Setting Tolerance Limits in Item and Vendor Records
The Inbound ASN Automation SuiteApp allows you to set tolerance limits for receiving items overage at the company, vendor, and item levels. These tolerance limits determine how the SuiteApp handles scenarios where there are more items on the advance ship notice (ASN) than open on a purchase order (PO).
Quantity Tolerance or Quantity Percentage Tolerance
You should set quantity tolerance limit to receive item overage at the company level. The quantity tolerance limit is checked at the item, vendor, and company levels respectively. When the limit exceeds at any of the levels, the ASN is listed in the ASN exception list.
Example for Quantity Tolerance or Quantity percentage Tolerance
There is a purchase order for 100 units of an item, and the ASN is for 120 units.
Quantity Tolerance: 10 or Quantity Percentage Tolerance: 10 (both are the same)
Quantity on PO: 100 units
Quantity on ASN: 120 units
In this case, the tolerance limit is 10 units. Since the ASN quantity (120 units) exceeds the PO quantity (100 units) by 20 units, which is more than the tolerance limit (10 units), the ASN is listed in the ASN exception list with a tolerance error status.
Amount Tolerance or Amount Percentage Tolerance
You should set the amount tolerance limit to receive item overage at the company level. The amount tolerance limit is checked at the item, vendor, and company levels respectively. When the limit exceeds at any of the levels, the ASN is listed in the ASN exception list.
Example for Amount Tolerance or Amount Percentage Tolerance
There is a purchase order with an amount of $1,000 and the ASN has an amount of $1,150.
Amount Tolerance: 50 or Amount Percentage Tolerance: 5 (both are the same)
PO Amount: $1,000
ASN Amount: $1,150
In this case, the tolerance limit is $50. Since the ASN amount ($1,150) exceeds the PO amount ($1,000) by $150, which is more than the tolerance limit ($50), the ASN is listed in the ASN exception list with a tolerance error status.
Multiple Tolerance Limits
You can set both quantity and amount tolerance limits to control the acceptance of item overages at the company level. The Inbound ASN Automation SuiteApp evaluates all relevant tolerance fields at item, vendor, and company levels. When multiple tolerances are defined, the SuiteApp will consider the maximum value as the tolerance limit and work accordingly. When the limit exceeds at any of the levels, the ASN is listed in the ASN exception list.
Example for Multiple Tolerance Limits
There is a Purchase Order for 100 units at $10 per unit, for a total PO amount of $1,000. The corresponding ASN is for 120 units at $10 per unit, which amounts to $1,200.
Quantity tolerance: 50 units
Amount tolerance: $50
Quantity on PO: 100 units
Amount on PO: $1,000 (Each unit $10)
ASN Quantity: 120 units
ASN amount: $1,200 (Each unit $10)
In this case, based on the Amount tolerance value, the tolerance limit is $50 (5 units at $10/unit). Based on the Quantity tolerance, the tolerance limit is 50 units ($500 at $10/unit). The Inbound ASN Automation SuiteApp selects the larger tolerance (50 units). Since the ASN is only 20 units over, which doesn’t cross the 50-unit tolerance, the ASN isn’t listed in the ASN exception list.
By setting tolerance limits, you can control how the Inbound ASN Automation SuiteApp handles discrepancies between the purchase order and the advance ship notice. This ensures that your business processes are streamlined and efficient.