Navigating the world of inventory management can be complex, especially when dealing with products purchased in bulk or cases. In Planyard, two features that often come up for discussion are 'Case Qty' and 'Qty per Vendor Unit'. It's crucial to understand the differences between these two features to maintain accurate stock counts and efficient purchasing processes.
What is 'Case Qty'?
Case Qty refers to the number of items typically packed in a master case by the vendor. This feature is primarily for your convenience and does not directly affect your stock levels. Think of it as a note to yourself. For instance, if a vendor usually packs items in cases of 6, your 'Case Qty' would be 6. This means you would likely need to round your Purchase Orders to multiples of six.
Furthermore, our forecasting tool includes a rounding feature that helps you match your purchase orders up or down to align with your 'Case Qty'. This ensures that your orders are always in sync with how your vendor packs the items.
What is 'Qty per Vendor Unit'?
Qty per Vendor Unit significantly impacts your Purchase Orders and inventory counts. This setting dictates how many individual units are contained within a single vendor unit. It is crucial for businesses that break down vendor cases for individual sales.
For example, if your 'Qty per Vendor Unit' is set to 6, and you are selling these items individually, ordering 6 units would appear on your PO as 1 unit (priced as 6 units). Upon receiving, these would be accounted for in your inventory as 6 separate units.
This functionality is especially important for sellers who divide vendor cases to sell in smaller quantities. Let's say your vendor sells paper towels in packs of 2, but you sell them both as packs of 2 and as singles on Amazon. In this case, your vendor considers a pack of 2 as a single unit. However, in your inventory, they should be recorded as units since you're selling them individually.
Properly setting the 'Qty per Vendor Unit' ensures that your inventory reflects how you actually sell and manage your stock.
Key Differences and Best Practices
Impact on Inventory and POs:
Case Qty: Does not alter your stock levels. It's a reference for how your vendor typically packages items and helps in rounding your POs appropriately.
Qty per Vendor Unit: Directly affects how POs are written and how stock is counted in your inventory. It translates vendor packaging into your selling units.
Usage Scenario:
Case Qty: Use this when you purchase items in cases but sell them exactly as received from the vendor.
Qty per Vendor Unit: Essential when you break down bulk or case packs from vendors into individual sale units.
Setting and Adjusting:
In Nineyard, the default for 'Qty per Vendor Unit' is 1, even if your 'Case Qty' is set to a higher number.
It's important to note that 'Qty per Vendor Unit' can only be set at the time of creating the vendor item and cannot be modified later. This is to prevent confusion and maintain consistency in your inventory tracking, especially when reviewing past transactions.
Conclusion
Understanding the distinction between 'Case Qty' and 'Qty per Vendor Unit' is crucial for accurate inventory management. It ensures that your stock levels reflect your actual selling units and that your POs align with how you receive and break down products from vendors. Always set these parameters carefully to keep your inventory records precise and reliable.
If you have any further questions or need assistance with setting up these features in Nineyard, our support team is here to help.