Sales Orders

Goal

Capture customer demand and reserve stock before shipment.

Before You Start

• Sellable items exist.
• Sufficient stock is available for allocation.

Steps

1. Navigate to Sales > Orders.

2. Click Create Sales Order.

3. Enter customer and order header fields.

4. Add order lines with item, quantity, and price.

   

5. Save the order in CREATED status.

6. Open the order and click Allocate Inventory.

7. Confirm location and allocation quantities.

   

   Runtime note: allocation quantity in the capture is intentionally kept within available stock.

Expected Result in Formul

• Order exists with status CREATED or ALLOCATED.
• Allocation reduces Available while On Hand remains unchanged until shipment.

Why Sales Order States Matter

• CREATED captures demand without reserving inventory yet.
• ALLOCATED protects stock for this customer and prevents over-commitment to another order.
• If you skip allocation discipline, your available stock signal becomes unreliable and fulfillment misses increase.

Sales Order Status to Ledger Impact (Creation + Allocation)

Sales order status	What changes in inventory ledger
CREATED	No ledger entry yet; demand exists but nothing is reserved
ALLOCATED	ALLOCATION entries are posted; available stock decreases while physical on-hand does not
CANCELLED (before fulfillment)	REVERSAL entries are posted for active allocations; reservation is released

If Something Looks Wrong

• If allocation fails, confirm enough available stock by location.
• If allocation quantity exceeds available stock, Formul blocks the save.
• If order cannot be edited/cancelled, verify current status.

Next Step

Ship the order in Fulfillment and Shipping.

Tip

Allocation protects stock for the selected customer order and prevents double-commitment to other demand.