ERP Tutorial ERP Supply Chain Tutorial DP Sound Systems Step by Step

ERP Tutorial 3 — Inventory On-Hand: Reading the Live Stock Position

TechnoPKG

2026-07-05 📖 3 min read 👁 13 views

This post covers the Inventory module in TechnoPKG ERP — tested live at technopkg.com/erp/inventory. The page shows real-time stock levels for all 8 items in the DP Sound Systems catalogue.

The Inventory On-Hand Page

Navigate to ERP → Inventory from the sidebar.

Page title: *"Inventory On-Hand"* Subtitle: *"DP Sound Systems Inc — Real-time stock levels"*

Grid columns:

Column	What it shows
ITEM ID	Item reference (ITM-001 to ITM-008)
NAME	Product or component name
CATEGORY	Product category
ON HAND	Physical units in warehouse
RESERVED	Units committed to open sales orders
AVAILABLE	On Hand minus Reserved
SAFETY STOCK	Minimum buffer level
LOCATION	Warehouse bin location
STATUS	Ok / Low / Zero / Critical

Live Inventory Position (2026-07-05)

Full stock snapshot from the portal:

Item ID	Name	Category	On Hand	Reserved	Available	Safety Stock	Location	Status
ITM-001	SmartBar Pro 500	Soundbars	45	30	15	50	WH-A1	🔴 Low
ITM-002	HomeTheatre HT-700	Home Theatre	38	20	18	30	WH-A2	🟢 Ok
ITM-003	PortablePA PA-200	PA Systems	85	50	35	60	WH-B1	🟢 Ok
ITM-004	SubWoofer WRL-400	Subwoofers	35	25	10	40	WH-B2	🔴 Low
ITM-005	Speaker Cabinet CAB-10	Components	180	80	100	100	WH-C1	🟢 Ok
ITM-006	Amplifier Board AMP-5	Components	140	70	70	80	WH-C2	🟢 Ok
ITM-007	Audio Cable 3M	Accessories	890	0	890	150	WH-D1	🟢 Ok
ITM-008	Power Supply PSU-12	Components	95	40	55	80	WH-D2	🟢 Ok

Reading the Inventory Data

Available ≠ On Hand

The critical number is Available, not On Hand. Two items demonstrate this:

ITM-001 SmartBar Pro 500:

On Hand: 45 — looks adequate
Reserved: 30 — already committed to open SOs
Available: 15 — only 15 units free for new orders
Safety Stock: 50 — available is 35 units below safety stock
Status: 🔴 Low

ITM-004 SubWoofer WRL-400:

On Hand: 35
Reserved: 25
Available: 10
Safety Stock: 40
Status: 🔴 Low

⚠️ Both ITM-001 and ITM-004 are Low. New sales orders for these items should be reviewed carefully — available stock is below the safety buffer. A purchase order or production work order is needed.

Items at Safety Stock Boundary

ITM-005 Speaker Cabinet CAB-10:

Available: 100 = Safety Stock: 100
Status: 🟢 Ok — but exactly at the boundary. Any new demand tips it to Low.

ITM-006 Amplifier Board AMP-5:

Available: 70 vs Safety Stock: 80
Status: 🟢 Ok — but 10 units below safety. Watch closely.

Overstocked Item

ITM-007 Audio Cable 3M:

On Hand: 890, Reserved: 0, Available: 890
Safety Stock: 150
Available is 5.9× safety stock
No open reservations at all

ℹ️ ITM-007 is significantly overstocked. This ties up working capital and warehouse space. The MRP Exceptions panel flags this as an Excess item with +180 days coverage — a candidate for reducing future PO quantities.

The Effect of Our PO Receipt

In Post 2 we received RCV-2026-0705-0003 — 10 units of HomeTheatre HT-700 from PrecisionParts Inc.

The inventory table confirms this was applied:

ITM-002 HomeTheatre HT-700 shows 38 on hand (was 28 before receipt)
10 units added exactly as confirmed by the receipt success message

✅ Receipt RCV-2026-0705-0003 verified in inventory: ITM-002 On Hand = 38, Available = 18, Status = Ok.

Warehouse Locations

Each item has a bin location — the physical address in the DP Sound Systems warehouse:

Zone	Locations	Items stored
WH-A	A1, A2	Finished goods (Soundbars, Home Theatre)
WH-B	B1, B2	Finished goods (PA Systems, Subwoofers)
WH-C	C1, C2	Components (Cabinets, Amplifier boards)
WH-D	D1, D2	Accessories and components (Cables, PSUs)

Status Rules

Status	Condition
🟢 Ok	Available ≥ Safety Stock
🔴 Low	Available < Safety Stock but > 0
⚪ Zero	On Hand = 0
🔴 Critical	Available < 0 (over-committed)

What Inventory Feeds Into

The inventory position is one of four inputs to MRP (covered in Post 4):

Sales order demand
Bill of Materials
Inventory on hand ← this post
Supplier lead times

MRP subtracts available inventory from gross demand to calculate the net requirement — what actually needs to be ordered or manufactured.

*Post 3 of 5 — TechnoPKG ERP Tutorial Series. Tested live on technopkg.com, 2026-07-05.*

Tags: ERP Supply Chain Tutorial DP Sound Systems Step by Step

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