Stock only moves between levels with explicit acceptance. That is what makes reconciliation possible at the end of the cycle.
The three states
When a store issues stock to a lower level, the quantity leaves the sender's balance immediately and enters in transit. It is not yet yours. It becomes yours only when you accept it.
- In transit — sent, not yet actioned by the receiver
- Accepted — added to the receiver's balance
- Rejected — returned to the sender's balance, with the rejection recorded
Accepting a consignment
Open Stock → Waybills and find the consignment. Count the physical stock before you tap accept. Once accepted, the quantity is added to your balance and you are accountable for it.
Rejecting a consignment
Reject when the physical count does not match the waybill, or the commodity is damaged or expired. Give a reason — it is recorded against the transaction and appears in the variance report. The stock reverts to the sender's balance automatically.
Partial discrepancies
If most of a consignment is correct but some is damaged, reject the whole waybill and ask the sender to reissue the correct quantity. Do not accept a waybill you know to be wrong and plan to fix it later; the adjustment will show as unexplained variance.
Reconciliation
At the end of the cycle your closing position is calculated as:
opening balance
+ accepted receipts
- issues to lower levels
- recorded usage
- returns
- wastage and damages
= expected closing balance
The variance report compares that against your physical count. A variance is not automatically a problem, but it does need an explanation recorded against it.