Loss & Adjustment — User Guide
Module: Warehouse
Audience: Warehouse staff, inventory controllers, auditors
Version: 1.0.0
Last updated: 2026-07-22
Overview
Loss & adjustment corrects on-hand stock at a warehouse when physical counts differ from the system, or when stock is lost, damaged, or found. Choose Loss to reduce quantity or Adjustment increase to raise quantity. Each document captures when the event happened, which warehouse is affected, line-level quantities, and a Reason for audit purposes.
Prerequisites
- Permission: Loss & adjustment → View (list), Create / Edit (submit changes), Delete (remove drafts).
- Setup: Items and warehouses must exist; opening balances should be loaded before adjusting.
- Approval: Many organizations require approval before quantities change in the system.
Step-by-step: Record a loss or adjustment
- Go to Warehouse → Loss & adjustment.
- Click Add.
- Complete the header:
- Time (lost or adjusted) — when the loss or count occurred.
- Type label — Loss or Adjustment increase.
- Warehouse — the single location being corrected.
- Add line items:
- Select the item.
- Enter Lot number and Expiry date when your items use lot/expiry tracking.
- Review Available quantity (system on-hand before change).
- Enter Stock quantity — the new correct on-hand amount after this document is approved.
- For serial-tracked products, use the serial actions on the line when prompted.
- Enter a Reason explaining the correction (required for audit).
- Click Submit.
Expected result: The record appears in the list as Draft until approved (if approval is enabled). After approval, on-hand stock at the selected warehouse matches Stock quantity on each line.
Step-by-step: Filter the list
Use the filters above the list:
| Filter | Purpose |
|---|---|
| Time (lost or adjusted) | Match documents by event timestamp |
| Date creator | Match by record creation date |
| Status label | Draft, Adjusted, or Reject |
| Type label | Loss or Adjustment increase |
Step-by-step: View and approve
- From the list, open a record with View.
- Review general information, line details, and approval status.
- Requesters click Send request approve when configured.
- Approvers use Approve, Deny, or E-signature sign.
Expected result: Approved documents show Approved status and inventory quantities are updated. Rejected documents show Reject and do not change stock.
Step-by-step: Edit or delete a draft
- Open Warehouse → Loss & adjustment.
- For a Draft record, click the edit icon, change fields, and Submit again — or delete from the list options.
Only draft records can be edited or deleted.
Field reference
| Field | Required | Description |
|---|---|---|
| Type label | Yes | Loss (shrink/damage) or Adjustment increase (found stock / count up) |
| Warehouse | Yes | Location whose inventory is corrected |
| Time (lost or adjusted) | Yes | Date/time of the event |
| Stock quantity | Yes (per line) | Target on-hand quantity after approval |
| Available quantity | Display | Current system quantity before change |
| Reason | Recommended | Audit trail explanation |
| Lot number / Expiry date | When tracked | Identifies the inventory bucket being adjusted |
Common issues
| Symptom | Likely cause | What to do |
|---|---|---|
| Cannot open Loss & adjustment | Missing View permission | Request Loss & adjustment → View |
| Cannot submit | Missing Create/Edit permission | Request appropriate permission |
| Adjustment blocked at zero available | Product has no stock to adjust up from zero | Receive stock first (Stock import) or verify item/warehouse |
| Type not selected | Required field empty | Choose Loss or Adjustment increase |
| Stock unchanged | Still draft or rejected | Complete approval or check status filter |
| Serial numbers wrong | Serial tracking enabled | Use serial add/remove on the line before submit |
| Add button missing | UI may check generic Warehouse create | Request Loss & adjustment → Create |
Related features
- Warehouse → Items (commodity master)
- Warehouse → Warehouses (locations)
- Warehouse → Stock import (inbound corrections via receipt)
- Warehouse → Warehouse history (movement log)
- Warehouse → Settings (approval rules)