Inventory Part
1 SetupInventory materials are items that you stock for resale.
Enterprise Note: If you are a multi-location operation and wish to have a centralized pricing, consistency, transfers between locations, etc. You will want to setup inventory using enterprise inventory first.
Proper inventory setup is essential for accurate, day-to-day management of your inventory. By taking time to setup inventory correctly, you'll enjoy more consistency, accuracy, and overall efficiency in managing your inventory.
Watch the following videos as a supplement to reading this article:
| Start a new search: To begin an entirely new search at any time, click the Reset button in the ribbon to clear the filters and search results. |
Access the Inventory Materials module as explained above.
Choose the Profit Center and / or Service Category from the Search In drop-down. You can also search within this drop down for a service category.
Choose, enter full or partial data in any of the fields to filter your search to be more specific. You may use a combination of several fields to filter on in the same search and you may use wild cards (?*):
Click the Search button in the ribbon at the top. A list of items matching your criteria will display.
The ribbon also provides the ability to customize the data being displayed. You can choose which columns and pricing levels display.
Note: Inventory searches from a work order will be limited to 1000 items being returned. Searches from setup will be limited to 10,000 items. Any time the search result is limited, a dialog will inform the user of the actual size of the search result and the number will be displayed.
Search by Part Number is a utility that allows you to search specifically by part number. What truly makes it useful is the ability to search for multiple part numbers that don't necessarily have similar digits which is not possible in a general search dialog. The resulting list can then be viewed, edited individual or via a batch update, exported, etc.
Enterprise Note: Fields and buttons displayed with a grey background can't be modified or used at the location as they are being managed by the enterprise. You will also see a note at the bottom of the inventory dialog that states, "This inventory material is being managed by the enterprise" to make you aware of it. Fields that can be managed at the location are not greyed out and are editable.
Choose a service category from the Service Category drop down.
Select an automotive industry standard definition by clicking on the binoculars next to the Definition text box. Clicking the X next to the binoculars will remove and existing definition. Definitions are worth taking the time to enter as they automate inventory and catalog searches across several platforms used by different suppliers.
Enter a full or partial description of the item in the Search For text box and then click the Search button.
Select the industry standard description from the resulting list by clicking on it.
Click the OK button to return the selected definition to previous dialog.
Enter the part number in the Part Number text box. It is important to use the actual part number from the manufacturer so that it can be found when using parts catalogs to search for parts.
Clicking on the Part Number label allows you to enter alternate part numbers that can be used to resolve references when receiving purchase orders created via the online purchases feature.
Click the + icon to create an alternate. The Code is the line code used by the supplier, and the Part Number is the one used by the supplier.
Click the X icon to delete an alternate.
Describe the item in the Description text area.
Enter the manufacturer of the item in the Manufacturer text box.
Enter any combination of alphanumeric characters in the Code text box that you wish to use for further filtering of inventory when searching. (W to identify a winter tire for example).
Enter the Size of the item if applicable. (LT245/75R17 for a tire as an example)
Enter information on the item's location in your stock room via the Grid Location text box.
Choose the supplier where you typically buy the item from the Default Supplier drop down.
Choose the appropriate Unit Conversion from the drop down box. For a given inventory material, the default selection of "Unit < - > Unit" may be appropriate if the material is bought as a single unit and sold as a single unit. If a material is bought in one quantity but sold in a different quantity (for example: you buy a 6 pack but sell as a single unit), then you must setup the appropriate Unit Conversion and Buy Factor on the inventory material card. It's very important to realize that Unit Conversion is for informational purposes only, so it does not trigger any system conversion calculations. Conversion calculations are actually set with the Buy Factor, which must be set accordingly to the quantity that you sell–for each unit bought. For example, when purchasing a 6-pack of six individually saleable units, the Buy Factor should be set to 6.The result is this: each time we purchase and receive a pack of 1 into inventory, the system converts this to 6 individually saleable items. If there is not already a unit conversion description in the drop-down that applies, then it's necessary for you to setup a new buy unit in the Unit Conversions feature.
Check the Sell fractional quantity check box to enable the ability to sell decimal portions of an item. For example to sell 3.8litres or 4.5 quarts of a fluid.
