Using Stock Allocation

Stock allocation is a mandatory step preceding the creation of a Shipment. The purpose of stock allocation is to reserve or ring-fence stock for a Sales Order.

Stock allocation decreases the balance of free stock. When you allocate stock, you increase the on-hand balance by the amount of stock allocated.

Stock Allocation: Configuration

The configuration of the Sales Order determines whether or not, and how the stock is allocated.
 

Stock allocation configuration for a Sales Order can be accessed at :

SALES > Sales Orders > Select Sales Order > Configure Edit > Ordering and insufficient stock levels section.

Saving with insufficient stock

Using this option, you can define the default Save behavior of a Sales Order Document.

The main purpose of this setting is to allow the system to decide, how the stock should be allocated, in case there is insufficent stock; and whether manual intervention is required.

The available options are as follows -
  • Do not allow document to be saved.
  • Do not allocate any available stock.
  • Allocate any available stock.
  • Over allocate stock.

Issue warning before saving

When this option is checked, Sales Order will present the user with a list of options, in case ther is insufficient stock of any line Items.

The options are-

Do not allocate any stock | Do not allocate any more stock

Do not allocate any stock - Do nothing. This option is displayed when you are creating a new Sales Order and there is insufficient stock.

OR

Do not allocate any more stock- This option appears when editing a previously saved Sales Order and the system could only partially allocate stock.

Allocate any available stock

If any stock is available, it will get allocated.

Over allocate stock

Allocate stock even if it is unavailable.

Over allocation of stock is generally not a good idea, as it will always distort the average costs of the Items.

Manually edit allocation

When this option is selected, it makes the allocation column editable.

It allows the user to allocate the desired quantity in the allocation column.

Kit Allocation: Configuration

Items in Kits get allocated when the user saves the Sales Order.

The Kit Allocation settings enables the user to define, how far along the journey the order can progress, if there is insufficient stock to fulfill a Kit.

Kit Items allow for

  • partial shipment or
  • partial allocation.

To  configure kit allocation, go to:

SALES > Sales Orders > Select Sales Order > Configure Edit > Ordering and insufficient stock levels section.
 

Kit Items: Allow for partial shipment

Checking this option, will enable Items in Kits to be partially shipped.

In other words, if there is insufficient stock, the available Items in Kits will be shipped.

The remaining items will be shipped as and when the stock becomes available.

Kit Items: Allow for partial allocation

Checking this option, will enable Items in Kits to be partially allocated.

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