Automatic Creation of VIRTUAL_DAMAGED_LOCATION

This document explains the new feature where a system-generated damaged location, called VIRTUAL_DAMAGED_LOCATION, is automatically created whenever a new warehouse is set up. This enhancement is designed to ensure that damaged quantities are effectively managed and tracked within the system, right from the moment the warehouse is made.

1. Automatic Creation of VIRTUAL_DAMAGED_LOCATION:

   • Whenever a new warehouse is created in the system, a corresponding VIRTUAL_DAMAGED_LOCATION is automatically generated.

   • This location is specifically designated for handling and tracking damaged items within the warehouse.

   • The automatic creation of this location ensures that the warehouse is equipped from the start to manage damaged stock separately from regular inventory.

2. Purpose of VIRTUAL_DAMAGED_LOCATION:

   • The VIRTUAL_DAMAGED_LOCATION is designed to isolate damaged goods from sellable inventory, ensuring that damaged quantities are not mistakenly included in available stock.

   • This separation is crucial for accurate inventory management, as it prevents damaged items from being used to fulfill orders or being included in storage totals.

3. Handling Damaged Quantities:

   • When products are received and identified as damaged, they are automatically assigned to the VIRTUAL_DAMAGED_LOCATION within the warehouse.

   • These damaged quantities are tracked separately in the stock ledger, under the "Damaged Qty" section, rather than being included in the total storage quantity.

4. Non-Removable VIRTUAL_DAMAGED_LOCATION:

   • Important Note: The VIRTUAL_DAMAGED_LOCATION created for each warehouse cannot be deleted or modified through the locations management feature.

   • This restriction ensures the integrity of damaged stock tracking and prevents accidental removal of this critical location.

5. Flexibility in Managing Damaged Stock:

   • While the VIRTUAL_DAMAGED_LOCATION is system-created and non-removable, you have the flexibility to transfer damaged items to other locations if necessary.

   • This can be done either through the SKU bin mapping view or directly from the stock ledger by selecting the appropriate actions.