Training Session #4F – Inventory Setup to Credit a Portion of a Line Item
Purpose
This document will describe how to setup inventory items so you can credit a portion of a bunch of flowers or a case of vases. For example, a bunch of flowers may contain 25 stems and 5 stems need to be credited.
Overview
There are 2 methods that can be used to credit a partial bunch.
- 1. The preferred method involves having the bunch properly defined in the SMARTSystem with the number of stems in the Pack field of the inventory record.
- 2. The other method is for handling partial returns when the client has not correctly defined their inventory items and has pack 1 defined for all products or the product being credited.
How to properly setup inventory to allow for crediting a portion of a bunch or case (method 1)
When inventory is entered the number of stems per Unit of Measure should be entered into the selling item quantity. In the example below the Carnation Red is intended to be sold in a bunch of 25 stems.
Setting up the product in this way will allow the sales reps to enter selling quantities in bunches rather than stems. For example, if the selling item quantity is set to 25 as shown – the sales person would enter 10 into the sales screen to sell 10 bunched for a total of 250 stems.
The picture below shows how 1000 stems of the carnation Red above will be shown on the Inventory View and the Quick Entry screen of the Sales Order Program. The quantity shown available for sale is 40 which is 1000 stems divided by the pack of 25.
Entering a quantity of 2 into the quick entry screen will sell 50 stems because 2 times the pack of 25 is 50.
This also displays the quantity and pack and total units correctly on the summary screen, pick ticket, and invoice: (Summary screen and invoice shown below)
When products have been configured in this way and invoiced. Any portion of the total stems sold can be credited. The feature to do partial credits must be enabled by checking the “Use Total Units on Credits” box on the Options Tab in System Control before it can be used:
When this option is enabled and the products are configured as stated above, when a detail line is clicked in the invoice the “Item Credit” pop-up will display the total number of stems sold and any quantity up to the number of stems sold can be credited:
This result in a clear and perfectly calculated credit memo for only the stems that were credited and returned (see image of credit memo on the next page):
How to credit a portion of a line item with a product that has not been setup correctly (method 2):
If it has occurred that a customer has setup some products with pack 1 when the pack should have been some other value, then this method will need to be used to facilitate a partial credit. It is not recommended that returns be done in this way.
These products will commonly be setup with the pack shown in the description rather than being defined in the Selling Item Quantity. These items typically have a selling item quantity of 1regardless of what the pack actually is – in the example below the pack is 10 but the inventory record defines it as 1:
The problem that this causes is the inability to use the “Use Total Units On Credits” effectively.
In this example we have invoiced 1 box of 10 Candle 10” Red, but this product was not setup with the proper pack:
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If a 2 out of 10 of these candles are damaged they can be credited by entering the quantity in the Item Credit screen as a percentage of the quantity ordered. Since 2 is 20% of 10, you would enter .2 into the Quantity Adjusted box:
This will result in a credit memo for the correct dollar amount but the quantity represented on the order will be a decimal number. Also, you do not want to return a percent of the box to inventory because we do not sell a percent of a unit.
When products are setup in this way there is no way to accurately enter the quantity.