Understanding Stockless Items in PeopleSoft Purchasing

Items supplied as stockless are typically provided by a primary distributor in an expedited manner. These arrangements are negotiated with the supplier to provide rapid delivery of goods upon the supplier's receipt of the dispatched purchase order. The supplier does not manage backorders for unfulfilled quantities. In order to receive stockless items in this expedited manner, these types of purchase orders are automatically approved and immediately dispatched to the supplier. In turn, the items are delivered to the buying organization within the negotiated delivery window. You can create requests for stockless items through the PeopleSoft Purchasing online pages and background processes.

The item is considered stockless in PeopleSoft Purchasing transactions if you select the Stockless Item check box on the Purchasing Attributes - Purchasing Controls or the Item Supplier page. The replenishment code for stockless items is 02. For standard replenishment items, the replenishment code is 01.

Purchase orders can have both stockless and nonstockless items. A Close Short check box is available on purchase order lines. If the replenish code on the purchase order line has a value of Stockless, the Close Short check box for line is set to selected and cannot be changed.

You can change the Close Short check box to selected for purchase orders that contain nonstockless lines. This does not affect the value of the stockless setting and the replenish code. Receiving must be required for the purchase order line select Close Short the check box.

If you have PeopleSoft Inventory installed, you can use stockless items to replenish par locations. When the quantity for a stockless item in a par location falls below the optimal level, the PeopleSoft Inventory Create Par Replenishment Requests process (INPGCDMD) automatically stages a purchase order in PeopleSoft Purchasing from PeopleSoft Inventory. This purchase order requires no approval processing.

Requisition requests are created in multiple places in PeopleSoft Inventory and picked up by the Purchasing Requisition Loader process (PO_REQLOAD). The Requisition Loader process marks the distribution lines that it creates based on whether the item is stockless or standard. For ad hoc replenishment requests, the replenishment code is standard (01) by default and needs to be validated.

When the distribution lines loaded by the Requisition Loader are processed from the stage tables by the PO Calculations process (PO_POCALC), standard items and stockless items are not placed on the same purchase order. This supports backward compatibility for prior releases of PeopleSoft Purchasing. However; you can combine standard and stockless items on a single purchase order using the Add/Update component. Stockless item purchase orders that you create using the PO Calculations process and Create Purchase Orders process (PO_POCREATE) are created in Approved status, and do not require approval processing.

The PO Dispatch/Print process (POPO005) includes information about whether the replenishment option for the item is stockless or standard.