Step 7. Creating and Setting up Warehouses

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Warehouse Settings

To set up the system:

  1. Navigate to Master data and settings > Master data and sections > Warehouse and delivery.
  2. To keep accounting by several warehouses, select the Multiple warehouses checkbox.
  3. To enable advanced inventory management, select the Warehouse management checkbox.

Note: Advanced inventory management is a system of warehouse accounting that separates financial accounting (purchase and sale transactions) and warehouse accounting (goods movement transaction). With advanced inventory management, you'll be able to register goods receipt notes and goods issue notes.

Creating Warehouses

Creating Simple Warehouses

To create a warehouse:

  1. Go to Master data and settings > Warehouses and stores.
  2. Click Create > Wholesale warehouse. If in addition to wholesale operations the warehouse is used and for retail sales, select the Retail store type.
  3. Enter the Description.
  4. Click Save.

In such warehouses, there will be no need to register goods receipt and goods issue documents in addition to invoices.

Creating Advanced Warehouses

  1. Go to Master data and settings > Warehouses and stores.
  2. Click Create > Wholesale warehouse.
  3. Enter the Description.
  4. Go to the Warehouse management parameters tab and under Use Warehouse management for, enable advanced inventory management for all required types of operations:
    • Select Receipt of goods to use advanced inventory management when receiving goods.
    • Select Issue of goods to use advanced inventory management when shipping goods.
    • Select Use goods issues/receipts for surpluses, shortages, stock reclass, and damage to use advanced inventory management in all other cases.
  5. If you select all these three checkboxes, the Enable zero-stock control checkbox will be selected automatically. Otherwise, select it manually if you want to use balance control on posting goods issue notes and goods picking (placement) jobs. When advanced warehouse management is not enabled, the checkbox shows whether balance control by the batch specified in the picking plan is used.
  6. In the Storage bins field, select of the following options:
    • Do not use. Storage bins are not used. Inventory balances are controlled for the whole warehouse, and the system does not know the specific location of the goods in the warehouse.
    • Use bin location system. Bins are used for reference purpose only, to simplify the placing or selecting goods in a warehouse. But balances are controlled for the whole warehouse. This method is preferable when each product is located in a separate bin.
    • Use for storage of remaining products (available only if all three checkboxes mentioned in step 4 are selected). Goods are stored in bins, and inventory balances are controlled for bins as well. This method is preferable to use when a single product can be stored in different bins, or when several separate products can be stored in one bin. It allows you to quickly find the goods in bins and get accurate data on the quantity of all goods stored in a certain bin.
  7. Click Save.

In such warehouses, you will have to register goods receipt notes to register the actual receipt of goods to the warehouse and goods issue notes to register goods issue from the warehouse.

Warehouse Structure

Creating Warerooms

Your warehouse can be divided into several warerooms. Warerooms are available only for warehouses where the Receipt of goods, Issue of goods, and Use goods issues/receipts for surpluses, shortages, stock reclass, and damage checkboxes are all enabled.

For each wareroom, you can select whether storage bins and warehouse areas are used there.

To enable warerooms:

  1. Go to Master data and settings > Warehouses and stores.
  2. Open the required warehouse.
  3. Select the Use warerooms checkbox.

To create a wareroom:

  1. Go to Master data and settings > Warehouses and stores.
  2. Open the required warehouse.
  3. Click Warerooms at the top.
  4. Click Create.
  5. Specify the Description.
  6. In the Storage bins field, select of the following options:
    • Do not use. Storage bins are not used. Inventory balances are controlled for the whole warehouse, and the system does not know the specific location of the goods in the warehouse.
    • Use bin location system. Bins are used for reference purpose only, to simplify the placing or selecting goods in a warehouse. But balances are controlled for the whole warehouse. This method is preferable when each product is located in a separate bin.
    • Use for storage of remaining products. Goods are stored in bins, and inventory balances are controlled for bins as well. This method is preferable to use when a single product can be stored in different bins, or when several separate products can be stored in one bin. It allows you to quickly find the goods in bins and get accurate data on the quantity of all goods stored in a certain bin.
  7. Specify whether you want to use Warehouse areas or not.
  8. Click Save and close.

Creating Warehouse Areas

If you use advanced warehouse management, you can split your warehouse into separate zones that require different work technologies: in one zone you can place and pick up goods manually, in another zone you need to use warehouse equipment to place and pick up goods, and so on. These zones are called warehouse areas and represent a set of storage bins. You can use them only if you use storage bins in the warehouse or wareroom.

A warehouse might consist of warehouse areas. You can use warehouse areas only if Use bin location system or Use for storage of remaining products option is selected in the Storage bins field.

To enable warehouse areas:

  1. Go to Master data and settings > Warehouses and stores.
  2. Open the required warehouse.
  3. Select Use in the Warehouse areas field. Note: if warerooms are enabled, enable warehouse areas for each wareroom separately.

To create a warehouse area:

  1. Go to Master data and settings > Warehouses and stores.
  2. Open the required warehouse.
  3. Click Warehouse areas at the top.
  4. Click Create.
  5. Specify the Description.
  6. Click Save and close.

Creating Storage Areas

Another criterion for dividing a warehouse into zones is the conditions for storing goods. Some products can be stored only in the particular temperature and humidity. You cannot store fresh vegetables, dairy products, and frozen foods in one place. For that purpose, you can use storage areas.

Storage areas are used to generate rules according to which goods will be placed in storage bins.

You can create storage areas if you selected the Use for storage of remaining products option for the Storage bins field.

