Backorders are used when a Supplier cannot deliver all goods to the site in one order. Having Backorders delivered must be agreed by the business and the Suppliers.
To enable Backorders for Suppliers, the Global Setting ‘Prompt to create backorders for undelivered products’ must be switched on.
- To switch on this setting, go to Enterprise > System Admin > Global Settings
This Global Setting affects all Suppliers at all sites and cannot be tailored by Supplier.
- If backorders are required, check the Prompt to create back orders for undelivered products box
- Save the Global Settings
Fig.1 – Backorders Global Setting
Backorders are only raised in the system when a pending delivery’s quantity is edited and approved or approved and marked for export. The Actual Quantity must be less than the Initial Quantity, see the quantity difference for Chicken Nuggets in Fig.2.
Fig.2 – Delivered Quantity Different to Ordered Quantity
Once the order is edited and saved, a pop-up alert will display to raise a Backorder for the delivery which was short in quantity.
- Select OK to create the Backorder
- Select Cancel to proceed and approve the delivery without raising a Backorder
Fig.3 – Create Backorder Alert
When Backorders are created, they can be found under the ‘Pending’ tab in the Pending Delivery Notes section.
Please Note: The Backorder will have the same expected delivery date as the date of the original delivery, regardless of the effective delivery days set for that Supplier.
Fig.4 – Created Pending Backorder
The original Pending Delivery will be shown as a ‘Partial Delivery’ under the ‘Approved’ tab, as seen in Fig.5.
Fig.5 – Partial Delivery
The original delivery also keeps a record of the Original Purchase Order and a link to view the corresponding Backorder, see Fig.6.
Fig.6 – Purchase Order and Backorder Links
Within the Backorder details, the Delivery Note Number and the original Delivery’s Reference Number are stored in the ‘Comments’ box.
Please Note: The Backorder Reference number is not fixed and could be the third number ahead if someone else is working in the same site and have raised two other Backorders before this one.
Fig.7 – Backorder Comments Box
Backorders for Manually Inputted Orders
Manually inputted orders are used when the user has called the Supplier to place order instead of raising a Purchase Order on the system.
Backorders may still be required for these orders. The process of creating these Backorders is similar to the process previously explained, the difference is explained below.
Backorders for manually inputted deliveries can be found under the ‘Pending’ tab in the Pending Manual Transfers section, see Fig.8.
Fig.8 – Pending Manual Transfers
The other difference with manually inputted Backorders is that there is no association with a Purchase Order, and the link to the manually inputted delivery is labelled ‘corresponding Document’ and not Partial Delivery.
Fig.9 – Link to Manual Input Delivery
Once the delivery arrives, the Backorder can be approved, which will transfer it to the ‘Approved’ tab.
Fig.10 – Approved Backorder & Partial Delivery
If the Supplier short delivers again on the first Backorder, another Backorder can be created for the short stock by editing the original Backorder.
When selecting 'view Partial Delivery' on this new Backorder, it connects to the original Backorder which is now renamed a ‘Partial Delivery' and will not show as a Backorder when approved.
Fig.11 – Document Links on Backorder
Things to Note About Backorders
It is not possible to connect all three documents easily, as only two documents will have a relationship with each other.
Backorders are not sent to the Suppliers.
Backorders work with P2P Suppliers the same way as non-P2P suppliers. However, matching the invoices is a manual process for Backorders.
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