Inventory Basics - A Glossary of Clearly Inventory Terms

Add

To put an item into inventory.

Auto Search

When entering data into a search field, auto search will produce a pick list with all the items that match your entry in real-time. This feature saves you the effort of remembering exact numbers or descriptions. It can be turned on or off. When this feature is on, you must pick the item from the list that's displayed. Some users prefer to turn this feature off if they wish to enter numbers or descriptions from memory, bar scanners, or paper forms.

Bill of Materials

An list consisting of items, quantities, and units of measure, that specifies what is required to make another item or assembly. Typically used in kitting.

Conventions

Application wide settings that can be changed by the administrator of an inventory system.

Convert

To change the quantity and unit of measure of items already in inventory. For example, to convert one case(s) of soda into 24 can(s) of soda. Or vise versa.

Cost

The price paid for an individual item.

Count Frequency

The interval of time between hard counts of an item. Items with high turnover may have shorter count frequencies (daily, weekly, monthly) Items such as furniture or fixtures may have very long count frequencies (annual, bi-annual).

Current Inventory

The present state of your entire inventory.

Custom Header Links

These are links that you create in the "Conventions' link of the "ACCOUNT" tab. They will display in the header of the web-site on every page. This is a good way to link to your own web site, or other frequently visited sites.

E-mail warnings

When a re-order level is reached Clearly Inventory will send specified users an e-mail that tells them which items have reached their re-order point, and how much of that item is currently on hand.

FIFO

First In First Out - The method by which items put into inventory first, come out first. This method is especially important when dealing with perishable goods. Some advanced cost accounting systems will calculate inventory costs based on FIFO.

Item

An object stored in inventory; a thing; stuff

Item Average Cost

The cost of the total quantity of an item divided by the quantity of that item.

Item Description

A group of words that uniquely identifies an item.

Item Number

A number that uniquely identifies an item.

Job Number

Usually used in manufacturing, this is a number assigned to items involved in the production of assemblies or kits.

Kit

An individual assembly or collection of items.

Kitting

The system of collecting related individual items and gathering them together for an assembly or collection. See also "bills of material".

LIFO

Last In First Out - The method by which items put into inventory last, come out first. This method is not nearly as popular as FIFO.

Location

Any place where your items are stored. This may be a named and labeled area within your facility, or it may be a location outside of your facility (such as a fulfillment warehouse, or value added supplier).

Move

To move an item from one location to another without removing it from inventory.

Part

See item

Part Number

see item number

Pick List

A list of the location and quantity of items that must be gathered from inventory to fill a sales order, work, or job order, etc…

Purchase Order

A document which contains the details of a purchase. Usually consisting of the vendor name and address, the items purchased, etc… When items are added to inventory, many companies track the purchase order number against which the items were added to inventory.

Quantity

A number that must be coupled with a "unit of measure" to have meaning.

Re-Order Level

A quantity and unit of measure of an item that, when reached, prompts the user of an inventory system to re-order that item.

Remove

To take an item out of inventory.

Sales Order

A document which contains the details of a sale. Usually consisting of the bill and ship to addresses, the items purchased, method of shipment, etc… When items are removed from inventory, many companies track the sales order against which those items were removed.

Section

A physical space that can be completely surveyed by a person standing in one place.

Serial Number

A number or code that uniquely identifies a single, specific, item.

Table Management

Under the "ACCOUNT" tab, users can manage their data tables directly. Editing, adding, and deleting the data that appear on these tables.

Tables

The form in which all inventory data is stored. Much inventory data is displayed in tables as well. Tables can usually be exported, imported, printed, filtered, and sorted.

Total Average Cost

An estimate of the total value of inventory based on the sum of the average cost of all items multiplied by the quantity of all items.

Transaction

A record of item activity; adding, removing, moving, or converting items.

Transaction Fields

Custom data fields that appear and can store information whenever a transaction occurs. These fields are created in the"Transaction Field" link of the ACCOUNT tab. Users can create an unlimited number of such fields.

Unit of Measure

The point of reference for a quantity. i.e. If you have 50 lbs. of sugar, the term "lbs." is the unit of measure. Without a unit of measure, a quantity is meaningless.

Users, External

Users with the ability to ONLY see the inventory status of items you specify. These users are not allow to perform any action related to your inventory. They can only view the levels of items. This is very useful for customers or vendors that want to check on your stock levels.

Users, Internal

Users with unrestricted ability to see the inventory status of ALL items.

Vendor

Any outside supplier of an item. This may be another company, or a part of your organization that it not

Zone

An area