Introduction

• The Inventory module manages items, warehouses, stock availability, and all internal stock movements within the organization.
• It ensures that materials are available at the right place and time.

The above diagram explains how the Inventory module manages material requests based on stock availability.

1. Material Request

• Process starts when a user creates a Material Request.
• The request can be for: Internal material transfer, or Purchase of material if stock is not available.

2. Stock Availability Check

• System checks whether the requested item is available in the selected warehouse.

3. Stock Available = Yes

• If stock is available:
• A Stock Entry (Material Transfer) is created.
• Material is transferred from the source warehouse to the required warehouse.
• Stock is updated immediately.

4. Stock Available = No

• If stock is not available then Purchase process is initiated.
• An RFQ (Request for Quotation) is sent to suppliers.
• After finalizing rates, a Purchase Order (PO) is created.
• Material is received through a Purchase Receipt (PR).
• Quality Inspection (QI) is performed if required.
• Stock is added to inventory (Stock In).