If this is a consignment material item, choose Consignment from the Type drop-down box. Otherwise, leave it as Inventory.
In Stock is populated automatically by the software and represents the amount that is currently in inventory.
On Work Order is populated automatically by the software and represents how many items are on open work orders. When there is an amount in this field a work order icon will display beside the field and can be clicked to view which work orders they are on.
Available is populated automatically by the software and represents how many items are available for sale. In Stock - On Work Order = Available.
On Order is populated automatically by the software and represents how many items are on purchase orders. When there is an amount in this field a purchase order icon will display beside the field and can be clicked to view which purchase orders they are on.
Low / High Order:
Enter the stocking quantity level you want to trigger the item for reorder and appear on a purchase order when created in the Low Order text box.
Enter the stocking quantity level you want to bring the in stock quantity to when placed on a purchase order in the High Order text box.
A low order of 2 and a high order of 4 would put 2 items on a purchase order if the in stock quantity was 2. It would put 3 items on order if the in stock quantity was 1. If the in stock quantity was 3 it would not be ordered as it has to be equal to or below the low order value.
Buy Factor is the quantity in the package you purchase of the item. As an example, a pack of filters may have six in the pack. This coincides with the until conversion as described above. You must order the item in this quantity for it to work and in the example given when you receive 1 pack into stock it will then be able to sell 6 individual filters. The cost of the item will be priced at the pack but the sell prices will be of the individual items sold as each.
Core Unit / Unit of Measure - Enter in the number of units in the container the item is purchased in the first text box and the unit of measure in the second. The software will wait until the specified number of units are sold before returning the core. E.g. If you have a core charge on a 30 cylinder of refrigerant you would enter 30 in the first text box and Cylinder in the second text box. The software will wait until you sell 30 pounds until the core is returned.
Enable Online Catalog - If you have developed your own internal cataloging system to provide additional information about inventory items, check this box to enable the item to display in that catalog.
Group - Select the line group to apply to the material item from the drop down list if applicable.
Click the Save button to commit your changes and add the new material item to inventory.
The other tab displays any Inventory Attributes you have setup.
To calculate pricing for an item, it may be necessary to establish a point of reference with either its cost or MSRP.
|
Base Cost: The base cost is used to calculate any pricing that will be based on the cost of the item. If the item has a unit conversion and buy factor applied, the cost will display both the base cost for the purchasing lot as well as the cost per unit.
Base Core (If Applicable): The base core is the cost of the core on acquisition and will be the value of the core when returned for credit.
Click the Edit Cost button located in the pricing group of the ribbon to edit the base cost or base core values.
Click the Advanced button and select Edit Cost if you wish to edit a cost for a future date. Note that the advanced option will only display if you have the option enabled in location settings.
A list of current and future base prices will display. If you wish to see base prices that have expired, click the Show Expired Prices check box.
To add a new base cost / core for a future date, click the Action button and choose Add from the list.
Choose a Start Date from the drop down calendar.
Enter a Cost and / or Core price and then click OK.
To edit an existing base cost / core set for a future date:
Select the desired one from the list by clicking on it.
Click the Action button and choose Edit from the list.
Make any desired changes and then click OK.
To delete an existing base cost / core set for a future date:
Select the desired one from the list by clicking on it.
Click the Action button and choose Delete from the list.
Click Yes to confirm.
MSRP: This is the manufacturer's suggested retail price. You can sell an item at this price or based on a calculation from it.
MSRP Core: This is the manufacturer's suggested retail price of a core. This is for reference only should the suggesting selling price of the core be different than your cost and you wish to keep it on file.
Click the Edit MSRP button located in the pricing group of the ribbon to edit the MSRP value.
Click the Advanced button and select Edit MSRP if you wish to edit an MSRP for a future date. Note that the advanced option will only display if you have the option enabled in location settings.
A list of current and future MSRP prices will display. If you wish to see MSRP prices that have expired, click the Show Expired Prices check box.
To add a new MSRP for a future date, click the Action button and choose Add from the list.
Choose a Start Date from the drop down calendar.
Enter an MSRP and then click OK.
To edit an existing MSRP set for a future date:
Select the desired one from the list by clicking on it.
Click the Action button and choose Edit from the list.
