Receiving
Receiving is a critical step in the manufacturing process where raw materials,
components, or returned goods enter the factory and are logged into the system.
Accurate receiving ensures inventory is updated, materials are traceable, and production can proceed smoothly.
Here are some ways for inventory to be received inventory into the factory:
- Receiving unknown inventory as part of a consume transaction
- Receiving unknown inventory at goods in
- Receiving unknown inventory from an inbound delivery
- Receiving known inventory from an inbound delivery
These key concepts are involved in receiving inventory into the factory:
- Purchase order
- A contractual agreement with the supplier that a specified quantity of materials will be purchased for an agreed price, usually within an agreed timeframe.
- Purchase order item
- A single material on the purchase order, with a specified quantity. A purchase order consists of one or more purchase order items.
- Inbound delivery
- An organized delivery into the factory to deliver some or all of the material required for the purchase order. A purchase order can be fulfilled through multiple inbound deliveries.
- Inbound delivery item
- A single material on the inbound delivery. A delivery consists of one or more delivery items. Each item corresponds to the relevant purchase order item.
- Inbound pack
- An individual pack on the delivery, such as a pallet, with a unique number and a specified quantity of material.
If the inventory being received is unknown, the material and quantity must be specified upon receipt.
Inventory received into the factory is moved to a storage location and is considered in stock from this point.