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Purchasing Stock

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Purchasing is complex and different in each company and there are a number of special cases

Purchasing Quantities

Items that can only be purchased in min quantities will cause any PO to jump to those quantities.

Purchasing Across Warehouses

Where a company (or group of companies) have multiple warehouses.  A purchase order can be generated for the combined requirements and show the moves required after stock receipt on the purchase order.  Product forecasting allows the breakup to be used and changed at a warehouse level.

Purchase to stock based on sales

Used with items that are normally supplied in an ongoing fashion

  1. Each stocked item has a sell rate by warehouse calculated and then used to forecast required stock
  2. Dumped sales are excluded from forecast
  3. Risk into the bin report indicates expected wastage (expiring products that will not sell enough without promotion to lift sales)
  4. Warehouse sell rates (including franchisee sell rates) combine to produce purchase requirements for all warehouses
  5. Forecasting views include by warehouse, across warehouses.  Purchase orders can include warehouse planned splits once received.

Purchase to stock based on Min/max settings

Used with items that are sold occasionally or require 

  1. Min Max can be used across warehouses to trigger stock movements and purchases

Purchase only when sold

Used when items are not normally stocked

  1. Daily Purchase Order provides ability to purchase all items that need to be purchased to meet order dates in the system.  
  2. Some orders are in the future - stock is only purchased when it needs to be purchased based on lead times to reduce working capital requirements

Drop Ship Purchase Orders

Used when a supplier will send stock direct to the customer

Used when the supplier will send stock direct to the franchisee in the case of a franchise network

Purchase customer specific stock

Stock that can only be sold to one customer or a small group of customers (example items printed with the customers logo)

  1. may have a customer deposit held against the stock and alerts generated for purchasing only when stock levels get below a pre-set figure

Purchase after Seasonal Testing

  1. Clothing range items may be entered as "Proposed" and placed on a tentative purchase order.  
    1. Seasonal presales can be captured
    2. the results determine which items will be ranged and which will not.  
    3. Stock items not being ranged are moved to Inactive
    4. The purchase orders lines cancel automatically for inactive items
    5. Any seasonal sales orders that include items not being ranged are listed for revisit with the customer.

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