Goods ReceiptedA brief overview of Blue Echidna's Goods Receipted module
The Goods Receipted system is based on the existing Picking System with supported Android based phones used as handsets, linked via Bluetooth to Socket© handheld scanners. The purpose of the system is to improve speed and accuracy for receiving deliveries of goods into the warehouse.
Benefits of this module
The new system aims to improve the working practices by making the receipt of goods:
- More accurate
The system will improve accuracy of checking goods received by introducing bar-code scanning. Blue Echidna, through its seamless integration with MYOB EXO, will automate the process of updating EXO, which is currently a time consuming task. Blue Echidna will update the information in EXO as soon as the goods are checked into the warehouse instead of several days or weeks later. Where required, Blue Echidna Stock Receipting can record a mandatory end of shelf life date for all goods. This will improve the quality of items held in the warehouse and reduce the risk of short life products unknowingly being received and accepted.
Overview of current system
Currently when goods are received into the warehouse, they will arrive with some form of delivery note. The warehouse staff will check the received goods against the delivery note to confirm that the goods received correctly match what the supplier is saying they have delivered. Note that at this stage, it is often the case that no check is made to ensure that the items were ever ordered! As soon as the goods have been checked off, it is likely they will be placed on shelves within the warehouse. Again, usually, no consistent check is made to ensure that goods received have a suitable lifespan (i.e. that the goods are not going to pass their end of shelf-life before it’s possible to sell them). Once the delivery note information has been checked off, it is passed to Administration to enter into MYOB EXO or the ERP system. This is a time consuming process for a number of reasons. First, the sequence that items are listed on a delivery note will almost certainly not match the sequence they appear on the purchase order. Secondly, it is quite likely that the order received will not fully meet the requirements of the purchase order (e.g. some goods may not have been supplied). Thirdly, it is possible the supplier will have supplied goods that were never ordered, either due to error or potentially opportunism attempting to sell more product. Due to the unpleasant nature of resolving these issues, there is a tendency for the job to be put off, meaning that the data in MYOB EXO is not always correct. In order to simplify the MYOB EXO data entry, what typically happens is that instead of updating the existing purchase order to show what has been filled, the process is to delete the original purchase order and then create a new purchase order that exactly matches the delivery note. This obviously makes entering the information much simpler. Any goods originally ordered that were not delivered are then added to a new purchase order. Obviously, if goods were delivered that were never ordered, they will now appear to have been ordered as they will be on the newly created purchase order.
The Stock Receipting Process Flow with Blue Echidna
Using Blue Echidna Stock Receipting module, your new warehouse work process flow will be as follows:
- Goods arrive in the warehouse complete with delivery note.
- The warehouse staff will find the purchase order reference off the delivery note and scan it, or key it into the handset.
- The handset will bring up all the purchase order details on screen. This will show all items ordered, with quantities, in a manner similar to the existing Blue Echidna Picking Module.
- The warehouse staff will “pick” the received items. i.e. they scan the barcodes of items received. They have the option to enter quantities manually or to scan all items individually.
- The warehouse staff will also be required to enter the expiry date (end of shelf life date) for each item, if it is flagged as a requirement in EXO. The first time a particular stock item is scanned, they will have to enter the expiry date. Subsequent scans for the same stock code will default to the same expiry date though there will be an option to override this. It is assumed that most of the time, items in a single delivery with the same stock code will have the same expiry date.
- There will be rules (which can be defined) to dictate what an acceptable end of shelf life for given products is. For example, a food item which is going to expire in a few days should not be accepted as it is unlikely that it can be sold before it expires. The system will warn the user about such products. The system can be configured to allow the user to override this warning to accept the goods. Alternatively, the system can enforce the rule and not allow the goods to be receipted.
- When all received items have been scanned, the “submit” button is pressed and the information is seamlessly transferred to the MYOB EXO database
- The MYOB EXO database tables are updated to insert new entries for goods received and to update purchase order details. The required database table updates have been structured to comply with all accounting requirements and to respect the integrity of the MYOB EXO system.
New administration work process flow with Blue Echidna
- Within MYOB EXO the user creates a new Purchase Order against a selected supplier, and adds the stock items they wish to order, specifying quantities. The process is identical to the current process in MYOB EXO
Inward Goods Receipt and Costing
- The admin or accounting user must then perform Costings as is required by MYOB EXO. There are no changes to the current process of inward goods costing. This is an opportunity to add additional costs to items to reflect “on-costs” such as Freight. For example, if the user orders 10 boxes of widgets at $10 per box, the cost of each box is obviously just $10. However, if the supplier charges a $10 delivery fee for the whole shipment, then the true cost of each box is $11. Within the Costings section in MYOB EXO, the user can add any overhead costs. MYOB EXO will automatically aggregate those costs against all of the stock items in the order to find the true cost of each item. The costs can be spread by value, weight or volume.
- The Blue Echidna Goods Receipted system creates a Goods Inwards header record, associating it with a Purchase Order, adding all of the Goods Inwards line records.
As is the usual process in MYOB EXO, stock levels within MYOB EXO are not updated until AFTER costings have been completed. This means that the Blue Echidna user does not need to be concerned with updating stock levels. This will happen automatically when the MYOB EXO admin user has performed the costings.
How much does it cost?
Contact us for pricing. The configuration will depend on your exact requirements. The pricing is highly competitive compared to other solutions available.