Transfer
A transfer reduces stock-on-hand at one inventory location and increases stock-on-hand at another location. There are three kinds of transfers: direct, intransit, and detail.
Direct transfer
A direct transfer is a transfer of inventory between locations within a close physical distance. 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.
Intransit transfer
An intransit transfer is a transfer between locations where those locations are not physically close, generally more than a one-day trip. An intransit transfer immediately reduces stock-on-hand at the original location but does not increase stock-on-hand at the new location until the inventory is received.
If Los Angeles shipped those car tires to New York, an intransit transfer is used. In this example, Los Angeles' stock-on-hand is immediately reduced. New York's stock-on-hand increases upon receipt of the items.
Detail transfer
A detail transfer allows you to transfer inventory from one bin to another bin within the same location, or from one unit of measure to another unit of measure. Use detail transfers to take inventory out of a bin that does not allow issues or accept inventory into a bin that does not allow receipts. Bins Detail transfers also allow you to transfer inventory into another unit of measure; for example, from one set of six into six individual items.
Los Angeles also can transfer the car tires from one bin to another bin within its location. In this example, Los Angeles used a detail transfer to automatically adjust the stock-on-hand at bins within the location.