Chapter 17. Adjustment Memos
Adjustment memos record changes to inventory quantity, price, and cost that are not recorded on receipts, vouchers, or slips. For example, if you manually edit an item's Price, Cost or OH Qty fields in Prism Inventory, a corresponding memo is created. If you manually edit Recording these changes is essential to maintaining accurate data. There are three types of adjustment memos: Quantity, Price and Cost.
This topic includes information about the following:
- Adjustment preferences
- Adjustment permissions
- New memo creation
- Memo fields
- Memo details
- Special situations with Memos (e.g. Price Manager Price Plan Owner)
About Quantity Memos
Quantity memos change item quantities for a selected store. The currently active price level in inventory is used to populate price-related fields. If the store uses price-based stores, then the appropriate price level for the selected store is used. By default, users are not able to enter a negative quantity on an adjustment memo. To enter a negative quantity on a memo, the preference "Allow Negative Quantities on Memos" must be selected.
About Cost Memos
Cost memos record the changes in inventory Cost for a selected group of items. Cost memos are always applied to the entire company, rather than to a particular store.
About Price Memos
Price memos change price for the entire subsidiary. Price memos record the price changes in one particular price level for the listed items. Multiple memos are required if you want to change prices in more than one price level. In some cases, RP Prism creates adjustment memos automatically, such as when a receiving voucher updates inventory costs. If an activity changes both quantities and prices, then Prism generates both a quantity memo and a price memo. You can also create memos manually to correct mistakes.
Adjustment Memo Permissions
|Adjustment Memos - Create Cost Memo||Allows group members to create a cost adjustment memo|
|Adjustment Memos - Create Price Memo||Allows group members to create a price adjustment memo.|
|Adjustment Memos - Create Qty Memo||Allows group members to create a quantity memo.|
|Adjustment Memos - Edit Former||Allows group members to edit a former memo.|
|Adjustment Memos - Print Memo||Allows group members to print a memo.|
|Adjustment Memos - Reverse Memo||Allows group members to reverse a memo.|
|Adjustment Memos - Unhold Memo||Allows group members to unhold a memo.|
|Adjustment Memos - Update Memo||Allows group members to update a memo.|
Adjustment Memo Preferences
The following preferences are available in the Preferences & Settings > Merchandise > Adjustments area.
|Tax Area 1, Tax Area 2||This enables you to select a specific tax area for each of two tax areas. This feature is important for retailers in a multi-tax VAT environment because it means that when a retailer changes an item price or cost, the resulting adjustment memos will correctly calculate price with tax.|
|Require Comments on Memos||When you select Require comments on memos, Retail Pro requires you to enter at least one character in the Comment field on a memo.|
|Save store quantities for Price/Cost memo||If you select Save Store Quantities for Price/Cost Memos, then the quantities (for all items on the memo) will display in the Old Quantity, Adjusted Quantity, and Quantity Difference fields. If you do not select this setting, then those fields will show a quantity of zero (0).|
|Allow negative quantity in Quantity memo||If selected, users can enter a negative quantity on a quantity adjustment memo. If not selected, negative quantities are prevented.|
|Create price adjustments for items with zero quantity||
If selected, when creating price adjustment memos for markdowns, items that have a zero on-hand quantity will be included on the memo. This is important if you ever need to reverse the markdown. If the item was not on the original memo, it won't be included on the reversing memos when the markdown is reversed.
|Require cost adjustment reason||If selected, users must select an adjustment reason to update a cost adjustment memo.|
|Default Cost Reason||If a default quantity reason is selected, the reason will be entered on new cost memos (can be edited)|
|Require Price Adjustment Reason||If selected, users must select an adjustment reason to update a price adjustment memo.|
|Default Price Reason||If a default price reason is selected, the reason will be entered on new price memos (can be edited).|
|Require quantity adjustment reason||If selected, users must select an adjustment reason to update a quantity adjustment memo.|
|Default quantity reason||If a default quantity reason is selected, the reason will be entered on new quantity memos (can be edited).|
New Memo (Manual Creation)
- Navigate to Store Operations > Merchandise.
