Workshop Checklist: Spare Parts Stock and Common Garage Mistakes

Spare parts are money sitting on a shelf. If you do not know what you have, you either run out at the wrong time or over-order what never sells. A simple routine of counting, issuing and reordering will improve your margins faster than almost any other change in a garage. The checklist below works with a notebook or software, and gives you a base to build on.

Set up the shelf first

Parts that are easy to find are easy to count. Label shelves and bins with a simple code, group parts by vehicle type or system, and keep fast-moving items near the counter. For each part, record a name that everyone uses, the brand, the vehicle models it fits, the purchase price and the selling price. Two people calling the same part by different names is a hidden cause of double ordering.

Daily routine

1. Issue parts only against a job card or counter bill.
2. Return unused parts to the shelf and record the return.
3. Record received parts against the supplier bill the same day.
4. Lock the store at closing and keep the key with a responsible person.
5. Note any part that was needed but not in stock.

That last point is valuable. A list of parts requested but unavailable is the best guide to what you should stock.

Weekly routine

Count a small group of parts each week instead of the whole store once a year. Start with fast-moving and high-value items. Compare the count with the records and investigate differences immediately. Review items below their reorder level and prepare an order. Check supplier dues and plan payments so you do not lose a good supplier's goodwill. Look at the oldest items on the shelf and decide whether to discount, return or bundle them with a service package.

Check	Frequency	Purpose
Spot count of 10 to 20 parts	Weekly	Find mismatches early
Reorder list	Weekly	Avoid stockouts
Supplier dues	Weekly	Manage cash and goodwill
Slow-moving review	Monthly	Free tied-up money
Full count	Every few months	Reset records

Common mistakes

• Selling below cost by memory: prices change when suppliers revise rates, and old selling prices stay in use.
• No supplier price history: without it, you cannot see who raised prices.
• Mixed counter and workshop stock: counter sales and job usage both reduce stock but are recorded in different places.
• Ignoring returns: defective parts returned to the supplier but never credited.
• Warranty confusion: a part replaced under warranty is not recorded, so cost is hidden.
• Free favours: parts given to friends and relatives without a record.

Price your parts properly

Spare part prices change as importers and suppliers revise rates. Review your selling prices whenever a new purchase bill arrives. Many garages keep old prices on the shelf label while the purchase cost has risen, and the margin disappears without notice. Decide a margin rule per category, such as a higher margin on small fast-moving items and a lower one on expensive items. Record the purchase price on each receipt so you can see how it changed.

Keep a separate view of parts that you sell on the counter to other mechanics, because their price is usually lower than for walk-in customers. Mixing the two without a rule makes margins unpredictable.

Warranty and returns

When a customer returns with a failed part, note the original job number, the part and the date. If the supplier accepts a return or replacement, record a credit note against that supplier. If you absorb the loss, record it as a cost so you can see which parts and brands cause the most trouble. Over time this tells you which suppliers to trust.

Who is responsible for what

Stock stays accurate when responsibility is clear. Name one person who receives parts, one who issues them and one who reviews differences. In a small garage one person may do two roles, but the reviewer should not be the same as the issuer. Write the roles on the wall. When a mismatch appears, the discussion becomes about the process, not about who is to blame, and staff are more likely to report errors early.

Credit and supplier balances

Garages often buy on credit and sell on credit. Keep two lists in view: what you owe suppliers and what customers owe you. If receivables rise while payables fall due, cash will tighten. A weekly look at both lists helps you decide whom to follow up and whom to pay first. Customers who run company vehicles often pay in bulk at month end; a statement with job and plate numbers speeds up approval at their office.

Festival rush planning

Before big festivals, many customers service their vehicles for travel home. Check the fast-moving parts a few weeks ahead: brake pads, filters, chain sets, bulbs, oil and tyres. After the rush, review what sold out and what stayed. It will guide the next year's order.

Next step

This week, pick your twenty fastest parts, count them and compare with your records. Note the differences and what caused them. WebsNP garage and workshop software ties parts issue to job cards and shows low stock and supplier dues. Message +977 9846280400 on WhatsApp for a demo. For wider shop stock, see inventory management software.

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