Using Transfer Orders in Dynamics 365
In this article, we will discuss the process of transferring products from one warehouse to another. There are many ways of achieving the result for the purposes of this article we will focus on the standard Transfer Order functionality.
This process works by shipping and receiving stock from one warehouse to another. The prerequisite for this process is a transit warehouse. This warehouse will hold the stock which has been transferred from one location to another. To transfer stock will we create the transfer order, pick the product using a pick list and a registration process. Then we will register a shipment and use the arrival overview to receive.
Using the Contoso Information
The database we are going to use for this scenario is the Contoso database on D365 for Finance and Operations. I’m going to use the USRT company. In this company, we have a few products relevant to the apparel industry, that we would use. When this company is chosen a few samples are present. I’ve created another few in different stages of the process as shown in the picture below.
We are going to use a product master record that is released in USRT below. All you have to do is make sure there is stock in the New York warehouse before the transfer order is created.
Item model group
It is particularly essential to note the setup we are using on the item model group. The product requires to be associated with a model group which has an inventory policy of Stocked product.
An explanations of all the settings related to the item model group are available in the previous article.
The physical update parameters in the inventory item model group setup as shown above will enable us to record transactions for pick list creation and registration requirements.
Make sure and check out the Warehouse settings
Navigation: Inventory management > Setup > Inventory breakdown > Warehouses
We are using the warehouses of New York and Seattle, which are configured as shown below:
The issuing and receiving locations for these warehouses are predefined, so that we would not have to specify any location during the transferring process.
Also check out the settings against the New York Warehouse. To use the transfer process, we need the transit warehouse set. This is set to TW-EAST as you can see in the screen shot below.
Create Transfer Order
Navigation: Inventory management > Outbound orders > Transfer order
Transfer orders are found both in the inbound and outbound menus of the Inventory management module. Do a quick search and you’ll see the options? Click on any of the links to open a list of all transfer orders. Click the New button to create a new transfer order. The transfer order page opens up where you need to provide the “From warehouse” which will be New York and the “To warehouse” which will be Seattle.
Add Product 0101 and a quantity of 11.
You can add as many products as you want. I going to select our Yoga Mat 0101 and I’m going to transfer a quantity of 11 from one warehouse to another.
Note that the current status of the transfer order is Created.
Generate Picking List
Once the transfer order is created, we then create a picking list first to allow our warehouse pickers to pick the products and then register the picked quantities into the system to ship the transfer order. So two stages to the picking operation.
So, while on the transfer order, we would click on the Generate picking list option on the Ship tab of the page.
On clicking the Generate picking list button, the posting picking list form opens for the transfer order. In the update column select the all.
At this stage in a normal warehouse the warehouse operative would print this picking list and pick from it.
Pick List Registration Process
Once picking has been completed by the warehouse operative, the user can register the pick. In order to register, click on the Picking list registration option on the Ship tab of the transfer order. Note that until the picking list has been generated, the generate picking list option will be disabled.
On the picking list registration form that opens up, you will have to click on the Update all button to finish the registration of the outbound transfer order.
Click on the function button over the grid, select the line you are interested in and update selected. The order line is now picked.
Once picked it’s time to Ship Transfer Order
After registering the picking list, the menu option for shipping is enabled. click on the Ship transfer order option on the Ship tab of the transfer order screen. The shipment screen opens as shown below:
Click OK to post the shipment. In the screen below select the “picked quantity” as the update quantity. If you are partially shipping the order you can also check the close checkbox.
Once the shipment is posted, you will notice that the status on the transfer order has changed to Shipped. The inventory of the transferred products at this time are reduced from the sending warehouse and posted to the In-Transit warehouse.
Where is the stock
Interesting to follow the stock transactions at this stage.
We can see in the screen shot below the stock has left New York.
We see the stock being receipted into the TW-EAST warehouse. Stock is also reserved.
We see there is an order for stock for Seattle.
Once shipped we now receipt into the Seattle Warehouse
Now we simply receive the stock into the Seattle warehouse. Open the transfer order , navigate to the receive menu and select the Receive menu.
Select the all option on the posting screen to receive all the stock.
The transfer order is now complete with a status of received.
Let’s check the stock out. Notice the stock reservation has disappeared from the transit warehouse. The stock has left the transit warehouse and it has been receipted into Seattle. This stock is now ready for resell.
