Odoo Inventory: Getting Started With its Basics
Talking about the top-notching business models leading the industry; e-Commerce can never go unnoticed. There is a shift towards e-commerce platforms from the most physical shops as customers prefer to buy the goods where they find ease.
There are many famous e-commerce platforms like Magento, Odoo, Shopify, etc. However, it is hard to manage ecommerce properties; at the same time, it is really important to manage those properties.
Properties of E-Commerce System
There are multiple properties of E-commerce platform but below-mentioned properties plays very important role in E-commerce platform:
- Sales Management
- Billing & Accounting Management
- Inventory Management
Sales Management
Sales management is the process to sell your goods. It is a way to give the direction to the sales team to run sales for the ecommerce shop smoothly. This process includes the planning direction, including recruiting, selecting, assigning etc.
Billing & Accounting Management
Accounting is a systematic process to calculate the transactions of the firm to measure the monetary terms and records into the different accounts. Basically, Accounting notifies us the profit and loss of the business and also tells us the value of assets & liabilities.
For more info you can check my previous blog which was based on Accounting.
Inventory Management
Inventory is meant to be stock which we keep in the warehouse. It is basically assets for the company which means available goods for the sale which can be consumable or can be sold.
Inventory is one of its most valuable assets of a business; shortage of inventory can cause disaster of a business.
Inventory includes the management of raw materials, components, and finished products, as well as warehousing and processing such items.
Impact of inventory in the E-commerce properties
Inventory management is very important for any ecommerce shop because it is very helpful to increase sales and financial growth for any ecommerce industry. It is always required to maintain stock to manage this cycle because most of the properties are totally dependent with the inventory.
What happens when inventory is not managed properly?
- It impacts the customer relationship as if inventory is mismanaged then you’ll not be able to deliver the goods to them timely.
- It impacts the company sale as customers do not prefer to purchase from those who offer uninformed delay in delivery.
- If inventory is not managed properly then it impacts the financial growth of the company due to the loss of sale and potential customers.
- It makes a big impact on company resources due to the unbearable loss in the business.
Workflow of Inventory Management System
Inventory plays a very crucial role for any industry. So as per the manufacturing based industry inventory follows the below-mentioned workflow:
Workflow
Properties
| Terms | Definition |
| Raw Materials | Goods which are required to prepare a final product. |
| Warehouse | Where raw material and final products will store. |
| Production | Produce the final product using the raw materials. |
| Quality Check | Phase to check the durability/quality of the product before sending it to the warehouse. |
| Finished Product | Final product which is prepared by the raw materials. |
| Shipping | It is the process to send the goods to the customers. |
How to manage Inventory Management in Odoo?
Odoo is a modular based ecommerce platform which means everything in Odoo is divided into different segments. So in order to manage inventory in Odoo you are required to install the “Inventory” module. Odoo inventory facilitates you to manage the stock in Odoo without any hassle. Firstly, you need to go inside the app list where you need to search the “Inventory” module by name or by technical name “Stock”.
Once, you search for the module you can click on the “install” button in order to install the “Inventory” module.
Process of the Inventory
There are multiple ways in Odoo to process the inventory; so, we’ll discuss all the points serially.
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Receive Product in Stock
In Odoo you can receive the products in multiple ways but before this you are required to create a product and by default Odoo manages three types of the product.
- Service
- Consumable
- Stockable (Visible after inventory module installation)
Immediate Transfer
To immediately transfer, go to the “Inventory” menu and from the receipts card, click on the ellipsis then click on the immediate transfer option.
After that, you will get a form where you can leave the “Schedule Date” field empty and add the products inside the lines for which you want to update the stock.
Once you’ve added it then you need to click on the “Validate” button to process the stock.
Planned Transfer
For planned transfer, go to the “Inventory” menu and from the receipts card click on the triple dot button then click on the planned transfer option.
Then, you will get a form where you are required to add the “Schedule Date” field for planned transfer and add the products inside the lines for which you want to update the stock.
After adding it, you can click on the “MARK AS TODO” button to process the stock.
Receipts from Purchase Orders
For this, you need to install the purchase application. After installing this application.
You can simply create the purchase order and after validating that order; “Receipt” will be created for the purchase order.
Deliver Stocked Product
In Odoo, you can deliver the products in different ways.
Immediate Transfer
To immediately transfer, go to the “Inventory” menu and from the “Delivery Orders” card click on the triple dot button and after that click on the immediate transfer option.
Then you will get a form where you need to leave the “Schedule Date” field empty and add the products inside the lines for which you want to deliver the stock.
After adding it you can click on the “Validate” button to process the stock.
Planned Transfer
For planned transfer, go to the “Inventory” menu and from the “Delivery Orders” card click on the triple dot button and after that click on the planned transfer option.
Then you will get a form where you need to add the “Schedule Date” field for planned transfer and add the products inside the lines for which you want to deliver the stock.
After adding it you can click on the “SCRAP” button to process the stock.
Deliver product from stock using Sale Orders
For this, you need to install the Sales application.
Once installed, you can simply create the sale order and after confirming that order “Delivery Order” will be created for the sale order.
Set Your Product Stock
To set the stock inside the products you can follow below ways,
Inventory Adjustments
To create inventory Adjustments go to the below path,
“Inventory → Operations → Inventory Adjustments”
Here, you can simply create inventory adjustments. For any particular product you can add that product inside the product field but in case of multiple products you can leave the product field empty. After that, you can simply process the stock.
Virtual Transfer(Inventory Adjustment for single product)
Navigate to the below mentioned path:
Inventory → Master Data → Products
Then select the product for which you want to update the stock. Then in product form you will get a button “Update Quantity”.
By clicking on this button, you will get a form where you can add the stock which you want to update for the product and then click on the “Save” button to update the stock.
There is much more about Odoo inventory that you need to know which you can find in my future blogs.
We Would Love to Hear From You!
Hope you find the blog informative! Please feel free to share your feedback in the comments below.
Also, check our store page to go through our Odoo modules.
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