Item Reallocation and the Calculation Examples
The examples below describe situations that can trigger item reallocation and the calculations that are used.
System Calculation Example 1: Changing Item Receipts or Adjustments
If you reduce the quantity indicated or delete the entire transaction, NetSuite reduces the quantity of items available to be committed to orders. Such a reduction brings the quantity available below the quantity on hand.
For example, first create an item receipt for Item A for 10 units. Then create a sales order for 5 units of Item A. Next, manually commit 5 units to the sales order. Then, delete the item receipt. After being deleted, NetSuite automatically removes the allocation for the 5 units of A on the sales order.
System Calculation Example 2: Changing Order Quantities
On a sales order, if you reduce the item quantity on the order, that quantity becomes lower than the quantity committed.
For example, you create an item receipt for 10 units of Item A. Then, create a sales order for 5 units of Item A. Next, manually commit 5 units to the sales order. Then, change the sales order quantity from 5 to 2. NetSuite automatically changes the committed quantity to 2 units of Item A on the sales order.