5.1 KiB
ERP Inventory Management Guide
Overview
The ERP Inventory Management module provides comprehensive tools for managing stock levels, warehouse operations, purchasing, and inventory tracking across your organization.
Core Functions
Receive Inventory
Process incoming goods from purchase orders.
Steps:
- Enter the purchase order number
- System displays ordered items and quantities
- Enter actual quantities received for each item
- System updates stock levels and creates transaction records
- Notifications sent to relevant personnel
Key Features:
- Automatic stock level updates
- Variance tracking (ordered vs. received)
- Cost tracking and average cost calculation
- Receipt transaction logging
Ship Inventory
Process outgoing shipments for sales orders.
Steps:
- Enter the sales order number
- System verifies stock availability
- If sufficient stock, shipment is created
- Stock levels are deducted
- Customer receives shipping notification
Checks Performed:
- Stock availability verification
- Reserved quantity validation
- Backorder handling
Check Stock
Query current inventory levels across warehouses.
Information Displayed:
- Item name and code
- Quantity on hand per warehouse
- Available quantity (on hand minus reserved)
- Total across all warehouses
- Low stock warnings
- Reorder recommendations
Transfer Stock
Move inventory between warehouses.
Process:
- Select item to transfer
- Choose source warehouse
- Verify available quantity
- Enter transfer quantity
- Select destination warehouse
- System creates transfer records
Tracking:
- Transfer numbers for audit trail
- Out/In transaction pairs
- Cost tracking maintained
Cycle Count
Perform physical inventory counts and adjustments.
Process:
- Select warehouse to count
- System shows items and system quantities
- Enter physical counts for each item
- System calculates variances
- Automatic adjustments created
- Report sent to inventory manager
Data Tables
Items
- Item code and name
- Category and description
- Unit of measure
- Minimum stock level
- Reorder point and quantity
- Average cost and last cost
Inventory Stock
- Item reference
- Warehouse location
- Quantity on hand
- Quantity reserved
- Quantity available
- Last movement date
- Last counted date
Inventory Transactions
- Transaction type (receipt, shipment, transfer, adjustment)
- Transaction number
- Item and warehouse
- Quantity and cost
- Reference (PO, SO, etc.)
- User and timestamp
Warehouses
- Warehouse code and name
- Location address
- Contact information
- Capacity limits
Alerts and Notifications
Low Stock Alerts
Triggered when available quantity falls below minimum stock level.
Reorder Notifications
Automatic task creation when stock reaches reorder point.
Receipt Confirmations
Email sent to buyer when purchase order is received.
Shipment Notifications
Customer notified when order ships with tracking information.
Best Practices
Daily Operations
- Process all receipts promptly
- Ship orders in FIFO sequence
- Review low stock alerts
- Address reorder recommendations
Weekly Tasks
- Review inventory transaction reports
- Investigate any discrepancies
- Plan upcoming transfers
- Update reorder points as needed
Monthly Tasks
- Conduct cycle counts by zone
- Review slow-moving inventory
- Analyze inventory turnover
- Adjust minimum stock levels
Year-End
- Complete full physical inventory
- Reconcile all variances
- Review and adjust costs
- Archive transaction history
Frequently Asked Questions
Q: How is average cost calculated? A: Average cost is recalculated with each receipt: (existing value + new receipt value) / total quantity.
Q: Can I transfer reserved inventory? A: No, only available (unreserved) inventory can be transferred.
Q: What happens if I receive more than ordered? A: The system accepts over-receipts and updates the PO line accordingly.
Q: How do I handle damaged goods? A: Use cycle count with an adjustment to remove damaged items, noting the reason.
Q: Can I undo a shipment? A: Contact your administrator to process a return receipt transaction.
Q: How do I set up a new warehouse? A: Add the warehouse to the warehouses table with code, name, and location details.
Troubleshooting
Purchase Order Not Found
- Verify the PO number is correct
- Check if PO status is "open" or "partial"
- Ensure you have access to the vendor
Insufficient Stock for Shipment
- Check available quantity vs. ordered
- Review reserved quantities
- Consider warehouse transfers
Cycle Count Variance
- Verify physical count accuracy
- Check for unprocessed receipts or shipments
- Review recent transfers
Transfer Failures
- Verify source warehouse has stock
- Check available (not reserved) quantity
- Ensure destination warehouse is active
Reports
Available inventory reports:
- Stock Status: Current levels by item/warehouse
- Transaction History: All movements for date range
- Aging Report: Stock age by receipt date
- Valuation Report: Inventory value by category
- Turnover Report: Movement frequency analysis