Pakk Academy
  • Welcome to the Pakk Academy
  • School of ERP
    • Introduction to ERP Systems
    • Purchasing and Demand Planning
      • Demand Planning
      • Suppliers
      • Purchase Orders
    • Sales Order Process
      • Line Concepts: VAT, Discounts, and More
      • Commitment of Stock
      • Dispatch Process
    • Invoicing and Payments
      • Generating Invoices
      • Handling Credit Notes
      • Managing Payments
      • Payment Disputes and Adjustments
    • Inventory Management
      • Stock Movements and Adjustments
      • Stock-Takes and Cycle Counting
      • Managing Stock Levels
      • Handling Overstock and Deadstock
    • Bookkeeping and Accounting
      • Recording Transactions
      • Reconciling Accounts
      • Financial Reporting
      • VAT Reporting and Compliance
    • Integrating Business Functions
    • Practical ERP Workflow Examples
      • Purchase-to-Pay Process
      • Order-to-Cash Process
      • Inventory Lifecycle Example
    • Best Practices
  • eCommerce Advice and Tips
    • New Store Owners Have the Wrong Priorities
  • eCommerce Launch Mega Checklist
    • Shipping
    • Payment
    • Customer Service and Information
    • Reviews
    • Legal and Compliance
    • Design, Site Function and Brand Message
    • Product Discoverability
    • SEO/Webmaster/Analytics
    • Merchandising and Content
  • The Maths of eCommerce
    • Markups and Margins
    • VAT Rounding
    • Stock Ordering Maths
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  1. School of ERP
  2. Sales Order Process

Commitment of Stock

PreviousLine Concepts: VAT, Discounts, and MoreNextDispatch Process

Last updated 7 months ago

When a sales order is confirmed, the system allocates or "commits" the stock required to fulfill that order. This ensures that the products are reserved for the customer and not accidentally sold to someone else.

Stock Commitment Process:

  • Checking Availability: Before committing stock, the system verifies if the required quantity is in stock.

  • Allocating Stock: Once verified, the system allocates the items to the sales order, updating the available stock levels.

  • Managing Backorders: If stock is insufficient, the system can place the order on hold or create a backorder to fulfill the request when stock is replenished.

Multi-location stock allocation and commitment in Pakk