Default inventory valuation methods for item, warehouse, and attribute set combinations

Default inventory valuation methods are defined for:

  • Item and warehouse combinations
  • Item, warehouse, and attribute set combinations

This topic discusses default inventory valuation methods default inventory valuation methods for item, warehouse, and attribute set combinations. For information about default inventory valuation methods for item and warehouse combinations, see Default inventory valuation methods for item and warehouse combinations.

Default inventory valuation methods are set up in the Inventory Valuation Methods (whina1100m000) session and the Dimensions Inventory Valuation Methods (whina1105m000) session.

The default inventory valuation methods are defaulted to the item, warehouse, and attribute set combinations defined in the Item Data by Warehouse (whwmd2110s000) session and the Item Attribute Set Data by Warehouse (whwmd2180m000)session.

Setup

To set up default inventory valuation methods for item, warehouse, and attribute set combinations:

  1. In the Inventory Valuation Methods (whina1100m000) session, select the Valuation by Attribute Set check box for item valuation groups linked to items that must be valuated by attribute set.
  2. In the Dimensions Inventory Valuation Methods (whina1105m000) session, select New View.
  3. In the header section, select an attribute set valuation group for which you selected the Valuation by Attribute Set check box in the Inventory Valuation Methods (whina1100m000) session.
  4. On the toolbar, select New.
  5. In the lines section of the session, select an item valuation group and/or a warehouse valuation group.
  6. Select default inventory valuation methods of the first, second, or third priority for the selected valuation groups.
  7. Repeat steps 4 - 6 to select more item or warehouse valuation groups and default inventory valuation methods on the next line.

Attribute set, item, and warehouse valuation groups

When you select default inventory valuation methods for a combination of attribute set valuation group, item valuation group, or warehouse valuation group, the allowed inventory valuation method with the highest priority becomes the default inventory valuation method for attribute set, item,and warehouse combinations with matching valuation groups.

The most specific defaulting is achieved if you select a combination of attribute set valuation group, item valuation group, and warehouse valuation group.

To set up more generic default inventory valuation methods, you can also specify inventory valuation methods for empty attribute set, warehouse and/or item valuation groups.

To specify inventory valuation methods without a warehouse valuation group or an item valuation group, create a new object without selecting an attribute set, warehouse valuation group, and/or an inventory valuation group.

Attribute sets are linked to attribute valuation groups in the Attribute Set Groups (dsdmd1103m000)session, from where they default to the Attribute Set (dsdmd1610m000) session.

Items are linked to an item valuation group in the Item Valuation Group field of the Item - Warehousing (whwmd4600m000) session.

Warehouses are linked to warehouse valuation groups in the Warehouse Valuation Group field of the Warehouses (whwmd2500m000) session.

Priorities and allowed inventory valuation methods

Each inventory valuation method is prioritized.

The allowed inventory valuation method with the highest priority becomes the default inventory valuation method for attribute set, item, and warehouse combinations with matching valuation groups.

Example

Priority Method
1 MAUC by Warehouse Valuation Group
2 Moving Average Unit Cost (MAUC)
3 First In First Out (FIFO)

If MAUC by Warehouse Valuation Group is not allowed for a warehouse, because the warehouse has no warehouse valuation group, the default method is Moving Average Unit Cost (MAUC) because this is the allowed method with the highest priority

Valuation by warehouse or warehouse valuation group for MAUC

In the Inventory Valuation Methods (whina1100m000) session, if you select valuation method Moving Average Unit Cost (MAUC) for priority 1, 2, or 3, you can specify that the MAUC is calculated by warehouse or by warehouse valuation group.

If you select the Valuation by Warehouse Valuation Group check box check box for any of the priorities, the Moving Average Unit Cost (MAUC) is calculated integrally for all warehouses of the selected warehouse valuation group. If the check box is cleared, the Moving Average Unit Cost (MAUC) is only calculated for the individual warehouse in which the item is stored.

How the default inventory valuation method is determined

To determine the default inventory valuation method for an item and warehouse combination, LN looks in the Inventory Valuation Methods (whina1100m000) session for inventory valuation methods whose:

  1. Item valuation group has the Valuation by Attribute Set check box selected for Product Dimensions controlled items.

    If no item valuation group is specified, valuation by attribute set applies to all Product Dimensions controlled items linked to an attribute set that matches the selected attribute set valuation group.

    If this check box is cleared, the default inventory valuation methods are defined in the Inventory Valuation Methods (whina1100m000) session. For details, see Default inventory valuation methods for item and warehouse combinations.

  2. Attribute set, warehouse, and item valuation groups match those of the attribute set, warehouse, and item.
  3. Attribute set and item valuation groups match those of the attribute set and the item, and warehouse valuation group is empty.
  4. Attribute set and warehouse valuation groups match those of the attribute set and warehouse, and item valuation groups is empty.
  5. Attribute set valuation group match those of the attribute set, and warehouse and item valuation groups are empty.
  6. Attribute set valuation group is empty, and warehouse and item valuation groups match those of the warehouse and the item.
  7. Item valuation group matches the item valuation group of the item and whose attribute set valuation group and warehouse valuation group are empty.
  8. Warehouse valuation group matches the warehouse valuation group of the warehouse and whose attribute set valuation group and item valuation group are empty.
  9. All valuation groups are empty.
  10. Allowed inventory valuation method with the highest priority.