Warehouse locations and locations are used when you want to control where in the warehouse(s) the item is located. For example, it can be in physical locations, cars, shelves, drawers, etc.
Setting up Storage Location and Placement.
Read more
here.
It is clearly recommended that no more is turned on than is used.
Storage locations can be used without placement.
Location cannot be used without storage locations.
If location is not used, do not enable it.
Storage locations and locations make a lot of sense to use if a company has multiple warehouse locations and at each storage location, for example, places its goods on shelves or similar.
This makes it very easy to find and pick the products.
On the other hand, it must be carefully considered how to recalculate cost prices. Below are considerations that should be made before making this decision.
Cost prices per Warehouse or Warehouse/location.
Carefully consider whether to calculate cost prices per location or cost prices per warehouse/location. Read more
here.
Only use it if it makes sense.
When does it make sense to recalculate per storage location?
If the same item is located in different warehouse locations (geographically) and the price is dependent on the geography.
| Example of an example |
| An example could be. A fishmonger buys plaice in Hirtshals and Copenhagen. Here the cost price may be quite different. If the two purchases are sold under the same item number, then enable recalculation per storage location. If the purchases are made centrally and distributed to storage locations internally, it doesn't make sense. The recalculation per location only makes it more difficult to "manage" the inventory. |
When does it make sense to recalculate per warehouse/location?
If the same item is located in different warehouse locations and the same item is placed in the same warehouse location on different shelves and the cost price of the items on one shelf differs from the cost price of the same item on the other shelf. This doesn't happen very often, so the recommendation will almost always be. Do not use recalculation per warehouse/location.
| Example of an example |
| The same item is purchased for the same location (Warehouse). Two colors are purchased, but no variants are used. The price is also different.
Here, the same item number with two colors and prices is placed on two different shelves. Items should never be moved, but the cost price of the items on each shelf should be controlled. This is an awkward situation. It will be very rare for this constellation to occur in reality.
So if this kind of situation cannot occur. Then recalculation per Warehouse/Location doesn't make sense. The per-warehouse/location recalculation only makes it harder to "manage" inventory. |
ATTENTION: Also remember that when using Warehouses/Locations, you must always filter the screen to create an overview that shows movements on the individual warehouse/location