Make any desired changes and then click OK.
To delete an existing MSRP set for a future date:
Select the desired one from the list by clicking on it.
Click the Action button and choose Delete from the list.
Click Yes to confirm.
This is the price the material will sell for by default unless overridden at the point of sale by a service, contact discount, or manually by a service advisor. For many, this will be the only sell price that needs to be set.
Type: Choose the method of calculation you wish to use from the drop down list.
Margin: This is a gross profit margin. [(Sell Price - Cost) / Sell Price]. If your cost is $5.00 and you use a margin of 50% then the sell price would be $10.00. [($10.00 - $5.00) / $10.00] = 50%
Fixed: This allows you to set a specific price regardless of cost or MSRP.
Cost: This is a traditional mark-up. (Cost x Markup Percentage). If your cost is $5.00 and you use a mark-up of 50%, the sell price would be ($5.00 x 1.50) = $7.50.
Cost +/-$: Allows you to add or subtract a fixed amount from your cost to establish the selling price.
MSRP: Allows you to use the MSRP value as the selling price. You can also choose to multiply the MSRP by a percentage value to establish a selling price.
MSRP +/-$: Allows you to add or subtract a fixed amount from the MSRP to establish the selling price.
Calculation%, Price, Calculation Amount: This label will change based on the type chosen above. It will allow you to enter in the percentage or amounts to use to establish the selling price.
Final Price: The final price set as the default selling price based on the type and calculations set above.
If you require additional prices beyond the default price, you can calculate those the same way as the default sell price above but you must first establish them in Inventory Price Levels. Once created, you can edit them on the material item. It is important to note that until you edit a selling price it will be set to your default sell price.
To establish or edit a price level for a future date, select the price level by clicking on it and then clicking the Advanced button. Select Edit Sell Price. Note that the advanced option will only display if you have the option enabled in location settings.
A list of current and future prices will display. If you wish to see prices that have expired, click the Show Expired Prices check box.
To add a new price for a future date, click the Action button and choose Add Effective Price from the list.
Choose a Start Date from the drop down calendar.
Choose an End Date from the drop down calendar.
Choose a Type from the drop down list.
Set the calculation percentage, calculation dollar amount, or price depending on the type you choose in the provided text box.
Click OK.
To edit an existing sell price set for a future date:
Select the desired one from the list by clicking on it.
Click the Action button and choose Edit from the list.
Make any desired changes and then click OK.
To delete an existing sell price set for a future date:
Select the desired one from the list by clicking on it.
Click the Action button and choose Delete from the list.
Click Yes to confirm.
To commit all of your pricing changes, click the Save button in the Inventory Material window.
A batch of inventory is the quantity that is received in a single transaction. Shop Manager works on the FIFO (first in, first out) principle, so it tracks each batch of inventory that is received. To be consistent with FIFO, the oldest batch of inventory is depleted first.
When you click on the batch tab of the material item, a grid will appear with each batch's information.
Each time the quantity of an item is changed a history entry is made. Below are the definitions of each field in the history grid. You may sort by any field by clicking on it with the mouse. You may click to toggle between ascending and descending order.
Start Date: The first day of the date range you wish to include in the history grid.
End Date: The last day of the date range you wish to include in the history grid.
Refresh History: Click this when you change the start or end date to refresh the history grid.
Document Icon: This icon will change dynamically based on what is selected. It can read invoice, supplier invoice, or credit slip. Clicking on it will open the corresponding document related to the history row selected in the grid.
Date: The date of the transaction.
Action: How the quantity was changed. The possibilities are sale, purchase, restock (credit slip to customer), and recount.
Quantity: The quantity of the item in the transaction.
Unit Cost: The cost of each unit in the transaction.
Unit Core: The core cost of each unit in the transaction.
Total Cost: The sum of the cost of the items in the transaction. Quantity x Unit Cost.
Total Core: The sum of the core cost of the items in the transaction. Quantity x Unit Core.
Note: The document number of the transaction with the exception of a recount which does not have a document number.
You can produce a list of possible duplicate inventory items and then choose if you wish to delete the duplicate item or not.
The progress bar will display the progress of the update and will be complete when it gets to the end. It will also read Batch update completed above the progress bar.
Click the Close button.