my bottom line on turns and dollars. I had a sit down with my Director and explained to him this was my intention and he told me that it is my inventory and I could do it any way that I wanted. The first years was a little rough but now everyone is use to my number and I turn my inventory about 17 times a year.

Name of Facility: 550

City, State: Teaching

Years as a Buyer: 7