Defining Inventory

This task is only available if “Individual Product” is selected as the Product Type on the General Product Setup screen.

The Inventory Locations screen allows you to enter information on locations of warehouses and bins where inventory is received.

Inventory locations can be used for both “inventoried” and “non-inventoried” products. Non-inventoried products will use an inventory location if packing slips are required to deliver the product. A non-inventoried INV product used as a "package" of other inventoried INV products defined as components should have a warehouse defined. This will result in the system populating the order line Fulfill Status as "Not Fulfilled" upon adding the non-inventoried INV product to an order with the system Default Inventory Status value set to "Active". The non-inventoried INV product order line will not be invoiced and shipping charges will be correctly calculated and applied to it based on the component inventoried INV product order lines as part of the "package". The non-inventoried INV product order line would be invoiced via the INV200, INV610, or INV620 processes. If the non-inventoried INV product order line is invoiced via manually updating the Fulfill Status to "Pre-Shipped", the shipping charges will be removed because shipping is not charged for non-inventoried inventory product order lines that are Pre-Shipped.

Unfortunately, for some organizations this may cause an issue as defining a warehouse for a non-inventoried INV product causes any of its order lines to appear on packing slips, which is undesirable because the reality behind this type of product is that it does not have an actual inventory location/bin. To avoid this, as of 7.5.0, a new flag has been added in the INV_PRODUCT_DETAIL table at the warehouse/bin level called INCLUDE_ON_PACKING_SLIP. This flag is exposed on the Inventory Locations screen for INV products and will default as checked. The only function of this flag is to stop the order line for a non-inventoried INV product with a warehouse defined from appearing on the pick lists and packing slips when unchecked.

Products in point-of-sale (POS) warehouses can only be purchased if a POS batch is open. POS warehouses cannot be used on the web, because POS batches are not supported on the web. Therefore, if you want to "pre-sell" inventoried products on the web, you must create a non-POS warehouse, in addition to the POS warehouse, and either transfer or add inventory to the non-POS warehouse.

To specify inventory information:

1. From the Personify360 main toolbar, select Products > Product Central.
The Product Maintenance search screen displays.

2. Click Search to find a product or click Create New Product.

3. From the Subsystem Specific task category, click Inventory Information.
The Inventory Locations screen displays, as shown below.

4. Click Add Location.

5. Select the Warehouse from the drop-down.

6. By default, new locations are active. If the location is inactive, uncheck the Active checkbox.

7. As of 7.5.0, by default, the Include on Packing Slip checkbox is checked. If necessary, uncheck this checkbox.

8. Click the Bin Location to search for and select the appropriate bin located in the selected warehouse.

9. Enter a Fulfillment Priority.

The Fulfillment Priority will default to the next number in the sequence. For example, if one location already exists, the Fulfillment Priority will default to ‘2’. This field can be edited. If the location requires a higher priority, enter the Fulfillment Priority number and the other locations will update accordingly.

10. If this is a new inventory product, click Receive Initial Inventory.
The Inventory Receipt screen displays.

The fields in the Current Inventory at this Location section are only enabled if the “Direct Inventory Update” checkbox is selected on the Inventory Parameters screen during the organization unit setup. These fields should only be enabled and edited in an emergency situation.

