What this is
What is a damaged stock record?
What is a damaged stock record?
A damaged stock record is the document raised whenever stock is found damaged in storage or handling. It captures the location, the material, the likely cause, what was done with the damaged units, and whether the cause is a one-off or a repeat at that location.
Who completes a damaged stock record?
The area owner where the damage was found, at the time it is found. A record written up later from memory tends to lose the location detail and the cause, which are the two fields that make the record useful beyond the immediate write-off.
Does a damaged stock record replace an inventory adjustment?
No. The damaged stock record establishes what happened and why; the inventory adjustment authorisation actually changes the system stock figure. The two are linked by reference, not merged, because the adjustment needs its own authority.
Scope
When is a damaged stock record required?
This record is one step in a larger programme. Using it for work that belongs to a neighbouring template produces records that are hard to report on later.
Use this template when
- Stock is found damaged in storage, handling, picking, loading or in transit within the site
- A pallet, case or unit is identified as damaged during a cycle count, location audit or routine handling
- Damage needs a disposition decision: release, rework, downgrade, return to supplier, scrap or destroy
- A pattern of repeat damage at one location needs to be flagged toward a layout or equipment change
- A linked record needs this one to exist: it feeds inventory adjustment and racking inspection
Do not use it for
- Cycle Count Record, which counts a defined slice of stock while operations continue, rather than recording a single damage event
- Stock Count Variance Investigation, which investigates why a counted quantity did not match the system quantity, before anybody adjusts it
- Inventory Adjustment Authorisation, the separate instrument that actually changes the system stock figure and needs its own authority
- Stock Location Audit, which assesses a location and its layout generally, rather than a single damage event within it
- Anything outside KnowLogistics, which belongs in the workspace that owns that process
Compliance mapping
Which ISO 9001 cl.8.7 requirements does this satisfy?
ISO 9001 does not prescribe a damage record format. Clause 8.7 and the surrounding clauses require that nonconforming stock is controlled, its disposition decided by someone with the authority to decide it, and the event retained as evidence, which gives this record its structure.
| Clause | Requirement | Where it lands |
|---|---|---|
| ISO 9001 cl.8.7.1 | Nonconforming output identified and controlled to prevent unintended use or delivery, including segregation | Response |
| ISO 9001 cl.8.7.2 | Documented information retained describing the nonconformity, the action taken, any concession obtained and the authority deciding the action | Outcome |
| ISO 9001 cl.8.5.2 | Identification and traceability of outputs, including their status against monitoring requirements | Header |
| ISO 9001 cl.8.5.4 | Preservation of outputs during production and storage to maintain conformity, covering handling and storage conditions | Cause |
| ISO 9001 cl.10.2.1 | On nonconformity: react, deal with the consequences, and evaluate the need for action to eliminate the cause so it does not recur | Cause |
| ISO 9001 cl.10.2.2 | Documented information retained on the nature of nonconformities, actions taken and the results of any corrective action | Outcome |
| ISO 9001 cl.9.1.3 | Analysis and evaluation of data arising from monitoring and measurement, including nonconformity trends | Outcome |
What it does not cover
- The corrective action itself, which belongs in a CAPA record once a repeat or systemic cause is identified, not in the damage record that first flagged it.
- Racking safety inspection, which is a distinct dedicated inspection of the rack structure, triggered by this record but not replaced by it.
- Inventory adjustment, which requires its own authorisation record with the reasoning and evidence for changing a system stock figure.
- Supplier or carrier claim, where damage originates before receipt and needs a claim process against the responsible party.
- Product traceability or recall assessment, required where damage raises a food safety question extending beyond the damaged units.
Global
Damaged Stock Record requirements by country
ISO 9001 is a voluntary certification standard rather than a legal duty, so its reach depends on what a site has committed to. Where the site handles food or perishable materials, general food law adds a duty a damage record can be called on to evidence.
ISO 9001:2015, clauses 8.7 and 10.2
Certification requires nonconforming output to be controlled and documented, and audits examine whether the disposition and its authority are recorded.
A certification body will ask to see damage records with a disposition and, where damage repeats, evidence the cause was evaluated.
