Return to Inventory

The Return to Inventory option is used to return items from Pending to Inventory.  The Return to Inventory option allows you to return the selected pending item to inventory, or to return the selected item to inventory and then convert it to a depreciated version of the original item.  The return as depreciated stock option can be used to write down items that have been opened or used, and that are no longer sellable as the original new item.

The Return to Inventory option is available in several different programs that are used to process Pending records, including the Loaner Management, Ticket Billing Management, RTV and Pending Management programs.

The Return to Inventory option can be used to handle the following situations.

•      Record the return of demo or eval units from a customer.  The Loaner Management program can be used to process Pending items that are received back from your customers.

•      Process samples that are returned by a sales rep or received back from a trade show.  The Return to Inventory option in the Loaner Management program can be used to handle rep sample returns or trade show returns.

•      Put items replaced by your vendors back into stock.  The Return to Inventory option can be used to receive replacement items back into inventory, when items are sent back to the vendor and the vendor elects to replace or repair them.  These transactions are normally processed using the RTV Management program.

•      Deal with IFT exception processing.  The Return to Inventory option in the IFT Management program allows you to deal with IFT shipments that are invoiced and will not be received in the destination location (shipment cancelled).  When a Return to Inventory is processed in the IFT program, the system returns the selected items to inventory and it closes out the po lines for the IFT shipment being processed (so that the items no longer appear inbound).

The Return to Inventory process prompts the operator for the location that the selected Pending records should be returned to and it creates an RI type Inventory Transaction.  This RI transaction reduces the open quantity for each item in the pending file and it increases the inventory quantity for each item in the selected location.  If the items exist in the selected warehouse, the system returns the selected items and quantities to the specified inventory location, it updates the selected Pending records for the quantities being closed, and makes any required adjustments to the General Ledger to book the transaction. The cost of the item in the pending file is compared to the cost of the item in inventory at the time the return is made and this amount is charged to a Gain or Loss account (the cost of the Pending record is tracked separately from the cost of the items in inventory, and a gain or loss may occur due to the records being out of house while the cost of the items is changing).

If the operator specifies

When this transaction is processed, the system first creates a Type RI (Return to Inventory) Inventory Activity record, and it uses that record to recognize any gain or loss due to the item cost for the pending record changing while the Pending item was out of house. Once the RI transaction is completed, the system creates a Type “CI” Convert Item transaction to show the conversion of the item to the depreciated item number selected. Any serial records for the Pending item are marked as returned to inventory, then they are also converted to the depreciated item number. Serial History records are written to document the changes to the serialized inventory detail. If an RA is associated with the selected Pending record, the ra and ra line associated with the record are written to both the RI and the CI Inventory Activity records. The Invoice and Line associated with the Pending record are also recorded in the Inventory Activity records.