11. Click Save.

Screen Element	Description
Inventory Locations
Add Location	Button. This adds a new entry to the Inventory locations table.
Receive Initial Inventory	Button. When clicked, the initial inventory information is received for the location based on the cost recorded in the system for inventory. This button is only displayed when adding the first location to a new product.
Location Detail
Warehouse	Drop-down. The warehouse where the inventory is stored. Only active warehouses will be available in this drop-down. The options in this drop-down are defined on the Warehouse Definition screen. For more information, please see Defining Warehouses. POS warehouses cannot be used on the web because POS warehouses required a POS batch.
Bin Location	Link. The name associated with a storage bin in the selected warehouse.
Fulfillment Priority	Text box. When this product is ordered, it is retrieved from the warehouse based on the priority number set here. If this warehouse has a priority of “1,” then the inventory is retrieved from this warehouse first. If the inventory is not available at this warehouse, then the system will move to the warehouse with the next numeric priority, and so on. A priority of zero (0) indicates that the warehouse is a storage location only and it is not a warehouse used for shipping. This value increments by 1 from the last warehouse value. Two warehouses of a product cannot have the same fulfillment priority number.
Active	Checkbox. When checked, indicates the warehouse location is active. When unchecked, users are warned on the Inventory Receipt and Transfer screen that this is not an active location.
Include on Packing Slip	Checkbox. As of 7.5.0, when checked, the system will stop the order line for a non-inventoried INV product with a warehouse defined from appearing on the pick lists and packing slips when unchecked.
Current Inventory at this Location
Back Order	Text box. Displays the quantity of the product that is on back order at this warehouse.
On The Books	Text box. Displays the quantity of the product (unsold unit) that is on the books. This is inventory as represented in the General Ledger. This number multiplied by the unit cost should equal the GL inventory number. This number decreases only after invoicing, when cost of goods sold (COGS) transactions are created that relieve inventory. The On The Book or On The Shelf quantity, as opposed to the available quantity, is used for calculation when returning an inventoried product.
On The Shelf	Text box. Displays the sum of the Committed with No Packing Slip, Committed with Packing Slip, and Available totals.
Committed with No Packing Slip	Text box. The number of units for which there are current orders but no packing slips have been generated. They are counted as on the shelf but not available for future orders.
Committed with Packing Slip	Text box. The number of units for which there are current orders and packing slips have been generated, but the products are not yet shipped. They are counted as on the shelf but not available for future orders.
Available	Text box. The number of units that are available for inclusion in future orders. This total is the On the Shelf minus the Committed with No Packing Slip and Committed with Packing Slip. If no units are available, the product is placed on back order. As of 7.5.0, if this product has been setup to display on the web, the Product Status on the General Setup screen is set to "Discontinued" (D), and the Available quantity defined here is greater than 0, the "DISCONTINUED" product alert will display on the Product Listing and Product Detail pages on the web for this product, as shown below. Additionally, if the Available quantity defined here is less than or equal to the Limited Quantity Threshold defined on the eBusiness Control screen, the "ONLY [n] AVAILABLE" product alert will display on the Product Listing and Product Detail pages on the web for this product, as shown below. If the product is out of stock (Available quantity defined here = 0), the Allow Back Order checkbox on the General Setup screen is NOT checked, and the Display Out-of-Stock on Web checkbox is checked on the eBusiness Control screen, the "OUT OF STOCK" product alert will display on the Product Listing and Product Detail pages on the web for this product, as shown below.
Inventory Across All Location
On Back Order	Displays the quantity of the product that is on back order at this warehouse.
On the Books	Displays the quantity of the product (unsold unit) that is on the books. This is inventory as represented in the General Ledger. This number multiplied by the unit cost should equal the GL inventory number. This number decreases only after invoicing, when cost of goods sold (COGS) transactions are created that relieve inventory. The On The Book or On The Shelf quantity, as opposed to the available quantity, is used for calculation when returning an inventoried product.
On the Shelf	Displays the sum of the Committed with No Packing Slip, Committed with Packing Slip, and Available totals.
Committed no Packing Slip	The number of units for which there are current orders but no packing slips have been generated. They are counted as on the shelf but not available for future orders.
Committed with Packing Slip	The number of units for which there are current orders and packing slips have been generated, but the products are not yet shipped. They are counted as on the shelf but not available for future orders.
Available for Sale	The number of units that are available for inclusion in future orders. This total is the On the Shelf minus the Committed with No Packing Slip and Committed with Packing Slip. If no units are available, the product is placed on back order.
Total Inventory Value- On the Books	Calculated based on the quantity on the books.
Total Inventory Value- Available	Calculated based on the quantity available for sale. The formula is average unit price * total available for sale = total inventory value available. Personify360 uses the average unit cost in order to calculate total inventory value available. Navigate to the Inventory History screen to view your average cost information. This number is an average of your original cost and your received cost and it is located in the New Cost column, as highlighted below. It is calculated by using the following logic: 1. Multiply original quantity by original cost to get the original unit price (original quantity * original cost = original unit price) 2. Multiply received quantity by received cost to get the new unit price (received quantity * received cost = received unit price) 3. Add the original unit price to the new unit price to get the total unit price (original unit price + new unit price = total unit price) 4. Add the original quantity to the received quantity to get the total quantity (original quantity + received quantity = total quantity) 5. Divide total unity price by total quantity to get the average unit price (total unity price / total quantity = average unit price) For example, to calculate the average unit price for the product shown in the in the image below: 1. 500 * 4.00 = 2, 000 2. 200 * 2.50 = 500 3. 2,000 + 500 = 2,500 4. 500 + 200 = 700 5. 2,500/700 = 3.5714 Now, you take the average unit price and multiply it by the quantity that is available for sale in order to find the total inventory value available (average unit price * total available for sale = total inventory value available). For example, you have 695 products that are available for sale and your average unit price is $3.57. You would take 695 and multiply it by $3.57 to get $2482.14 (695 * 3.57 = 2482.14). Your total inventory value available would be $2482.14 in this example. The system rounds, but you can still calculate it manually. If you work backwards, you can validate the value that is displaying in the Total Inventory Value Available field. For example, your average unit price is $3.62, total inventory value available is $2,481.89, and you have 685 products available for sale. To validate that the total inventory available is $2482.14, you would divide $2481.89 by 685, which equals $3.62319. This matches your average unit price. However, if you do not work backwards, and multiple total average cost by total available for sale ($3.62 * 685), you get $2,479.70, which does not match the $2,481.89 amount listed on the Total Inventory Value Available field.