Stock Adjustment Applet

Purpose and Overview

The Stock Adjustment Applet is your tool for correcting inventory discrepancies — whether from physical counts, damaged goods, write-offs, or data migration issues. It supports quantity adjustments, serial and batch number corrections, bulk imports, and moving average cost resets.

Who Benefits from This Applet?

Warehouse Managers:

• Correct stock discrepancies after physical counts
• Adjust inventory for damaged or lost items
• Process write-offs and write-ons

Inventory Controllers:

• Reconcile system vs physical stock
• Adjust serial and batch number records
• Reset moving average costs when needed

Finance Teams:

• Review stock adjustment impact on inventory valuation
• Track inventory value changes
• Audit adjustment history

Operations Teams:

• Process bulk adjustments via file import
• Fix serial number data issues
• Manage batch quantity corrections

What Problems Does This Solve?

Traditional Adjustment Challenges:

• Manual stock count reconciliation
• Difficulty adjusting serialized inventory
• No audit trail for inventory changes
• Complex moving average recalculations

The Stock Adjustment Solution:

• Easy quantity adjustments — Adjust-In to add stock or Adjust-Out to remove stock with remarks
• Serial/Batch adjustments — Correct tracked item records
• Bulk import — Process multiple adjustments from files
• Moving average reset — Recalculate item costs accurately
• Complete audit trail — Track all adjustment history

Key Features Inventory

Prerequisites

Before using the Stock Adjustment Applet, ensure the following are set up:

Key Concepts

Adjustment Methods

Line items in a stock adjustment use one of two methods:

Document Lifecycle

Stock adjustment documents follow the standard DRAFT → FINAL lifecycle:

Costing Methods (Base On)

When adding a line item, you select a Base On value that determines how the unit price is calculated:

Sidebar Menu Reference

The applet sidebar contains the following menu items (some may be hidden via Application Settings):

Quick Start Guide

Step 1: Create a Stock Adjustment

1. Go to Stock Adjustment from the sidebar
2. Click "+" to create a new adjustment document
3. On the Main Details tab, set:
   • Location — the warehouse or store location
   • Transaction Date — the date of the adjustment

Step 2: Add Line Items

1. Click the Line Items tab
2. Click "+" to add an item
3. For each line item, configure:
   • Item — select the product to adjust
   • Adjust-In or Adjust-Out — choose the adjustment direction
   • Quantity — the number of units to adjust
   • Base On — the costing method (e.g., cost_ma_price)
   • Unit Price — auto-populated based on Base On, or enter manually
   • Remarks — reason for the adjustment (e.g., “Damaged during transit”)
4. The Current Location Stock Balance and Current Moving Average Unit Cost fields display the current values for reference

Step 3: Handle Tracked Items (if applicable)

For items with tracking enabled, additional tabs appear on the line item:

Step 4: Save and Finalize

1. Click SAVE to keep the document as DRAFT
2. Review all line items and remarks
3. Click FINAL to post the adjustment — this updates stock quantities and generates GL journal entries

Stock Adjustment

Creating Adjustments

The main Stock Adjustment screen is a multi-line adjustment document. Each document can contain multiple line items for different products, all posted together as a single transaction.

Edit Tabs

When editing a stock adjustment, the following tabs are available:

Line Item Fields

Stock Adjustment By Batch Item

Items tracked by batch (e.g., food, pharmaceuticals, chemicals) require adjustments at the batch level to maintain traceability and expiry compliance.

How to Use:

1. Go to Stock Adjustment By Batch Item from the sidebar
2. Click "+" to create a new batch adjustment
3. Select the item and batch number
4. Choose Adjust-In or Adjust-Out
5. Enter the quantity and remarks
6. SAVE, then FINAL to post

Serial Number Adjustment

The Serial Number Adjustment sidebar menu opens the serial adjust-in/adjust-out screen for items tracked by serial number.

How to Use:

1. Go to Serial Number Adjustment from the sidebar
2. Click "+" to create a new serial adjustment
3. Select the item and enter/scan the serial number
4. Choose Adjust-In (to add the serial to inventory) or Adjust-Out (to remove it)
5. Enter remarks
6. SAVE, then FINAL to post

File Import

Bulk Adjustment Import

Process large numbers of adjustments from a spreadsheet — ideal for annual stock takes or data migrations.

