Mike's Inventory Management Blog

Why a Mid-Year Inventory Count Can Drive Profits, Accuracy, and Efficiency in Your Parts Department

Written by Mike Bachara | June 13, 2025

Annual inventory counts are a standard practice in every auto dealership’s parts department, especially as year-end approaches and businesses prepare for tax season. But if you’re only counting your inventory once a year, you may be missing out on major opportunities for cost savings, operational efficiency, and better customer service.

More and more automotive service centers and dealerships are discovering the value of a mid-year inventory count—a strategic move that can provide critical insights and measurable returns. At Pro Count West, we specialize in helping auto dealerships uncover hidden inefficiencies and unlock profitability through smarter inventory management.

Here’s why adding a mid-year count to your calendar makes good business sense.

1. Save Money—and Time—With Better Inventory Accuracy

A mid-year inventory count does more than update your numbers—it helps uncover issues in your inventory tracking and shrinkage patterns while they’re still manageable.

Here’s how it helps:

  • Spot Discrepancies Early: Errors that might go unnoticed in an annual count—like recurring mis-picks, lost parts, or incorrect bin placements—can be caught mid-year and corrected before they snowball.
  • Avoid Year-End Premiums: Inventory service providers are in high demand at year-end. By scheduling a summer count, you can often access lower rates and more flexible scheduling.
  • Replace the Year-End Count: If your mid-year count is thorough and professionally executed, it may eliminate the need for a second count in December—saving you time and labor during the busiest season.

Improved accuracy reduces costly mistakes, improves ordering efficiency, and increases confidence in your data.

2. Boost Profitability Through Operational Improvements

A well-executed physical inventory count can directly contribute to a healthier bottom line:

  • Better Stock Visibility: Knowing exactly what you have on hand allows you to avoid double ordering, free up tied-up capital, and make smarter purchasing decisions.
  • Accurate Valuations: Regular counts ensure that inventory values are correct, which helps with financial reporting and protects your margins.
  • Increased Team Efficiency: When your system matches your shelves, your team can work faster, spend less time troubleshooting stock issues, and keep jobs moving through the service bay.

Think of a mid-year inventory as a system tune-up for your entire parts operation.

3. Deliver Better Customer Service Through Reliable Part Availability

Few things frustrate customers more than being told their vehicle repair will be delayed due to a missing part—especially when your system showed it in stock. That disconnect often stems from inventory inaccuracies, not poor service.

A mid-year count helps prevent those situations by:

  • Ensuring on-hand quantities match system data
  • Reducing backorders caused by misplaced or misallocated parts
  • Improving service timelines and customer trust

When your parts inventory is reliable, your service team can confidently commit to deadlines—boosting satisfaction and long-term loyalty.

4. Move Aging Inventory Before It Becomes Obsolete

Every parts department has a “graveyard” of aging or obsolete parts collecting dust—and tying up capital. A mid-year inventory review can help you catch those slow-moving items while there’s still time to act.

With better data, you can:

  • Spot declining demand trends early
  • Run targeted promotions or clearance sales
  • Trade or transfer parts to other dealerships or service centers in need

Regular inventory audits empower you to be proactive—not reactive—about managing your parts lifecycle.

5. Strengthen Your Forecasting and Purchasing Decisions

Inventory management isn’t just about tracking what’s in stock—it’s about planning for what comes next. A mid-year count helps you fine-tune your forecasting and purchasing strategy by providing clean, up-to-date data for:

  • Seasonal demand planning
  • Parts turnover analysis
  • Adjusting safety stock levels and reorder points

With clearer insights, your purchasing team can make smarter decisions that reduce waste, increase availability, and align better with actual demand.

Ready to Improve Your Inventory Management?

If you're looking to streamline operations, reduce overhead, and enhance your customer experience, a mid-year inventory count is one of the smartest moves you can make.

At Pro Count West, we offer expert inventory services tailored specifically for automotive parts departments. Whether you run a large dealership or a smaller service center, we’ll help you turn your inventory into a competitive advantage.

Contact us today to schedule your mid-year count or learn more about how we can help your business become more profitable through precise, professional inventory solutions.