Retained Regulation (EC) 178/2002 and the Food Safety Act 1990, where the stock is food
A food business must be able to trace and, where necessary, withdraw product that does not meet safety requirements.
A damage record for food stock supports the traceability chain a withdrawal would need, particularly where damage compromises packaging.
21 CFR Part 117, current good manufacturing practice, where the stock is food
Requires rejected, damaged or returned material to be identified, held and evaluated before further use or disposition.
A damage record showing segregation and a documented disposition is the evidence an inspector will look for on rejected material.
How to complete it
How to complete a damaged stock record, step by step
The template prompts for a quantity and a disposition easily enough. What makes the record worth keeping is what nobody has to fill in to close it.
Once the damaged pallet is moved to the rework area or the skip, the aisle looks normal and the cause becomes a guess. Recording the location and the likely cause at the point damage is found, with a photograph where practical, separates a defensible record from a plausible one written up later.
Damaged stock left in the pick face while someone decides what to do with it can be picked by mistake, or contaminate adjacent stock if the damage involves packaging integrity or leakage. Segregation is the first action, not a step after the disposition is decided.
Release, concession and return to supplier carry different risk and cost than scrap or destroy, and a disposition decided by whoever found the damage is not the same as one decided by someone with authority to accept that risk. The record should show who decided, not just what.
Marking Adjustment Raised as Yes closes the stock figure. It does not close the reason the damage happened. Where the same location or handling step keeps producing damage, the record needs to connect to a layout or equipment change, or the adjustment will keep recurring.
What auditors find
Most common damaged stock record findings
The damage record is usually completed promptly, because the stock adjustment depends on it. The findings concern the cause, once the quantity is written off.
| Finding | Clause | What fixes it |
|---|---|---|
| Location and cause left blank or vague, so damage cannot be linked to a pattern. | ISO 9001 cl.8.7.1 | Require the location reference and a specific cause before the record can be marked complete. |
| Disposition decided before damaged stock is segregated, risking further picking or cross-contamination. | ISO 9001 cl.8.7.1 | Sequence the workflow so segregation is recorded before the disposition field becomes available. |
| Repeat At This Location marked Yes on successive records with no layout or equipment change proposed. | ISO 9001 cl.10.2.1 | Force Layout Or Equipment Change Proposed to Yes once repeat damage at a location crosses an agreed threshold. |
| Value left blank, so the damage trend the scoring is meant to track is incomplete. | ISO 9001 cl.9.1.3 | Make Value required above a minimum unit count, so the trend reflects actual cost rather than a partial figure. |
| Adjustment Raised marked Yes with no Adjustment ID entered, leaving the stock ledger and the physical count apart. | ISO 9001 cl.8.5.2 | Block record closure until a valid Adjustment ID is linked whenever Adjustment Raised is Yes. |
| Racking Or Location Design marked Yes with no Racking Inspection ID entered. | ISO 9001 cl.8.7.2 | Require the linked racking inspection reference whenever the rack or location itself is implicated as a cause. |
Case in point
Case in point: the write-off that kept coming back
A chilled distribution site logged damaged film and cartons roughly twice a month, always at the same corner of the same aisle, always scrapped, always closed with an adjustment reference and nothing in the cause field beyond handling equipment impact. Six months of correct records existed, none connected to each other because nobody had reason to read the previous one before writing the next.
A location audit flagged the pattern from the outside, by counting the same aisle in the damage log rather than reading any single record. The corner sat on a forklift turn tighter than the truck's swing radius allowed for a loaded pallet. The fix was a widened turn and a mirror, not the packaging review each earlier record had recommended in isolation.
The template
The template, field by field
The form exactly as it installs. Every field, option, score and conditional rule is editable, and the links to other templates come with it.
4 sections
- Reference
- LOG-017
- Archetype
- Record
- Record ID
- DMG-2026-000
- Scoring
- Damage value trend
- Direction
- High is bad
- Singleton
- No
- Basis
- ISO 9001 cl.8.7
- Links
- Feeds Inventory Adjustment and Racking Inspection
- Tags
- Inventory, Damage
- Sections
- 4
- Fields
- 41
- Follow up fields
- 3
- Repeating sections
- 0
- Links out
- 5
Header
15 fieldsRecord ID*
Auto sequence. Format DMG-2026-000.
