Using the Inventory Position Reports

Using the Inventory Position Reports

The Inventory Position Reports allow a user to better understand inventory risk position, minimizing the effort to determine if enough product has been purchased to cover commitments. These reports are designed to track future sales to ensure enough product is on order to fill those sales.

Open

1. Inventory Position Report (Orders)

   1. Takes into Account all inventory item types (Service, Formula, Manufactured, Regular, Grain)

   2. Looks only at how orders affect the inventory position and accounts for pending orders

   3. Allows columns to be extended out by day, week, half month, or month

   4. Current Inventory + Manufacture Orders + Purchase Orders - Sales Orders = Net Position

   5. If an order is keyed, expected delivery can be seen, thus knowing how much inventory is on hand at any given time

   6. Open

      

       

2. Inventory Availability Projection

   1. Takes into account all items that hold an inventory balance in inventory

      1. Manufactured, Regular, and Grain Manufactured items

   2. Looks at how orders, bookings, and prepays affect the inventory position

   3. Accounts for AR Prepayments and Grain Contracts attached to orders and removes duplication of values

   4. Allows columns to be extended out by day, week, half month, or month

   5. Allows inventory position to be updated with the cumulative totals for viewing from status inquiry or item maintenance

   6. Inventory on hand + Purchase Orders + Purchase Contract – Sales Orders – Bookings/Prepays – Sales Contacts = Net Available

Setup

• INV > Setup Information > Order Entry Setup > Screen 1 of 8: Shipment Date Required on Orders? Answer YES

  • This will force users to key shipment due dates, allowing the position report to extend out date columns.

• INV > Setup Information > Order Entry Setup > Screen 1 of 8: Custom Formula Option to 2. Always Load Standard Formula (must hit Next once to access this section)

  • This will allow component usage from formulas to be pulled into inventory position totals.

• It is pertinent that expiration dates be keyed on bookings and prepays for position reports to work accurately, but there is no setup to make this required.

How to Use Orders to Manage Positions

There are two ways to make orders effective in the position report

1. Key in sales orders and purchase orders when the order is taken

2. Key in a valid shipment date to know when the product is expected to be delivered

   1. An expiration date can also be keyed. The position report can report the position based off expiration dates as well as shipment / start dates

      1. Using the expiration date would allow protection on any price guarantees or to know when to cancel the order

How to use Prepays and Bookings to Manage Positions

There are two ways to making the prepayments and bookings effective in the inventory position report

1. Key in prepayments / bookings when the order is taken

2. Key valid start date to know when product is expected to be delivered

   1. An expiration date can also be keyed. The position report can report the position based off expiration dates as well as shipment / start dates

      1. Using the expiration date would allow protection on any price guarantees or to know when to cancel the booking or move the prepay to generic

Inventory Position Report (Orders)

1. INV > Report Manager > Inventory Position Reports > 1. Print Standard Reports > Inventory Position Report (Orders) > limit to a range or print for all items

2. On the Additional Options screen, choose whether to print the extended columns by 1. Day, 2. Week, 3. Half Month, 4. Month and base the extended columns on 1. Start/Delivery Date or 2. Expiration / Due Date

Inventory Availability Projection Report

1. INV > Report Manager > Inventory Position Reports > 1. Print Standard Reports > Inventory Availability Projection > limit to a range or print for all items

2. On the Additional Options screen:

   1. Answer Y/N to “Update Inventory Position”

      1. The standard report defaults Yes. If you are just running the report, you may not want to affect the Inventory Position Inquiry with update if you are just playing with the expected shipment time periods.

   2. Verify desired Time Period

      1. The standard report defaults to 4. Month, but can change to 1. Day, 2. Week, 3. Half Month, or 4. Month

   3. Select the option to base the extended columns on

      1. 1. Start/Delivery date or 2. Expiration Date

How to Read Inventory Position Reports

The Inventory Position report aids in knowing when orders, bookings, or prepayments are planned to be shipped and when inventory is needed on site. If these types of documents are posted, with delivery dates, then the position report will help plan stock totals. Running this report allows inventory position to be updated to see where expected on-hand inventory will be at the end of the position date via inventory status inquiry.

1. Values 1-3: inventory currently on hand, including what is expected to be created or relieved from manufacturing.

2. Values 4-7: inventory that is expected to come in based on purchase orders or grain purchase contracts

3. Values 8-17: inventory that is expected to go out based on sales orders, bookings, prepays, & grain sales contracts

4. Value 14: expected inventory when each value is added together for the time period.

   1. Shows if there will be too much or too little inventory on hand

Document written by A. Mueller, Adapted and Updated by S. Pykare 12.10.24