Removal Strategies In Odoo 12

Functional

Let’s see general information about FIFO and LIFO.

FIFO [ First In First Out ] :-

A First In First Out strategy states that If a product was stocked first, will move out first in delivery order, after confirming a sales order.Companies should use FIFO method, If they are selling perishable products, such as fruits, vegetables, flowers, meat and meat by-product, fish and seafood, dairy products, pharmaceutical products, and chemicals.

Also companies whose selling products have short demand cycles, such as cloths, these kinds of companies have to make sure that they are not stuck with outdated clothing products.

LIFO [ Last In First Out ] :-

A Last In First Out strategy is a opposite method of FIFO, it states that if a product was stocked last will move out first in delivery order, after confirming a sales order.

Let’s see the FIFO method In action :-

Now Go To Inventory → Configuration → Click on Settings

Here you have to make sure that you have selected two options.

Option-1

Go Under Traceability section click on Lot & Serial Numbers

Option-2

Go Under Warehouse section and click on Multi-Step Routes

After selecting these features, click on the save button.

Now click on Set Put-away Strategies on Locations

If you are on a different page

Go to Inventory → Configuration → click on Locations

After getting on the Locations page, Click on WH/Stock record

Inside this record you will see Removal Strategy under Logistics section click on First In First Out (FIFO) method and click on the Save button

After completing this Go To Inventory → Master Data → Products

Here I have created a new product otherwise you can select an existing product too; so click on create button

Add a Product Name, Sales Price and make sure that Product Type is Storable Product, go to Inventory tab Under Traceability section check that your Tracking is By Lots or Unique Serial Number, here I have selected By Lots now click on the Save button, and also Update the Cost of a Product and click on the Apply button.

Add Data in FIelds for Creating Product in odoo

After Adding Click on Save Button in odoo

Update the Cost of Product and click on Save Buttton

Here you can see that our product has 0 on hand quantity

In order to fill this on hand quantity we will make a RFQ ( Request For Quotation ), now go to your Purchase application and click on the Create button

Add your vendor and product, which we have created recently, Here I have ordered 10 quantities of a Work Table with Unit Price of $ 30.00, now click on the Save button and then Click on Confirm Order.