The record's own ID. Other templates point at this value.
Status*
Drives who this goes to next.
- Planned2 pts
- In progress2 pts
- Complete3 pts
- Deferred0 pts
- Open0 pts
- Closed3 pts
- Overdue0 pts
Date and Time*
Completed By*
Site*
Site ID*
Format SITE-000.
Links to FDN-001 Site ID
Area
The area within the site.
Exact Location
Drop a pin for anything hard to find.
Material
Units Damaged*
Value
Location Reference*
Where It Happened*
Receiving, putaway, storage, picking, loading or in a vehicle.
- Receivingnot scored
- Putawaynot scored
- Storagenot scored
- Pickingnot scored
- Loadingnot scored
- In a vehiclenot scored
Photograph
The Same Corner, Every Month
Damage written off without a location and a cause is damage that repeats in the same aisle by the same movement for years.
Cause
6 fieldsHandling Equipment Impact*
- Yes0 pts
- No2 pts
- N/Aexcluded from denominator
Stacking Or Load Height*
- Yes0 pts
- No2 pts
- N/Aexcluded from denominator
Pallet Condition*
- Yes0 pts
- No2 pts
- N/Aexcluded from denominator
Racking Or Location Design*
- Yes0 pts
- No2 pts
- N/Aexcluded from denominator
Product Packaging Inadequate*
- Yes0 pts
- No2 pts
- N/Aexcluded from denominator
Repeat At This Location*
- No3 pts
- Yes0 pts
Response
6 fieldsDamaged Stock Segregated*
- Yes2 pts
- No0 pts
- N/Aexcluded from denominator
Assessed For Rework Or Downgrade*
- Yes2 pts
- No0 pts
- N/Aexcluded from denominator
Disposition Decided*
- Yes2 pts
- No0 pts
- N/Aexcluded from denominator
Adjustment Raised*
- Yes2 pts
- No0 pts
- N/Aexcluded from denominator
Area Made Safe*
- Yes3 pts
- Partly1 pt
- No0 pts
Cause Addressed Rather Than Logged*
- Yes2 pts
- No0 pts
- N/Aexcluded from denominator
Outcome
14 fieldsDisposition*
Scrap, rework, downgrade, return to supplier or sell as is.
- Release3 pts
- Release under concession1 pt
- Rework1 pt
- Downgrade1 pt
- Concession1 pt
- Return to supplier1 pt
- Scrap0 pts
- Destroy0 pts
Adjustment ID
Links to LOG-015 Adjustment ID
Racking Inspection ID
Links to SAF-131 Inspection ID
Recurring Problem*
- Yes0 pts
- No2 pts
- N/Aexcluded from denominator
Layout Or Equipment Change Proposed*
- Yes2 pts
- No0 pts
- N/Aexcluded from denominator
Feeds Damage Trend*
- Yes2 pts
- No0 pts
- N/Aexcluded from denominator
Action Required*
Raise the action record, then enter its reference here.
- No2 pts
- Yes0 pts
Priority
- High0 pts
- Medium1 pt
- Low3 pts
CAPA ID
Format CAPA-2026-00000.
Links to FDN-014 CAPA ID
Action Owner
Area Owner*
Signature*
Inventory Controller*
Second Signature*
LOG-017 · record IDs look like DMG-2026-000 · Feeds Inventory Adjustment and Racking Inspection
Open in KnowellaRun it with agents
From a document you fill in to a programme that runs itself
The record itself is straightforward. What slips is the link from one damage event to the next, and from a repeat pattern to the layout change that would actually stop it.
Holds the damage record against the location register, flags when the same location produces repeat damage, and checks that a raised adjustment carries a valid reference back to it.
Watches for damage records with Repeat At This Location marked Yes and no layout or equipment change proposed, and raises the gap rather than waiting for a location audit to surface it independently.
Picks up damage records where the rack or location design is implicated and checks that the linked racking inspection was actually raised and closed.
This template lives in KnowLogistics — supply chain execution. Inbound, outbound, inventory, yard, claims, supplier lifecycle and customs.
