NEGATIVE STOCK

Negative stock means Negative indicator in On-Hand stock although there is no

stock available in Inventory

Sometime material is available on other stock but we can not issue material stock
to consume. To consume the material from other storage location stock without
add in stock. We can use Negative stock concept

PREREQUISITE : STORAGE LOCATION NEGATIVE ALLOW INDICATOR ON IN

MATERIAL MASTER
IN PLANT AND STORAGE LOCATION CONFIGURATION NEGATIVE INDICATOR
ON

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BUSINESS SCENARIO
 Suppose in my plant CB50 I have two storage location SL01(inhouse) and
SL02(retail)
 In storage location SL01 i have 200 in stock material
 while in SL02 (retail) i have 100 in stock, all material is consumed
 One retailer called and placed the order for 150 nos bearing
 Now purchase team can not stop the sell of material to retail customer so
they transfer the good to storage location SL02 an issue to customer
 sometime purchase member absent or may be other issue.They not able to
good receipt transfer material from storage location SL01 to SL02
 But we cannot stop the material delivery ,to issue material from storage
location SL02 we can use negative stock
 After issuing material we can goo receipt to enter material in sytem stock

STEP 1 : CHECK SYSTEM STOCK AT BOTH STORAGE

LOCATION

SL01-INHOUSE:200 STOCK

SL02-RETAIL : 100 STOCK

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STEP 2 : GOOD ISSUE

ERROR WHILE DOING

GOOD ISSUE BECAUSE WE
DID NOT ALLOW NEGATIVE
INDICATOR

Here you cannot use the material because we have not allowed negative indicator
to plant storage location

STEP 3 : ALLOW NEGATIVE INDICATOR

ALLOW NEGATIVE
ALLOW INDICATOR
IN MM02

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 SPRO>>MATERIAL MANAGEMENT>>INVENTORY MANAGEMENT AND
PHYSICAL INVENTORY >>GOOD ISSUE >> NEGATIVE ALLOW INDICATOR

STEP 4 : GOOD ISSUE

Now in stock SL02 my material stock is 100 nos but i want to consume 150 nos

You can give to cost center or send to customer

System allow us to good issue due to negative stock allow

SYSTEM ALLOW TO GOOD ISSUE FROM SL02 (150 NOS QTY)

ACTUALLY IN PLANT MATERIAL 50 NOS IS GIVEN FROM STORAGE LOCATION SL01

BUT NOT UPDATED IN SYSTEM

STEP 5 CHECK SYSTEM STOCK

-50 NEGATIVE
STOCK

SL02 SHOWS NEGATIVE STOCK

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STEP 6 : STOCK TRANSFER FROM SL01 TO SL02
To correct system stock we have to trasfer the material from one storage location
to another storage location

MATERIAL IS TRASFER FROM SL01 TO SL02

QTY 50 NOS

TO NEUTRAL NEGATIVE STOCK

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