The system treats all non-stock items as if there is an unlimited quantity of the item available. For this reason the system saves all sales order and shop order lines for non-stock items as fully allocated. As a sales order or shop order line for a non-stock item is saved, the system updates the reserved, total reserved and allocated quantities for the item in the Inventory Master file. This allows demand for the item to be determined.
Processing Options
Nonstock order lines are normally processed as Warehouse Shipments or as Vendor Shipments. A nonstock item may not be flagged for special order fulfillment in the sales order entry program. The program that is used to create requisition lines for vendor shipment and special order sales order lines does not process nonstock items.
Warehouse Shipment
When a nonstock item is entered on a sales order or loaner, the line is immediately allocated to. Once any holds on the order have been completed, the order may be picked (based on the order status, and the partial flag) and shipped out to the customer. A nonstock line is normally completed during the first shipment for the order since it is always allocated.
Vendor Shipment
A nonstock item CAN be flagged for vendor shipment during order entry, but this option is used for a very specific purpose and it is a special case. A nonstock vendor shipment line is used only to allow you to include a charge like shipping or handling on a vendor shipping invoice. If the vendor shipment flag is set to “Y” on a sales order line for a nonstock item, the system uses the flag only to determine where the order line should be invoiced from. A PO requisition is not created for the sales order line for the nonstock item.
If the Vendor Ship flag is set to Y, on a sales order line for a nonstock item, the line will be included in the first vendor shipment invoice that is generated for the sales order (so that you can include a shipping or handling fee on the invoice). If the vendor ship flag for the nonstock line is set to N, the nonstock line will be included with the warehouse or special order lines on the order (i.e. on the picklist that is used to invoice the goods that are shipping from your warehouse).
Special Order
A Nonstock item cannot be special ordered as the system will never create a requisition for a nonstock item.
Broker Item
The Broker Item is a stocking item as it is vendor shipped from the vendor to the customer and a po requisition is required for the item to be ordered and invoiced to the customer.
Warranty Item
Nonstock items are used for some warranty situations (generally where you do not require a po line for each warranty sale). The sales of nonstock warranty items can be reported and used to track the amount of in-house or third party warranties sold.
Sellwith Item
Sellwith Items can be stocking items or non-stocking items. It is more common to use stocking items for sellwith purposes since the idea is to suggest another item that you want to sell with the current item being ordered by the customer. If necessary, an assembly fee or similar type of nonstock item could be defined as a sell with or related item.