negative inventory (SAP Business One)

A quantity of items in the system that is less than zero.
This situation can occur when a goods issue takes place before the corresponding goods receipt has been recorded.

E-invoicing in Germany: How to implement the obligation with SAP Business One

Of the negative inventory thus describes a Storage quantity below zerowhich arises when more items are withdrawn from the warehouse than are actually available. In SAP Business One This situation can have a variety of effects on the warehouse management and accounting have.

1. definition and causes

On Negative inventory arises when a Goods issue posted before the associated goods receipt recorded was.
Common causes:

Premature goods issues without prior posting of the goods receipt.
Missing or incomplete inventory entries.

2. administration and settings

In SAP Business One there are several ways to prevent or manage negative stocks:

Option "Block negative stock"

Prevents the booking of Documentwhich lead to a stock below zero.
Settings:
- Company: The negative balance is checked at company level.
- Bearing: Negative stock is monitored separately for each warehouse.
- Article setting: Blocking takes place either at warehouse or company level, depending on the settings in the article master.

Reaction to minimum and maximum stock levels

In the Document settings the system can be configured in such a way that if the minimum quantity is not reached or the maximum quantity is exceeded, a Warning or the Booking blocked.

Negative quantities in vouchers

In certain cases, e.g. with Production parts listsnegative quantities can be used, for example when recording By-products.

3. effects and handling

Inventory correction: For postings with negative balances Correction accounts debited or credited.
Inventory valuation: In the case of negative stocks, the Document price from the moving average or FIFO price deviate. These deviations are shown on a special account recognised.
Inventory check: Negative stocks can be recognised in the Stock status report identify or via Drag & Relate with a filter (e.g. "In stock < 0") display.

4. important notes

Accounting standards: The use of negative stocks can against accounting policies violated. The Blocking of negative stocks is therefore recommended.
Inventory: Before the inventory it should be ensured that there are no negative stocks, as this can lead to Missing bookings indicates.
Correction bookings: Missing goods receipts or stock receipts should be posted retrospectively in order to avoid negative stock levels.
Equalisation account: That Equalisation account for negative stocks should always be checked and balanced.
Balance sheet account currency: With Transactions in different currencies should Portfolio account currency to "All currencies" be set.

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