When I was moving my local box server to the cloud I “Exported” company information from both the local box (ERPNext 8.0.46) and the cloud version. The cloud version is whatever the latest production version is as of about 4 hours ago.
I noticed there is now a new column in the Company template. It is called:
Enable Perpetual Inventory
What exactly does setting this feature to on or off do in the system? Could someone explain how this affects the system so I can better understand how to set it properly?
Thank you! That explained it perfectly. That section was not in the copy of the documentation I scraped and downloaded in December. I guess it’s time to pull together a fresh local copy.
I have read this as well but am confused as to whether this should be on or off for drop ship companies? We drop ship all of our products and do not hold any inventory.
This “enable perpetual inventory” is currently checked for us and I’m wondering if that’s causing some of our issues. What will happen if I turn it off? Anyone know?
I guess this is do with the method of valuation of Inventory in your books of accounts. One could choose perpetual valuation or periodical valuation, based on the nature & maturity of business. Both these methods are equally good from IFRS point of view.
So, checking or not checking this option should not be creating an issue for you. Maybe you could elaborate what issue it is causing?
The issue I’m facing is that I create sales order with multiple suppliers and line items. I generate the POs for each supplier. Let’s say a supplier only ships and bills for half of one of the items. There’s no where for me to put in the amount shipped/received. My only option is “delivered” and I can’t figure out how to get the updated quantity in.
Of course, I can create a PI and only pay for the amount billed but then I have to remember to update this when I invoice the customer because it’s like the PO>PI process isn’t synced up with the SO>SI process even though all documents are linked together.
Quantity of Item is Stock Module matter, which gets impacted when you make Delivery or Receipt of goods. When you do this, a stock entry is passed in the books with other side of account as helper ledger. When you make the PI or SI entry on that delivery, it will nullify that helper ledger and pass entry into Debtor or Creditor account. Then finally you make payment or receipt entry.
Your topic of this post was inventory valuation, which will have impact when you pass the stock movement document (delivery or receipt).
Also, i feel you are combining too many processes to save time. But the system is designed to manage the best practice workflows, so maybe combining multiple suppliers in one document & trying to figure out things would be a challenge for you.
I was simply expanding on your question from above as I believe some of the issues with Stock module are related to the fact of perpetual inventory being checked.
I’m not making things more difficult. It’s a quite simple scenario. Customer places order for 10 items and we source items from all different suppliers. This is one order from customer and 10 different POs (one per supplier). Seems like a very typical situation for most companies.
Ok, In you case it’s more 1:1 correlation of inventory. Stock coming in and stock moving out. There should not be any issue with valuation at all. Maybe you are using the associated cost for Purchase as part of the stock valuation? Is that not creating a difference in your valuation.
We appreciate as a community that everyone shares their experience and we collectively learn together. Eventually, the goal is to make ERPNext the best system available. However, if you point out specific issue with screenshot or error message, that will be more helpful.
Yes, agree. Here’s what I’m seeing and trying to figure out why it’s not all flowing correctly. I thought perhaps it was linked to something with inventory/stock settings and so wanted to get those correct first.
Thanks for spending time on putting this screenshot. Now we have a context to discuss.
Q1: No clue how it’s getting a delivery date here?
If you noticed on the top section, there is a field for capturing a delivery date at a document level. However in a business scenario, there could be separate delivery dates for each line item, hence it is capturing the same date which you might have mentioned at the top (just below document posting date).
If this is not relevant for you, then remove it from the Item table by unchecking ‘in list view’ property - Use customize form & then put name of the first doc in picture +item (eg. purchase order item).
Q2: Qty updated on PI, Linked SO should auto update the Qty?
No. This does not happen. The PI does not impact the stock of Inventory, I mentioned in another post to you. The stock movement happens only when you either pass delivery note or Receipt entry.
Now, in this case, before you pass PI, I’m sure you must be passing entry for Receipt of goods, but the updated quantity does not get refreshed on the pre-existing doc (SO) which you created earlier. So you might have to reload at that document to get the impact of updated quantity.
Still don’t follow your answer for Q1. I know how to remove it from the table but not sure how it’s getting that date or from where?
Q2. No, I’m not passing entry for receipt of goods. Not even sure what that is or how it would be applicable as I never receive the goods - they are drop shipped directly to the customer.
Then the question of inventory stock in warehouse/store & it’s valuation does not come. Since the system does not have any stock, it won’t update anything into your SO
