What is the threshold dollar value for an automatic adjustment on a pilferable item?

The threshold dollar value for an automatic adjustment on a pilferable item is less than $100. This is a critical figure in warehouse operations because it helps manage loss prevention and inventory accuracy. Items classified as pilferable are those that are at higher risk for theft or unauthorized removal, meaning that organizations must establish strict guidelines for the handling and adjustment of these items.

By setting the automatic adjustment threshold at less than $100, warehouse operations can efficiently address discrepancies without requiring excessive administrative oversight for minor losses. This allows for a balance between maintaining accurate inventory records while minimizing the resources spent on investigating small losses that might not significantly impact overall inventory value.

Higher thresholds would complicate the inventory adjustment process, increasing the risk of overlooking significant losses and making it harder to maintain accurate records. Thus, keeping the threshold at this level is a practical decision in managing pilferable items in warehouse operations effectively.