You use backorder processing to track customer sales orders received for which the inventory has not yet been shipped. Normally, this occurs when the available quantity is insufficient to fill the order. The backorder process lets you check how much is missing, and once the inventory is replenished, you can ship the required quantity to your customers.
When you receive information on a backorder, handle it in one of the following ways:
- Deliver the necessary quantity to the customer.
- Update the quantity (after the delivery has been shipped).
- Close the remaining open quantity for the row.
In addition, you are able to deliver a zero quantity.
Your customer calls and orders 100 chairs from your company, but you have only 80 chairs in stock. You can deliver the available items immediately and the remainder when you receive them from your vendor.
1) From the SAP Business One Main Menu, choose: Sales – A/R > Sales Order.
2) Create a new sales order for 100 chairs for the current date.
3) Choose: Sales – A/R > Delivery.
4) Copy the sales order you just created to the delivery, changing the quantity to 80.
5) Choose: Sales – A/R > Sales Reports > Backorder. The system displays a backorder for 20 chairs.
6) To enter the 20 items you received from your vendor, choose: Purchasing – A/P > Goods Receipt PO.
7) Create a new delivery to provide the customer with 20 remaining items. When you run the Backorder report again, you see that a backorder no longer exists for the customer.
8) Choose: Sales – A/R > A/R Invoice > and issue an A/R invoice for 100 chairs.
Note: You can update the Quantity and Delivery Date fields for the partially delivered sales order lines. You can decrease the quantity to the Delivered Qty field level. You can also increase the quantity.