How to Use:

1. Go to File Import from the sidebar
2. Click "+" to create a new import
3. Download Template — get the correctly formatted Excel template
4. Fill in Data — populate the template with adjustment details:

5. Upload the completed file
6. Review — the system validates all rows and flags errors
7. Fix Errors — correct any validation failures and re-upload if needed
8. Process — confirm and post all valid adjustments

Supported Formats

• Excel files (.xlsx)
• CSV files

Reset Moving Average (MA)

Recalculating Inventory Valuation

The Moving Average (MA) is the weighted average cost of your inventory. System adjustments, incorrect purchase receipts, or data migrations can sometimes skew this valuation. The Reset MA tools allow finance teams to manually correct the item cost to reflect reality.

How to Use:

1. Go to Reset MA from the sidebar
2. Click "+" to create a new reset
3. Select the Company and Item
4. Enter the Date, Quantity, Old MA Cost, and New MA Cost
5. SAVE, then FINAL to post the cost correction

Reset MA By Location

Same as Reset MA, but resets the cost for an item only within a specific warehouse or location rather than globally.

When to Use: When the cost discrepancy is isolated to a single location (e.g., a branch received goods at the wrong price).

File Import Reset MA

Bulk reset moving average costs for many items at once from a spreadsheet. Typically used during initial system go-live or after a major data migration.

Stock Adjustment by Reset MA

Perform a quantity adjustment and cost reset in a single combined step. Use this when both the quantity and the moving average cost need correction simultaneously.

Common Scenarios

Scenario 1: End-of-Year Physical Inventory Validation

Situation: The warehouse conducts its annual physical count. The results show 450 discrepancies across 12,000 SKUs. Manually entering 450 adjustments is too slow.

The Workflow:

1. The inventory controller downloads the template from File Import
2. They populate the spreadsheet with the 450 SKUs, entering positive quantities for found items (Adjust-In) and negative quantities for missing items (Adjust-Out), with remarks like “EOY-COUNT-2026”
3. They upload the file — the system validates all 450 lines instantly
4. After reviewing and fixing any validation errors, they click FINAL to post all adjustments, updating the stock ledger and generating corresponding GL journal entries

Scenario 2: Writing Off Damaged Serialized Goods

Situation: A forklift operator accidentally damages a pallet containing 5 serialized laptops.

The Workflow:

1. The warehouse manager opens Serial Number Adjustment
2. They create a new adjustment and select the item
3. They enter each damaged laptop’s serial number with Adjust-Out
4. They add remarks: “Damaged during warehouse handling”
5. They click SAVE, review, then FINAL to post the write-off

Configuration & Settings

Application Settings (Settings > Application Settings)

System-wide settings that affect all users.

Menu Visibility:

Field Visibility:

Layout:

Field Settings (Settings > Field Settings)

Configure which fields are visible and mandatory on the adjustment form.

Permissions

Access is managed through a layered permission system:

Other Settings

Personalization

Individual users can override certain system defaults via the Personalization sidebar menu.

FAQ

Q: What is the difference between DRAFT and FINAL? A: DRAFT is a saved document that can still be edited. FINAL posts the adjustment — stock quantities are updated, GL journal entries are generated, and the document becomes read-only.

Q: How do I adjust multiple items at once? A: Use the File Import feature to upload multiple adjustments from an Excel (.xlsx) or CSV template. Alternatively, add multiple line items within a single Stock Adjustment document.

Q: What happens to the cost when I adjust stock? A: The moving average cost is recalculated based on the adjustment quantity and current value. Use the Reset MA tools for precise, manual control over this valuation.

Q: Can I reverse an adjustment? A: You cannot delete a FINAL adjustment because it is a fixed financial ledger entry. To correct a mistake, create a counter-adjustment with the opposite Adjust-In/Adjust-Out direction. The original adjustment remains in the audit trail.

Q: Where can I see who made an adjustment? A: The Applet Log (found in Settings) provides a complete, immutable audit trail of every adjustment created, edited, or finalized in the system.

Q: What is the difference between Reset MA and Reset MA By Location? A: Reset MA corrects the moving average cost for an item across all locations globally. Reset MA By Location corrects the cost only at a specific warehouse or branch — use this when the cost discrepancy is isolated to one location.

Glossary

Related Modules