Inventory Transactions and Movement Requests
Inventory Transactions and Movement Requests
This domain tests the transaction types that change on-hand balances and the request workflows that move material. The exam focuses on when to use a miscellaneous transaction, subinventory transfer, move order, or movement request.
Core rules
- Miscellaneous transactions directly increase or decrease on-hand: miscellaneous receipt, miscellaneous issue, and adjustment. They require a transaction reason and may require approval.
- A subinventory transfer moves material within the same inventory organization. A move order is a pick-and-put-away request, often used for warehouse execution.
- A movement request requests material movement, often between inventory organizations. It can require approval, picking, shipping, and receiving. It is not the same as a subinventory transfer.
- Transfer orders are the formal inter-organization transfer mechanism and create intransit accounting. Movement requests may be used to fulfill the physical move.
Worked example
WH1 needs 50 units in its Storage subinventory from Receiving. A subinventory transfer is correct: same inventory organization, only the subinventory changes. If WH2 needs 50 units from WH1, a movement request or transfer order is appropriate because the inventory organization changes and intransit may be involved. The reasoning: the transaction must match the organizational boundary. A subinventory transfer cannot cross inventory organizations; a movement request can initiate an inter-org flow with approval and shipping steps.
Traps
- Using a miscellaneous issue to move material between subinventories; that reduces on-hand instead of relocating it.
- Expecting a movement request to update destination on-hand before receipt.
- Forgetting transaction reasons, which are required for many adjustments and issues.
- Confusing move orders with movement requests; move orders are warehouse tasks, not necessarily inter-org requests.