Understanding Reserve Inventory

Hi!

I am new to Shiphero. Just wanted to understand how does the reserve inventory work.

I know there are several fields in a warehouse_product to manage inventory:

  • on_hand
  • available
  • reserve_inventory
  • non_sellable_quantity

The question is: What is the difference between reserve_inventory and non_sellable_quantity? How do they affect to the available and on_hand quantities? Do these last two change when you modify the first to ones?

I think maybe with an example it would be more clear to understand.

Hello @marioreinike!

Welcome to our Community! Glad to have you with us!

  • The on_hand is all the stock you have up for selling
  • The available is the on_hand minus the allocated quantity (as those are saved for the orders that have them allocated)
  • The reserve_inventory is what you want to save for a rainy day or keep in case of exchanges.
  • We push to your connected store the available minus the reserve_inventory plus any stock that has sell_ahead on your POs
  • non_sellable_quantity are items you don’t want to sell or can’t sell. These could be, for example, returns that were broken. The non-sellable is dictated by the item being in a non-sellable bin. If you transfer an item from a sellable bin to a non-sellable bin: on_hand -1, `non_sellable_quantity1 +1

Please let me know if this helps.

Have a great day!
TomasFD

Thanks @tomasfd !

Ok you helped me a lot. So, when an item is transferred to a non-sellable bin, the on_hand quantity decresases 1 unit, and non_sellable_quantity increases?

Just one more question:

When you refer to “push to your connected store”, you mean the Inventory Update Webhook? In that case, the quantity that is shown in the inventory field, is equal to available - reserve_inventory?

Hello @marioreinike!

Correct!

The inventory update webhook will give you some, but not all, of those fields. What I mean by the push to your connected stores are sale points like Shopify. The webhook contains a field called inventory, that shows the same amount we push to the stores.

Kind regards,
TomasFD

Perfect! Thanks @tomasfd !

1 Like