What action should be taken prior to conducting a physical inventory?

Notifying all relevant personnel before conducting a physical inventory is essential because it ensures that everyone involved is aware of the inventory process and their specific roles during the inventory count. This communication helps prevent confusion, minimizes disruption, and ensures that the inventory is conducted smoothly and accurately. It allows team members to prepare adequately, which can include confirming their schedules and understanding their responsibilities.

When personnel are notified in advance, they can also raise any questions or concerns that might affect the inventory process, helping to identify any potential issues before they arise. This proactive approach fosters teamwork and accountability, contributing to a successful inventory count. The other options, while relevant to broader operational effectiveness, do not directly address the immediate preparatory action needed prior to the physical inventory taking place.