In the latest version (23.10.18), to enhance the accuracy and ease of use for users, the way we calculate Qty to receive and Qty to deliver under the Inventory Items tab has been modified.
The Qty to receive and Qty to deliver columns in Inventory Items will now be calculated based on open sales and purchase orders.
What this Means
Previously, these columns under the Inventory Items tab considered all invoices, goods receipts, and delivery notes entered into the system, regardless of whether they were tied to specific orders. This could become cumbersome, especially as transaction numbers increased, making audits for a specific inventory item time-consuming and less straightforward.
With the new update:
Users will have a more streamlined process when reconciling Qty to receive with actual goods received. This eliminates the need to wade through all purchase invoices and goods receipts to determine discrepancies.
Reduces the likelihood of users inputting fictional goods receipts merely to reconcile figures. Instead, they can easily identify which purchase order might not have been completely fulfilled by a supplier.
The figures are clickable. So when you click on Qty to receive figure, you will get list of all purchase orders where you will see:
Qty on order
Qty to receive (this is difference between Qty on order and Qty received)
You can further click on Qty received figure to see list of Goods Receipts making up that figure.
The same has been implemented on Qty to deliver side.
It’s worth noting that under the Purchase Orders and Sales Orders tabs, we already had the Qty to receive and Qty to deliver columns that showcased how many items were left to be received or delivered per order. This change aligns the calculations in the Inventory Items tab with the logic present in the orders tabs, providing consistency across the platform.
To maintain backwards compatibility, both calculation methods are going to be present in the system for the time being. Under Inventory Items, you can click Edit Columns.
You should unselect Qty to receive and Qty to deliver with Obsolete badge. And select new ones without the badge.
@lubos How will this work if Sales Orders are NOT used? It is quite common practice to use ONLY a Sales Invoice (rather than creating a Sales Order AND a Sales Invoice). Won’t this add to the Sales “workflow” (needlessly for those users who do not use Sales Orders)?
If you want to track Qty to receive, you will need to use Purchase Orders and if you want to track Qty to deliver, you will need to use Sales Orders.
Sure. And it’s valid workflow if you:
Issue sales invoice upon delivery of items. In that case there is never any Qty to deliver as delivery and sale happen within single transaction.
Or you don’t want to track Qty to deliver
If you deliver items at the different time than issuing sales invoice, then you will need to start using Sales Orders to link these Delivery Notes and Sales Invoices to specific sales orders so you can monitor you are delivering and invoicing the exact quantities and amounts.
Yes - it’s an extra step. But it’s well-worth it.
In the previous implementation, when Qty to deliver seems wrong, you are faced with ever growing journal of transactions. It’s very time consuming to troubleshoot what went wrong. New implementation will give you specific sales orders that have been under-delivered or over-delivered. Much easier to see what went wrong when you are confronted with 2-3 sales orders than potentially thousands of individual transactions.
@lubos, your logic is so unassailable it makes me wonder why tabs should not be combined—Sales Orders with Delivery Notes and Purchase Orders with Goods Receipts.
Delivery and receipt of inventory items are, basically, either simultaneous with sales or purchase transactions or they are deferred. In a way, this simplifies inventory workflow for many businesses, as you either have instantaneous inventory transactions or slower ones that need to be monitored. Full monitoring now requires 4 tabs. Why not just 2? And for a business dealing with current inventory flow, you need nothing beyond invoices, payments, and receipts—which you need regardless. (Interactions with debit and credit notes needs to be thought through.)
After all the additional complexity added over the last couple years with new features, that would be a step back towards the elegance that marked the early history of the program.
I don’t see how they can be combined. You issue purchase order to supplier but goods do not arrive immediately upon issuing purchase order. The arrival of goods will happen later. And perhaps in multiple shipments. You want to make sure those individual deliveries (Goods Receipts) add up to total quantity ordered in Purchase Order.
If it’s simultaneous, then you do not need to track Qty to receive or Qty to deliver and you don’t need to use Sales Orders or Purchase Orders tabs. In other words, there is nothing to monitor if order, invoice and delivery happens simultaneously. You just need to issue invoice. Or just New Receipt (not even an invoice) if there is no credit involved and payment happens simultaneously too.
I’m not really sure what use-case you are advocating for. With the ability Edit Columns, I’m able to add more features while simplifying the program so it exactly adapts to whatever workflow is required.
So… for selling inventory items:
If ordering, delivery and payment happens at the same time you only need Receipts tab.