To create a storage area:

  1. Go to Master data and settings > Warehouses and stores.
  2. Open the required warehouse.
  3. Click Storage areas at the top.
  4. Click Create.
  5. Specify the Description.
  6. Under On placement, select your strategy for placing goods into storage bins:
    • single product bins only. You can place goods into storage bins where only this particular product is stored or to empty bins.
    • use put-away priorities. You can specify the priorities for placing goods into bins, where 1 is the highest priority:
      • to single product bins. Product can be placed in bins where only this product is stored.
      • to mixed storage bins. Product can be placed in bins where other goods are stored in addition to this product.
      • to empty storage bins. Product can be placed in empty bins.
      • to storage bins with other goods. Product can be placed in bins where another product is stored, but there is free space for placing this product.
  7. Under Picking priority, specify the priorities for picking products from storage bins:
    • from single product bins. Product will be picked from bins where only this product is stored.
    • from mixed storage bins. Product will be picked from bins where this product is stored together with other goods.
    • against remaining stock. Product will be picked from bins where the smallest number of this product is stored to make the bin empty.
  8. Under periodic bins inventory recount, select how often you want to perform periodic recount of bins inventory:
    • Do not perform periodic recount of bins inventory.
    • Recount goods in storage bins every ___ day (days).
  9. Click Save and close.

Put-Away Strategies

To let the system know to what storage area to place products depending on their storage conditions, set up put-away strategies.

  1. Go to Warehouse and delivery > Settings and catalogs > Put-away strategies and select your warehouse. Alternatively, use can set up these rules from the storage area.
  2. Click Create.
  3. Select the Storage area for which you create the rule.
  4. Specify the Warehouse group of products that should be placed into this storage area. It groups products with similar storage conditions.
  5. Select whether you want to put the goods away In packaging units or Without packaging units.
  6. If In packaging units option is selected, specify the Warehouse group of packaging units.
  7. Set the Priority for the rule.
  8. Click Save and close.

You can create as many rules for 1 storage area as you need.

Warehouse Topology

Overview

There are several types of storage bins in the system:

  • Inbound is a temporary zone for keeping goods until you put them in storage bins. Later these goods will be moved from this zone to bins with the Storage type.
  • Outbound is a temporary zone for keeping goods prepared for shipment.
  • Storage bins are used for keeping goods in the warehouse. This is the main type of bins.
  • Archive are bins being taken out of usage (for example, due to the reorganization of the warehouse). You cannot put new goods in such, but it is possible to store the existing goods there and take them from such bins.

Bins of the Inbound and Outbound type can only be created manually in the warehouse card. Other types can be created both manually and in a special workplace.

Storage bins can contain the following structural units:

  • Section is a storage area with several lines
  • Line means racks standing next to each other
  • Rack is a stand with shelves.
  • Tier (shelf) is one or several rows of the rack located one above the other.
  • Position on the shelf.
Warehouse topology.png


When you generate a bin address, you may not use all structural units. It depends on the shelving equipment used in the warehouse.

Creating Storage Bins Manually

You can create storage bins for the warehouse only if Use bin location system or Use for storage of remaining products option is selected in the Storage bins field.

To create a storage bin:

  1. Go to Master data and settings > Warehouses and stores.
  2. Open the required warehouse.
  3. Click Storage bins at the top.
  4. Click Create.
  5. Select a storage bin Type.
  6. Specify the bin Location. You can specify the exact Section, Line, Rack, Tier, Position and Separator and fill the Location field based on the entered data.
  7. Click Save and close.

Generating Storage Bins in Bulk

To create storage bins from a special workplace:

  1. Navigate to Warehouse and delivery > Warehouse topology generation.
  2. Select your Warehouse and Storage bin type.
  3. If required, select the following:
    • Standard size.
    • Warehouse area.
    • Storage area.
    • Filling by weight. Specify the percent of weight you want to fill (for example, fill only 80% of allowed weight).
    • Filling by volume. Specify the percent of volume you want to fill (for example, fill only 80% of allowed volume).
    • Availability level. Identifies the convenience of accessing this bin. The closer the bin to the exit and the lower its location is, the easier it is to access it. When placing and selecting goods, empty bins with the highest priority of the availability level will be used first. Priority 1 is the highest.
  4. Select checkboxes next to structural units you want to use: Sections, Lines, Racks, Tiers, and Positions.
  5. Select the number type for your unit:
    • Numeric
    • Alphanumeric (ru)
    • Alphanumeric (latin)
  6. To set the fixed length for the Numeric section, select the Fixed length checkbox and specify the number of characters in the section address. For example, if you select 3, the first unit will be written as 001.
  7. Specify the Digit range. For example, A-C, or 1-10.
  8. Select the Separator.
  9. Click Preview to see your warehouse structure.
  10. If everything is fine, click Create structure.

For example, my warehouse has the following structure:

  • There are 3 lines in our warehouse
  • There are 4 racks in each line
  • Each rack has 2 tiers
  • There are 10 positions in each tier

I want to mark the lines with Latin letters, and the racks, tiers and positions with numbers. My step will be as follows:

  1. I select lines, racks, tiers and positions by clicking their checkboxes.
  2. For lines, I select Alphabetic (latin) number type. There should be 3 lines, so my letter range is from A to C. No separator.
  3. For racks, I select Numeric number type. I want my number to have a fixed length of 2 digits. Digit range 1-4. A hyphen is a separator.
  4. For tiers, I select Numeric number type. I want my number to have a fixed length of 2 digits. Digit range 1-2. A hyphen is a separator.
  5. For positions, I select Numeric number type. I want my number to have a fixed length of 2 digits. Digit range 1-10. A hyphen is a separator.

In this case, the sample will be as follows: A01-01-01. The overall number of storage bins will be 240.


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