Implement Inventory and Asset Management
Valuation and close
Costing flows from the item model group into inventory transactions. Inventory close settles issues against receipts and posts adjustments; recalculation revalues existing transactions at current cost without settling, so it never replaces a close. Close can be cancelled and re-run, so treat 'final close' carefully. Physical quantity updates when a transaction posts physically (packing slip, product receipt); financial quantity updates when it posts financially (invoice). Most on-hand discrepancies in questions come from this gap.
Journals and stock control
Movement, transfer, profit/loss (adjustment), counting, item arrival, production input/output and BOM journals all update inventory, and on-hand changes only after posting. Inventory counting uses counting journals, or counting with tags plus a threshold percentage that triggers recounts. Reservations (manual, automatic, by dimension) tie stock to demand. Inventory blocking and quality orders both freeze stock but for different reasons. Transfer orders require shipment and receipt before value fully moves.
Enterprise Asset Management
EAM covers functional locations, asset types, assets and lifecycle states, maintenance requests that feed work orders (preventive, corrective, inspection) with scheduling and budgeting, maintenance plans driven by time, counters or condition, and downtime tracking.
Traps
Counting journal versus counting plan threshold; trying to edit on-hand directly instead of posting a journal; confusing close with recalculation; blocking an item versus changing inventory status; assuming a transfer order moves cost at shipment only.
Rule of thumb
Physical = quantity moved, financial = value posted. For availability questions compare physical on-hand against reservations; for valuation questions check whether inventory close has run.