What actions must be taken after a physical inventory reveals discrepancies?

When a physical inventory reveals discrepancies, it is essential to conduct investigations and document these discrepancies as part of the property accountability process. This action ensures that there is a clear and accurate record of the inventory status and highlights any potential issues, such as theft, loss, or mismanagement of property.

Conducting investigations allows the accountable officer to determine the root causes of discrepancies. These investigations may include reviewing records, checking for documentation errors, or assessing procedural adherence. Documenting discrepancies creates an official record that can be referred to for future audits and helps maintain transparency in the property management system. Proper documentation also aids in assessing whether additional training or changes to policies are needed to prevent similar issues in the future.

By following these steps, organizations uphold integrity in their property accountability practices and ensure compliance with regulations outlined in AR 735-5.