Glossary
Damaged Stock Record definitions and key terms
- Nonconforming output
- Stock or material that does not meet its specified requirements, which under ISO 9001 must be identified and controlled to prevent unintended use.
- Segregation
- Physically separating damaged or nonconforming stock from sellable stock so it cannot be picked, shipped or mixed with it by mistake.
- Disposition
- The decision on what happens to damaged stock: release, concession, rework, downgrade, return to supplier, scrap or destroy.
- Concession
- Authorisation to release stock that does not fully meet specification, granted by someone with the authority to accept that risk.
- Root cause
- The underlying reason damage occurred, distinct from the immediate mechanism, and the thing that must be addressed to stop it recurring.
FAQ
Frequently asked questions about damaged stock record
When should a damaged stock record be raised?+
At the moment damage is found, whether during receiving, putaway, storage, picking, loading or in a vehicle. Raising it later, once the pallet has moved, tends to lose the location detail that makes the cause identifiable.
Who decides the disposition of damaged stock?+
Whoever holds the authority for that decision at the site, not necessarily the person who found the damage. Release and concession decisions carry more risk than scrap, and the record should show who made the call.
Does every damaged stock record need a photograph?+
Not always required, but it is the cheapest evidence available at the time, and it becomes the only record of what the damage looked like once the stock is scrapped or reworked.
What happens if damage keeps recurring at the same location?+
The record should flag it as a repeat and connect to a layout or equipment change, rather than treating each occurrence as an isolated write-off. A pattern is only visible if each record has enough detail to compare.
Does a damaged stock record replace a racking inspection?+
No. Where the rack or storage location itself is implicated as the cause, the damage record should link to a racking inspection, which examines the structure rather than the single event.
How is a damaged stock record scored?+
Scoring tracks the damage value trend, where a high or rising value is the signal that matters. A single high-value event is worth investigating alone; a rising trend across records is worth investigating as a pattern.
Keep going
Related templates and programmes
Industries this is written for
Programmes this belongs to
Used together in Inventory Accuracy
Storage Location Register
Holds every rack, bay, chamber and yard position where material is stored, with its capacity and conditions
Cycle Count Record
Counts a defined slice of stock while operations continue, rather than shutting the site once a year
Stock Count Variance Investigation
Investigates why a counted quantity did not match the system quantity, before anybody adjusts it
Inventory Adjustment Authorisation
Authorises a change to a system stock figure, with the reason and the evidence behind it
Stock Location Audit
Checks that what the system says is in a location is actually in that location, and nothing else is
Expiry and Rotation Check
Checks that stock is being rotated correctly and that nothing is approaching or past its date
More in Inventory
Cycle Count Record
Counts a defined slice of stock while operations continue, rather than shutting the site once a year
Stock Count Variance Investigation
Investigates why a counted quantity did not match the system quantity, before anybody adjusts it
Inventory Adjustment Authorisation
Authorises a change to a system stock figure, with the reason and the evidence behind it
Stock Location Audit
Checks that what the system says is in a location is actually in that location, and nothing else is
Expiry and Rotation Check
Checks that stock is being rotated correctly and that nothing is approaching or past its date
Consignment Stock Reconciliation
Reconciles stock held on site but owned by somebody else, or held elsewhere but owned by you
Written and reviewed by
Siddarth Singh
Founder & Chief Executive Officer, Knowella
Certified Safety Professional and industrial and systems engineer with more than a decade inside food supply chain, freight and manufacturing operations. This page was written against the current text of the standards it cites, not against secondary summaries of them.
- Certified Safety Professional (CSP), Board of Certified Safety Professionals
- MBA, University of Chicago Booth School of Business
- MS and BS, The Ohio State University, Industrial and Systems Engineering
- Six Sigma Black Belt
Sources and last review. Reviewed 16 August 2026 against:
- ISO 9001:2015, clause 8.7, control of nonconforming outputs
- ISO 9001:2015, clause 10.2, nonconformity and corrective action
- ISO 9001:2015, clauses 8.5.2 and 8.5.4, identification, traceability and preservation
- 21 CFR Part 117, current good manufacturing practice, hold and disposition of rejected material (US, food)
This page is general guidance, not legal advice. Confirm requirements with your jurisdiction’s regulator.