Direct transfer

A direct transfer is a transfer of inventory between locations within close proximity.

A direct transfer adjusts inventory balances at both locations immediately after releasing the transfer document. A transfer is used when both locations are inventory locations. The receiving location does not report an expense for the items received.

For example, if Los Angeles transfers car tires to the San Francisco location, a direct transfer is used because the shipment can occur within a day. Both Los Angeles and San Francisco's stock-on-hand are immediately adjusted.