AugTool Documentation
Stock Moves
The stock movements screen is essentially a ledger of all stock moves in the system that are only created when you use Product - Inventory type items.
Do not think of stock movements as an actual movement of stock from one place to another (That is a Stock Transfer). Stock moves, move stock from one state into another. For instance, you may have 10 tons of Bolts available to sell. Should you do a delivery of 5 Bolts, the system will create a stock movement called Dispatched and will "move" 5 tons out of available and into dispatched. Should you have 10 tons of fertiliser in your warehouse and no demand yet, and you create a sales order of 5 tons of fertiliser. The system will move 5 tons of fertiliser out of In Warehouse and into an On Hold position.
Stock movements are a way of tracking a number of things namely:
All stock moves can be one of the above items in the list. When an item is first created, it creates a Balance stock move.
I you do a stock take, an adjustment stock move will be created. For instance, adjusting a stock pile from 5 tons to 5.5 tons will create a 0.5 tons adjustment.
All stock movements should have a value associated with it unless you have not set the costing method on your item (please set your costing methods, this is very important). Although all stock movements have a value associated with it, adjustment stock movements may not create a financial entry if only a quantity adjustment was done. If you have 10 tons of fertiliser in stock and it is valued at 1000 on your financials, and you do a stock adjustment for quantity only of 1 additional item. You will essentially now have 11 items costed at 1000. The cost per unit will change (weighted average) but the pile will still be worth 1000 and therefore the stock value on your chart of accounts will still be 1000 (No adjustment on financials needed). Should you need Augative to create zero value financial transactions to mirror what is happening in stock, we can enable this for you.
If you create a sales order an onHold stock move will be created. However, you can also create an invoice for a stocked item and an OnHold will also be created (onHold = demand not delivered yet). Stock movements are all linked to an underlying source document that you can identify in the stock movement screen. Where and when stock moves are created are explained in more detail in the sales and procurement process section of the guide.
As you can see above, when you click on the stock movement icon on a document (all documents that can create stock movements have this icon) you will be presented with a stock movement popup explaining all the stock movements of that document based on the items used.
To ensure you understand this well, please familiarise yourself with all the stock movements you create on every document you post by clicking on the stock movement icon. You will notice when you create an invoice from a sales order, or a delivery from an invoice etc, how the stock movements move from one document to the other. Please also compare these stock movements on each document to the financials that are created in your GL by clicking on the financial icon on every document. It is important that you understand this within the process so that you fully understand the underlying reports.
Only the onHold and onOrder stock movements disappear because they are the only stock movements that are converted into another stock movement such as a dispatch or a received (The demand goes away when you deliver or receive). An onHold stock move on a sales order will be converted into a dispatched stock move if the sales order is delivered. An onOrder stock movement will be converted into a received stock movement if the purchase order is received. If you do not have any onHold stock movements in this ledger, that means that you do not have any more sales demand in your system for selling stock. If you do not have any more onOrder stock movements in your system that means you do not have any purchase demand for new stock in your system.
Please note, stock movements sit on a document and are passed from one document to the next (full or partial) so that the continuity of the stock ledger can be maintained by various actions performed in the system.
Should you do a customer or supplier return or a credit or debit note, the stock movements are not put back into the system. This is the only process that will currently create a mismatch between your stock move's and the actual demand of the underlying documents in the system. We are working on a solution for this (please let us know how urgent this may be for you - these processes are essentially exceptions but may not be for you and therefore this may be higher priority for you)