Inventory Movements

You can find examples of how the inventory is effected

mario avatar
Written by mario
Updated over a week ago

There are several ways your stock quantity will be changed by inventory movement. To help you understand how these movements occur in Logiwa, this article details some potential scenarios.


Purchase Orders & Inventory Receiving

Purchase order creation has no effect on inventory unless it's received. When you receive your product, the inventory level (Total Quantity) will increase automatically. 

Scenario: The product "Tobacco Leather Watchband" has a stock of 10 and you want to receive more 5 pieces of the product by purchase order.

  • Product "Tobacco Leather Watchband" is currently in stock.

    • Stock count:

      • Total quantity: 10

      • Available quantity: 10            

  • Purchase order for 5 "Tobacco Leather Watchbands" is created.

    • Stock count remains:

      • Total quantity: 10

      • Available quantity: 10

  • Purchase order is received.

    • Stock count changes:

      • Total quantity: 15

      • Available quantity: 15


Adding Inventory Manually

You can add inventory manually when necessary. When you Add Inventory, it means that your inventory level (Total Quantity) will be increased as typed quantity.

Scenario: The "Tobacco Leather Watchband" product has a stock of 10 and you want to add 22 pieces.

  • Product "Tobacco Leather Watchband" is currently in stock.

    • Stock count:

      • Total quantity: 10

      • Available quantity: 10

  • Add Inventory button for "Tobacco Leather Watchband" is clicked.

    • Stock count:

      • Total quantity: 10

      • Quantity to be added: 22

  • New inventory for "Tobacco Leather Watchband" is saved.

    • Stock count:

      • Total quantity: 32

      • Available quantity: 32

Note: Shipment orders are fed from the inventory level. Any increment of inventory may change the status of a shipment order on Shortage. Check out the Notes at the end of the article for more information.


Shipment Orders & Shipping

Shipment order creation has no effect on inventory unless it's shipped. When you ship your shipment orders, the inventory level (Total Quantity) will be decreased automatically because of the physical movement of the product. 

Scenario: The "Tobacco Leather  Watchband" product has 32 in stock. You want to ship an order with 5 pieces of packed product.

  • Product "Tobacco Leather Watchband" is currently in stock.

    • Stock count:

      • Total quantity: 32

      • Available quantity: 32

  • Shipment order is created for the 5 of the product.

    • Stock count remains:

      • Total quantity: 32

      • Available quantity: 32

  • Shipment order is shipped.

    • Stock count changes:

      • Total quantity: 27

      • Available quantity: 27


Removing Inventory Manually

You can remove inventory manually when necessary. When you Remove Inventory, it means that your inventory level (Total Quantity) will be decreased by the amount you enter.

Scenario: The "Tobacco Leather Watchband" product has a stock of 27 and you want to remove 5 pieces.

  • Product "Tobacco Leather Watchband" is currently in stock.

    • Stock count:

      • Total quantity: 27

      • Available quantity: 27

  • Remove Inventory button for "Tobacco Leather Watchband" is clicked.

    • Stock count:

      • Total quantity: 27

      • Quantity to be removed: 5

  • New inventory for "Tobacco Leather Watchband" is saved.

    • Stock count:

      • Total quantity: 22

      • Available quantity: 22


Inventory Adjustment

Inventory adjustment is another way to manually handle your inventory levels. Adjustment can add or remove inventory. 

Scenario 1: The "Tobacco Leather Watchband" product has a stock of 22, but you realize that the correct count is actually 24

  • Product "Tobacco Leather Watchband" is currently in stock.

    • Stock count:

      • Total quantity: 22

      • Available quantity: 22

  • Adjust Inventory button for "Tobacco Leather Watchband" is clicked.

    • Stock count:

      • Total quantity: 22

      • New quantity entered: 24

  • New inventory for "Tobacco Leather Watchband" is saved.

    • Stock count:

      • Total quantity: 24

      • Available quantity: 24

Scenario 2: The "Tobacco Leather Watchband" product has a stock of 22, but you realize that the correct count is actually 18.

  • Product "Tobacco Leather Watchband" is currently in stock.

    • Stock count:

      • Total quantity: 22

      • Available quantity: 22

  • Adjust Inventory button for "Tobacco Leather Watchband" is clicked.

    • Stock count:

      • Total quantity: 22

      • New quantity entered: 18

  • New inventory for "Tobacco Leather Watchband" is saved.

    • Stock count:

      • Total quantity: 18

      • Available quantity: 18


Notes

Inventory level and shipment orders have direct contact with each other. Every status of a shipment order is defined according to an adequate inventory level. Any inventory level change may trigger a shipment order status change.

Scenario 1: There are shipment orders both with Shortage and Ready to Pack statuses for "Tobacco Leather  Watchband" product. You've received 5 more for the product.

There are 3 orders marked Shortage and 2 orders marked Ready To Pack. Total inventory quantity is 8. Because of 2 orders are marked Ready to Pack, your Available Quantity for the item is 1.

When you receive 5 products, your inventory level will increase. But there are orders in Shortage which can be fulfilled by these 5 products.

In these circumstances, auto inventory management runs. Some orders will become marked as Ready to Pack and the inventory level will be changed accordingly.

Note: When you add 5 more products to your inventory via the Add button, or when you adjust your inventory to 13 via the Adjust button, the inventory level changes. This will create the same effect for Scenario 1.


Scenario 2: There are shipment orders both marked with Shortage and Ready to Pack statuses for "Tobacco Leather  Watchband" product. You've just removed 4 of the product from inventory.

There are 3 orders marked Shortage and 2 orders marked Ready To Pack. Total inventory quantity is 8. Because of 2 orders are marked Ready to Pack, your Available Quantity for the item is 1.

When you remove 4 products, your inventory level will decrease, meaning some orders that were Ready to Pack can no longer be fulfilled.

Auto inventory management will also run in this circumstance. Some orders will move to Shortage to prevent you from selling out-of-stock products, and the inventory level will change.

Note: If you adjust your inventory to 4 via the Adjust button, it creates the same effect as Scenario 2.


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