We can enter inventory transfer orders to plan and monitor the movement of items when you need to shift inventory from one place to another. Because we can trace each step of the transfer process and know when products are in transit, transfer orders are different from simple inventory transfers. The item count in both places is changed in one motion by a simple inventory transfer.
To enter a transfer order: Go to Transactions > Inventory > Enter Transfer Orders.
After a transfer order is entered, the order can be fulfilled. Fulfillment is the process of taking items out of inventory in one location and shipping the items to a second location.After a transfer order is fulfilled, it has a status of Pending Receipt while the items are in transit between locations. This means the items have shipped out of the source location, but not yet been received into the receiving location.The Pick, Pack, and Ship feature gives your warehouse and shipping departments separate processes for each step to fulfill orders. This enables greater flexibility in processing and tracking the status of orders through the fulfillment and shipment processes.
When items being transferred between locations are received by a warehouse, the transfer order must be marked as received. Receiving a transfer order does the following:
- Adds the quantities received into the inventory at the receiving location.
- Removes the value of the items from the Inventory In Transit account of source location.
- Adds the value of the items to the inventory asset account of the destination location.