Stock keeping

Question 1

What must you know to be able to get the right stock for customers (7)

Answer 1

1. What stock they require
2. Sales and profitability – how much of that product is sold and the profit it makes
3. The ‘space allocation’ as it is known, is normally done when the computer linked to the tills does an analysis of stock usage
4. Any new products that are being advertised on the television, in newspapers, magazines, social media or on posters
5. Seasonal changes in demand, for example cold and flu season and hay fever season. Also keep an eye on the weather reports
6. Location of your pharmacy – residential area, near to schools or on a high street with a lot of young children around, elderly population, etc.
7. Getting the right stock levels is a skill that takes practice. There are systems in place to help you with this – the EPOS system is a good one to use.

Question 2

What are stock checks (4)

Answer 2

1. Once the stock arrives, there are several processes you will need to follow.
2. Automatic ordering on your EPOS system will only work properly if it has the right stock levels recorded in the system.
3. Despite stock rotation and merchandising, you will still need to check that the stock is still in date on the shelves, that it is in the right place, and that the amount you have on the shelf tallies up with the amount the EPOS system tells you there is.
4. This means that you need to check the stock levels and the expiry date of all your stock, including that stored in a stock room or warehouse, at regular intervals.

Question 3

What are special orders

Answer 3

circumstances where a customer will ask you for an item you do not stock, or for something that has run out of stock.

Question 4

What happens when receiving stock (3)

Answer 4

1. Stock can arrive at the pharmacy in a variety of ways, by your supplier’s delivery vans, or via the post, or a courier.
2. When it arrives, a member of staff will be asked to sign to accept the delivery.
3. Refer to your pharmacy’s SOP on receiving stock.

Question 5

What should you check when receiving stock (12)

Answer 5

1. The item is correct against the invoice and/or delivery note
2. The pack size is correct
3. The number of packs/bottles is correct
4. The pack is undamaged, not broken, crushed, stained (which could show signs of leakage)
5. The expiry date is acceptable; generally anything that expires within three months should be sent back to the supplier
6. Special storage requirements; this is most likely to happen with dispensary orders, but if you do get things like this then these are the items you need to deal with first.
7. Let the right person know if there are any discrepancies with the order, for example pharmacist, manager/supervisor
8. Update the stock/order records on your computer
9. Make sure you follow your pharmacy’s procedures
10. Deal with stock you want to send back immediately. Most suppliers have a deadline of three working days to send stock back for credit.
11. Once you have checked the stock and unpacked it, you will then need to price it correctly and put it away.
12. The Consumer Protection Act 1987 makes it illegal to give customers wrong or misleading prices for goods or services, so any price ticket, poster, shelf sticker, or advert must have the correct price on it.

Question 6

What is stock rotation (4)

Answer 6

1. Once you have priced the stock, you then need to put it away on the shelves.
2. You must always make sure the new stock is placed behind the old stock, so the old stock is used first.
3. This is known as stock rotation, however, when you are doing this, always make sure the new stock has an expiry date that is later than the old stock.
4. This means that you should then not have stock going out of date on the shelves.

Question 7

How can you treat the whole shop as a display (11)

Answer 7

1. Window glass must be clean at all times and any shelving under the window must be swept clean.
2. If you have lights they should all be working
3. Any point of sale (POS) material should be in date, relevant, and tidy
4. no POS should be stuck to the glass with sellotape
5. If you are part of a large company you will probably have a list of approved material and fittings to be featured on the glass or within the window display
6. Tidiness of till and counter – is there enough space for customers to sign prescriptions and fill out forms and paperwork, etc.?
7. Ensure you keep the area free of patient-identifiable information
8. The back of the till/counter area should not be a storage area for paperwork, discarded products, or empty coffee mugs! The only items to be kept behind the till/ counter are those items that should be kept there ie those required to make a sale
9. The tidiness of the consultation area
10. Any area of the dispensary that can be seen from the shop floor must be clean, tidy and organised at all times
11. Shelf edge labels – if used, for example as part of EPOS, follow your pharmacy guidelines on the number of shelf edge labels and where they are positioned, with up-to-date prices and out-of-stock labels

Question 8

What are the consumer rights and legislation (6)

Answer 8

1. The weights and measures act 1985
2. The Trades Descriptions Act 1968
3. The Consumer Protection Act 1987
4. The price marking order 2004
5. The Consumers Rights Act 2015
6. The sale and supply of goods act 1994

Question 9

What is The weights and Measures Act 1985

Answer 9

This states any weight indication given to a potential purchaser should be accurate.

Question 10

What is The Trades Descriptions Act 1968 (2)

Answer 10

1. This concentrates on the need for the accurate description of goods
2. it is illegal to: apply a false trade description to any goods offer to supply goods to which a false trade description has been applied

Question 11

What is The Consumer Protection Act 1987 (2)

Answer 11

1. This addresses product liability, consumer safety and misleading price indications.
2. For instance, this is where you have to be very careful when reducing the price of goods including how long goods have to be on sale at full price before they are in the sale.

Question 12

What is The price marking order 2004 (2)

Answer 12

1. This requires any retailer, who offers any goods for retail sale, to indicate in writing the selling price of those goods. Without this it is sufficient for Trading Standards to issue a prosecution.
2. Therefore it is of utmost importance that every product should be priced.

Question 13

What is The Consumers Rights Act 2015

Answer 13

Aims to protect consumers against poor-quality products and unfair business practices or contract terms with regards to transactions, repairs, refunds and delivery.

Question 14

What is The sale and supply of goods act 1994 (3)

Answer 14

1. Defines that goods sold should be of a standard that a reasonable person would consider satisfactory, with regards to description, price and any other circumstance.
2. If your business does not satisfy these statutory rights, the customer is entitled to a refund of their purchase money.
3. It is illegal to insist that a customer accept a credit note or exchange of goods.