Auto Indent based on Average Sales Qty

Auto Indent based on Average Sales Qty

Auto Indent based on Average Sales Quantity

Auto Indent Based on Average Sales Quantity is an automated feature used to generate purchase indents based on past sales and current stock levels based on min and max qty. It calculates how much stock needs to be reordered by multiplying recent sales with a reorder ratio, then subtracting the current stock and if the stock is less then minimum qty. 

Purpose

To streamline stock management by automatically suggesting reorder quantities, reducing manual effort and preventing stock shortages or overstocking.

Calculation Logic

Reorder Indent Quantity =  (Total Sales Quantity in the selected number of days × Reorder Ratio) − Current Stock

  • Calculate for Days: Number of past days to consider for sales data

  • Sales Quantity: Total quantity sold in that duration

  • Reorder Ratio: A multiplier used to project future demand

  • Current Stock: Quantity available in stock

  • Min - Max :  Stock is less the minimum qty

Example

  • Calculate for Days = 10

  • Sales Quantity in Last 10 Days = 6 units

  • Reorder Ratio = 2

  • Current Stock in Hand = 1 unit.   Reorder Indent Quantity = (6 × 2) − 1 = 11 units.

Prerequisite-

Navigate to Tools--> Business configuration--> Select Auto Indent based on should be Average Sales Quantity.



Steps to find Average Sales Quantity-

1.Specify the minimum (2) and maximum (10) quantity for the item in the Item Property setting.


 
2.Put a sales bill for the item with quantity 9 and ensure the stock in hand is below the minimum quantity.



3. In the Auto Indent screen, select the branch, enter "Calculate for Days" as 5 and "Reorder Ratio" as 2 and click Search Indent.




4.The item will be displayed in the list with the calculated indent quantity.
(Sales Quantity * Reorder ratio) - Stock = Indent Quantity.
(9*2) - 1 = 17.

5. Click the Sales History View button to see the last 10 transactions for the item.



6. Click Generate All button in Auto indent screen and now indent will be raised to main branch.
7. Load the indent in Stock Transfer out screen.
8. Save the indent in Stock Transfer out and then do Transfer IN Process.


9. In Purchase --> Transfer in view the transaction will be displayed.



FAQ:
1. Is there any filter option available in the Auto Indent screen?
A: Yes, an Advance Filter option is available. You can use it to filter items based on Category, Brand, or Item Type.

2. Can I see sales history for the items shown in Auto Indent?
A: Yes. The Sales History View button will display the last 10 transactions for the item.

3. How to verify the Indent status?
A: You can verify the indent status in Reports >> Inventory>> Stock Replenishment >> Indent based on Replenishment report.

4: What happens when an indent is cancelled?
A: When an indent is cancelled through the Indent Cancellation screen, the cancelled quantity will be shown again in the Auto Indent screen for reprocessing.

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