Understanding Lot Information
By assigning items to lots, the system enables you to manage and maintain information about groups of items. For example, you can have the system assign lot numbers to groups of perishable items based on receipt dates to identify the items that you must sell first. You can view current information about each lot, such as the quantity of available items and the transactions that have affected the lot.
Using lots, you can:
Assign a lot number to an item or have the system assign it upon receipt of the item.
Lot numbers are frequently used to track inventory items. Tracking by lot numbers enables a company to manage inventory in situations such as a manufacturer's recall or to rotate perishable product.
Place a lot on hold when a problem occurs within the lot.
Assign a status to a lot, for example, to indicate that it is in quarantine or inspection.
Review transactions by lot.
Identify perishable lots so that you can sell the oldest goods first.
Track items that were bought or produced at the same time in case you have to retrieve those goods from the customers.
Lot control is beneficial for identifying groups of items that are components of a final product. For example, if you assign lot numbers to both bicycle tires and bicycles that are assembled from the tires, you can:
Identify the lot number for the tires that were used to build a specific bicycle.
Identify all bicycles that were assembled from a specific lot of tires.
If you later find that a particular lot of tires is defective, you can immediately identify and recall all bicycles that were assembled with the defective tires.
A lot usually contains one type of item, but you can set up system constants to enable different types of items in the same lot. If a lot contains different items, the system maintains lot information for each lot number and item. You can also set up system constants to restrict a lot to one type of item and still enable that lot to exist in multiple warehouses.
You can use one of these methods to assign lot number to items:
Allow the system assign lot numbers.
Assign the owner lot numbers.
Assign supplier lot numbers.
You must determine how to identify item locations and lots in the system to enable you to locate items quickly and perform daily operations efficiently. After you create a lot, the system adds a record to the Lot Master table (F4108).