Outbound process overview

This article provides an overview of the outbound process in Inventory management.

Output orders

Use output orders to link sales order lines and transfer order lines with the outbound picking processes that use picking lists.

When you generate picking lists from either sales orders or transfer orders, the system automatically creates output orders and shipments. A picking list has a one-to-one relationship with a shipment. You can process the transfer order shipment or the sales order packing slip from the shipment.

The following diagram shows an overview of the process for outbound orders.

Set up outbound rules to define how the program should handle the outbound process. Use these rules to control the shipment process. In particular, use the rules to control which stage in the process a shipment can be sent during. The following settings define how the outbound processes are handled.

Picking route status for sales and transfer orders

Go to Accounts receivable > Setup > Accounts receivable parameters, and then, on the Updates tab, select a value in the Picking route status field.

If you set the Picking route status field to Completed, the picking process occurs automatically as part of the process of generating picking lists. If you set the field to Activated, you must manually update the picking list lines.

The same setup applies to transfer orders. Go to Inventory management > Setup > Inventory and warehouse management parameters, and then, on the Transport tab, select a value in the Picking route status field.

End output inventory orders

Go to Inventory management > Setup > Inventory and warehouse management parameters. On the General tab, set the End output inventory order option.

When the warehouse worker reduces the picking list quantities, the corresponding inventory order quantities are removed from the shipment. When the picking list is updated at a point in time, the remaining quantities are reported back to the order if the End output inventory order option is set to Yes. If the End output inventory order option is set to No, the remaining quantities stay as an open output order quantity. They must be added to a new picking list as part of the Open output orders functionality.

Reduce quantity

Use the Reduce quantity parameter as part of the process of generating picking lists. The setting of this parameter works together with the Reservation setting that triggers a reservation process as part of the release to the warehouse.

Reduce picked quantity on a warehouse load

To reduce quantities that are already picked on a warehouse load, use the Reduce picked quantity page. This operation differs from the Reduce quantity parameter used during picking list generation.

1. Go to Warehouse management > Loads > Active loads, and select the load.
2. On the Load order lines FastTab, select Reduce picked quantity. When you unpick to a license plate-controlled location, specify both the destination location and the destination license plate for the load line.

Example of an outbound process for a sales order

For this example, there's a sales order for two items. During picking list generation, you select the Reduce quantity parameter. Therefore, you release and create picking lines only for available on-hand inventory. You must report the picking via a registration process for picking lists (Picking route status = Activated).

The inventory, which isn't already reserved, is reserved during picking list generation. The unavailable inventory can be either removed from the sales order or released to the warehouse for outbound processing later, when inventory is available for picking.

As soon as you pick all the picking lines on the Picking list registration page, the associated shipment is completed. The process for sales order packing slips can then be initialized based on the picked inventory.