Essentials of Inventory Management by Max Muller

Author:Max Muller
Language: eng
Format: epub, pdf
Publisher: Harpercollins Leadership
Published: 2018-11-26T00:00:00+00:00

Event #11. Eric observes an angry exchange between the warehouse manager and the accounting manager of the NY location. They were arguing over a negative stock balance for SKU #1234.

Since this is a real-time system, when Sally created a manual pick ticket, she caused the system to allocate and delete the subject SKU. If the stock balance was zero when Sally did this, her actions have caused the balance to go into a negative.

As discussed in Event #7 of the previous section, Sally’s actions have also created the potential for a much different problem in an entirely different department of the organization. By forcing a manual invoice through the system and dropping off a delivery slip for billing, Sally has created the potential for a billing clerk to try to create an invoice for product that the system has never received into itself. Many accounting programs will not let an invoice be created for product that has never been received.

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