New age strategy/mechanism to manage Material Inbounds:

Organize Inbound Supply: Your business will require a platform for managing the flow of raw materials, intermediates, parts and components from supply to assembly or manufacturing to final assembly and packaging across your business. Your platform must also include workflows well beyond basic ordering, planning, collaboration, executing and delivering material orders. You’ll also need early detection alerts for exhaust materials as well as ways to identify and resolve to the greatest extent possible.

Communicate Demand to Upstream Tiers: Your business needs consumed materials or parts to be replenished on a regular basis according to real-time data (stock on-hand, stock on-order) to generate accurate order forecasts (i.e. inbound supply requirements). Distributors and vendors will need the ability to view and operate with accurate long-term forecasts so they can plan their capacity and distribution accordingly.

Seamless interaction with the entire team: A world-class inbound supply process will also need a highly capable system that simplifies record keeping and also enables people to stay connected from any device with easy access to data.

Integrate with books of account: You’ll need a highly responsive platform to make sure material inbounds meet your financial implications. A balanced account is not only required when purchase orders are raised, but also when sales return orders are initiated or stock adjustments are made.

Powered by Salesforce, Arka Inventory is a powerful yet simplified cloud platform to streamline your inbounds in 2 minutes. It harmonizes these requirements and brings your business a real zeal. Visit Arka Inventory to know more.

Material Inbound in Arka:

This is a record of every product that comes into the warehouse. Ideally this should be created by your warehouse manager or store keeper whenever they are receiving materials into the warehouse. Receipt of materials could be for various reasons like purchases or sales returns or internal transfers from other locations or stock adjustments. Depending upon the nature of the receipt, Inbound type has to be selected.

Important fields while creating Material Inbound:

If the inbound type is ‘Purchase’, all outstanding purchase orders against the selected supplier is showed. From the list you just have to select the products that are being received. You can change the quantity if the supplied quantity is less than the ordered quantity.

If the inbound type is ‘Purchase without PO’, once the supplier is selected, you can add the products and quantities manually. If you have specified the cost book for the product against the selected supplier, system will auto populate the price of the product. To know more on adding cost book to the product refer Cost Book.

Inventory aspects:

Whenever you create material inbound of a product in a location, quantity of that product in that location will increase by the inbound quantity.

Accounting aspects:

Whenever you create a material inbound, Arka Inventory will create following journal entries:

• If the inbound type is ‘Purchase’ or ‘Purchase without PO’

Inventory A/c (The general ledger selected in the product ‘Inventory Asset/Expense A/c’ field)         

To AP Clearing A/c

• If the inbound type is ‘Sales Return’

To Cost of Goods Sold A/c

• If the inbound type is ‘Stock Adjustment’

To Adjustment A/c (The general ledger selected in the ‘Adjustment a/c field in Material Inbound’

For stock transfers no journal entry is created.

For stock transfers no journal entry is created.