Backorders

When an order is entered into the system, and has been posted, the system will check to see if enough inventory is available to fill the order. If there is not enough inventory to fill all or part of the order, then the order will receive backorder status and will be listed in the Backorders screen. If an order is backordered, it will not be able to be picked or packed since there is no inventory to pick or ship.

To view the current backorders in the system, from the Accounts Receivable menu, select Backorder. This will bring you to a screen with a list of the current back orders. From this screen, you can review and/or print the backorders, and do one of two things to them. You can Reallocate a backorder or you can Split a backorder.

To Reallocate a backorder, click the reallocate button next to the backorder you wish to reallocate. Reallocating a backorder is the process of resubmitting it to see if enough inventory is available to fill the order. This is usually done after a purchase order is received, returns were received, or orders were cancelled. The backorder is compared with the inventory on hand. If the order can be completely fulfilled it will be moved to the picking screen. If the order still has items on back order, then it will be displayed in the backorder screen. The numbers on the order will be adjusted accordingly to show the amount of inventory on hand (if any) that can be allocated to the order. From this point, you can either leave the backorder as is, or if there is partial inventory on hand to fill the order, you can Split the backorder.

Splitting a backorder separates the order into two separate orders. A new order is created with the item amounts that can be allocated to inventory. This order is sent to be picked and packed. The original order has the balance of the items on backorder and remains in backorder status. To Split an order, click the split button next to the order that you wish to split. Once the split button is clicked, the first order that has the allocated inventory disappears from the backorder screen and will appear in the Picking screen and the second order remains in the Backorder screen.

For example: There is a backorder for 10 widgets and you know that 7 of the 10 were just received from an outstanding purchase order earlier in the day. You click Reallocate and the order is returned showing that there are 7 widgets on hand and allocated for the order, and there are still 3 widgets on backorder. Then you click split and the order is separated. The first order is sent with 7 widgets listed as the order quantity to be filled and shipped to the customer. The second order which the system creates places the 3 widgets on backorder status. This backorder will remain as such until you reallocate it (when additional inventory arrives) or the order is cancelled.