If delivery and invoice happens at the same time but payment is at later date, you need Sales Invoices and Receipts tab
If delivery and invoice happens at different times, then you need Sales Orders, Delivery Notes, Sales Invoices and Receipts tabs. This is so you can make sure that you are delivering right quantities and invoicing the right amounts as per the initial order.
As you can see, selling inventory can be as simple as single tab all the way to 4 tabs depending what kind of business you are running.
Can you please confirm if debit notes and credit notes will be captured in Sales Order or Purchase Order. Currently, one of my customers has diff in sales order because credit note have no link to sales orders.
under current process there is no link in credit note against which sales order but it will only link sales invoice
If it is not capturing may I request your support to suggest better process to follow
can you please add Order number to the credit note tab to link sales return to sales order
@abdulbari I think Credit Notes need new field named Sales Order. Because not always you want to link Credit Note to sales order.
For example, if you made a mistake and over-invoiced customer, then linking Credit Note to Sales Order is appropriate.
If sales order has been invoiced properly and customer is just returning goods for whatever reason. Then you don’t want to link Credit Note to Sales Order since that sales order was completed and no need to open it.
In one of my business: I do not use “Sales order” or “Purchase order”
But the quantity to deliver and the quantity to receive is being 100% helpful for this business practice, which is:
This business (company A) keep on receiving inventory item every day, End of each week I’ll check the quantity to receive which will be in negative value (as the supplier X not issue the invoice yet), I’ll let the quantity to the supplier X, he’ll counter check with his records and issue the Invoice.
This business (company A) also do the same as selling, keep on delivering the good every day, End of each week check the quantity to deliver which will be in negative value (as we haven’t invoice the customer Y yet), I’ll issue an invoice according to the quantity delivered.
Here I cannot use the Purchase order or Sales order as there is no predetermined quantity to receive or deliver. but I need the quantity to deliver and quantity to receive to determine the quantity to create an invoice. Once I invoiced full then the quantity to deliver become “0”, the new deliveries accumulate for the next invoice (if I invoice partially, the quantity to deliver (negative value) keep on increase from the balance and I’ll cover it up on the next invoice)
@Shan if the order quantity is not known before hand, you can create empty purchase order and allocate all goods receipts to this order. This will give you negative qty to receive.
Once you reconcile with your supplier the quantity received, you can update the purchase order with the quantity. Now Qty to receive will be zero.
Start new purchase order for the next batch of deliveries.
Yes. Sounds simple. I agree. But I don’t think it’s this “clean”. Sure there is a delay between you agreeing on quantities and supplier actually issuing the invoice. In the meantime there could be new deliveries. So the quantity to deliver would not come to zero because of the timing.
Even though purchase order method is a few more clicks per week, it does allow you to split all deliveries into separate chunks (e.g. weekly chunks) that are individually reconciled to zero.
And if there is a disagreement with supplier over quantities, it’s limited to single purchase order that covers one week. It doesn’t spill over to subsequent periods.
My point, @lubos, was that you have now made it so delivery notes and goods receipts cannot be used without also enabling sales orders and purchase orders, respectively. So why not combine those? I already understood your example of needing only a receipt or payment if everything was simultaneous, and you could still do that if the tabs I mentioned were combined. I just do not see the need for separate tabs when the functions can no longer be separated.
@lubos I tried these new features on the test business:
I Created a new item, New customer
Then I created new;
Sales order of qty 100
Delivery Note of qty 350 for the same item linked to the sales order
Sales invoice for qty 50 for the same item linked to the sales order
Now in the; Qty on hand is = -350 Qty to deliver is = -250 Qty available is = -100 Qty owned is = -50
it seems fine.
But in the Sales Invoices tab Qty to invoice is not being updated
Means we have Sales order for 100qty, we’ve delivered more than the order (it’s ok) and we have invoiced qty 50 (out of 100 sales order)
qty to invoice must show 50 (if its based on sales order)
qty to invoice must show 300 (if its based on delivered - the old way)
Now my question is: what is the current status of Qty to invoice function.
This is weird. You may need to read updated guides referred to by @Lubos. In any case a Sales order would determine the quantity sold and delivered. Therefore the normal procedure to create the Sales Invoice is to use the View form of the Sales Order and click Copy to and select Sales Order.
If you want to track the he new quantity related fields in Manager then you must use Sales orders and Delivery notes too as explained by @Lubos.