Receiving Inventory

Goal

Convert open purchase order quantities into on-hand inventory with complete ledger history.

Before You Start

• Purchase order is OPEN or PARTIALLY_RECEIVED.
• Receiving location exists.
• For lot-tracked items, you have a batch or lot code.

Steps

1. Open the target purchase order from Purchasing > Orders.

2. Click Receive Items.

3. Select the line item(s) being received.

   

4. Enter received quantity for each line.

5. Select receiving location.

6. Enter batch/lot ID when required.

7. Confirm receipt.

Expected Result in Formul

• Inventory on-hand increases for received item/location.
• Ledger records a RECEIPT transaction.
• Purchase order status updates to PARTIALLY_RECEIVED or CLOSED.

Why Receiving Decisions Matter

• Quantity received affects both available stock and planning assumptions.
• Location determines where inventory can be picked, transferred, or allocated from.
• Batch/Lot ID enables recall and genealogy analysis later in traceability workflows.
• Unit price at receipt influences weighted-average cost and downstream margin visibility.

If Something Looks Wrong

• Confirm order status allows receiving.
• Confirm quantity does not exceed open amount.
• Confirm lot-tracked items include a valid batch/lot value.

Next Step

Use these materials in production from Make Overview, or review inventory effects in Manage Ledger.

Caution

Receiving drives both quantity and cost layers. Incorrect quantities or prices will affect downstream valuation and production costing.