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Proper way to handle inventory needing processing

edited Jun 17, 2022 2:38PM in Ask A Guru 4 comments


Hoping for some insight on how to "properly" handle our inventory and processing.

We buy our product in bulk, and apply a coating to it once it arrives. This is done at an outside vendor. We don't apply coating to about 5% of the product, because some customers like it uncoated.

Currently we:

1) Buy an Inventory Item "ABC" from the manufacturer, and receive it to stock in our "Main Warehouse" location.

2) We then create a purchase order to our coating vendor for the qty that we want coated.

3) We create a transfer order to a location called "Outside Processing", and physically send the product to the vendor.


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