It’s important to understand how Ordoro calculates inventory for your products, to understand Ordoro. If you’re unfamiliar with Ordoro’s inventory terminology, see this support article before reading the following article.
Topics
Ordoro inventory calculation theory
- When selling items online (especially on multiple channels), you need a centralized place to calculate your inventory. That’s where Ordoro comes in!
- When Ordoro determines your inventory, we consider what you have on your shelves (Physical On Hand) and the number of items on unshipped orders in Awaiting Fulfillment status (Committed).
- Ordoro sends the difference between these two values (Available On Hand) to your sales channels.
- Ordoro doesn’t immediately change the Physical On Hand quantity when an order imports because that inventory hasn’t left your warehouse yet. Orders can still be cancelled or changed up until an order is shipped.
- Physical On Hand is reduced once an order is marked as shipped (either with a shipping label, manually added tracking number, or marking the order shipped).
- Ordoro only syncs the Available quantity to your each of your Sales Channels to prevent your products from overselling.
- If you have multiple warehouses, we write back the sum of Available for all warehouses.
- You can disable inventory sync on a per-warehouse basis. See this help article for more details.
Inventory calculation example
We’ll use the Krull DVD as our example product below. Also, you can select any of the screenshots to see a larger version.
1. An order imports into Ordoro for 2 Krull DVDs.
2. We currently have 3 Krull DVDs in our warehouse. This quantity shows up as the Physical On Hand quantity in Ordoro.
3. Since there’s an order for 2 Krull DVDs, that shows up as our Committed quantity.
4. Therefore, Ordoro will sync a quantity of 1 to your sales channels (i.e. the Available quantity).
- (3 Physical On Hand) – (2 Committed) = (1 Available).
Multiple warehouses example
If you have multiple warehouses, we’ll sync the sum of all warehouses’ Available to your carts (Unless you have “Sync by warehouse” set up. See this help article for more details.).
Using the same order above, let’s consider if there was a second warehouse.
1. An order imports into Ordoro for 2 Krull DVDs.
2. We currently have 3 Krull DVDs in our Austin warehouse and 10 in our Lake Jackson warehouse. These quantities shows up as the Physical On Hand quantity per warehouse.
3. Since there’s an order for 2 Krull DVDs, and Austin is our default warehouse, that shows up as our Committed quantity for Austin only.
4. Ordoro will sync a quantity of 11 to your sales channels (i.e. the total Available quantity for both warehouses)
- Austin: (3 Physical On Hand) – (2 Committed) = (1 Available)
- Lake Jackson: (10 Physical On Hand) – (0 Committed) = (10 Available)
- Austin (1 Available) + Lake Jackson (10 Available) = (11 Available)