- Click the appropriate button for the type of memo you want to create.
- List the items being adjusted. For each item, enter an adjusted value (i.e. "Adjusted Cost").
- By default, you must select a Reason for the adjustment. (can be controlled via "Require Reason" preference setting)
- (Optional) Add any needed Comments to the memo. To add Comments, click the Memo Details button. Click the Plus Sign icon and type the comment text.
- Update the memo by clicking Print/Update or Update Only. A confirmation is displayed. Click OK to proceed.
Sample Quantity Adjustment Memo
Known issue with updating a memo for a season other than the active season
If you update a price adjustment memo and that memo refers to a season other than the currently active season, the wrong price could be updated. To avoid any problems, if you are updating a price adjustment memo, make sure that it refers to the currently active season. You can set the Active season in either Prism preferences or RIL preferences. The setting will be replicated.
- To make season an active season in RIL Prism Management, go to Global Preferences > Company-General > Active Season. Select the desired season from the Active Season. Save the change.
- To make a season an active season in Prism, go to the Admin Console > Node preferences > Node Selection. Edit the Subsidiary record and select the active season in the Current Season dropdown.
Popup entry option for listing items
If you select the Popup Entry checkbox, then when you scan or type an item identifier, a popup dialog is displayed for entering the adjustment value (quantity, price, or cost). If the popup entry checkbox is cleared, users must navigate to the correct column and type the value (or use Item Details).
Serial/Lot Numbers on Adjustment Memos
Handling serialized items on Adjustment Memos will not be implemented until future releases
Package/Kit Items on Adjustment Memos
You can list kit items on memos but not package items (which have no inventory quantity). To adjust a package item, you must adjust the individual component items.
|Original Cost||The cost before the adjustment.|
|Adjusted Cost||The cost after the adjustment.|
|[Value] Difference||Cost Difference
Shows the difference between the Original value and the Adjusted value.
|Original Price||The price before the adjustment.|
|Adjusted Price||The price after the adjustment.|
|Original Quantity||The quantity before the adjustment.|
|Adjusted Quantity||The quantity after the adjustment.|
|Memo No||Memo number.|
|Memo Source||Source of the memo (e.g. PI Update).|
|Memo Type||Type of memo: Price, Cost or Quantity|
|Source Doc No||Sometimes memos are created as a result of another document being updated. For example, updating a voucher may cause a memo to be generated. This field will list the number of the document that resulted in the memo being created.|
|Created Date||Date the memo was created.|
|Last Edit Date||Date of the most recent edits to the memo.|
|Post Date||Date the memo was posted to the HQ database.|
|Memo Status||Current Memo Status (e.g. Held,)|
|Associate||The user making the adjustment memo|
|Store||The Store where the adjustment is made.|
|Price Level||On Price Adjustment Memos, the Price Level whose price(s) will be adjusted.|
|Reason||The reason for the adjustment. By default, a Reason is required on memos. You can control this via the "Require Reason" preference in Node Preferences > Merchandise > Adjustments.|
To view the memo in more detail and optionally add comments, tap or click the Memo Details button. The top of the screen shows read-only fields such as Memo No, Created Date and Memo Status. The General tab has dropdowns for Associate, Store, Price Level and Reason. (Note: This info is also displayed in the header section of the memo). Only the Reason can be edited. The Comments tab enables you to add comments that provide additional information about the memo.
Store on Memos
The Store on Quantity memos is the Default Store selected for Quantity Memos in System Preferences. The Store on Price and Cost Memos is always set to CMP (Company).
Associate on Memos
The current logged-in user is entered in the Associate field and cannot be changed.
Adjustment Memo Reasons
The adjustment reasons defined in in RIL Preferences > Merchandise > Adjustments are copied to the Prism server during initialization and are available for selection when creating a memo. You can also define Adjustment reasons in Prism Node Preferences > System > Reasons and Notes. When manually creating an adjustment memo, users must select a Reason if the corresponding Prism preference is selected. If the preference is not selected for a memo type, then the Reason is optional.
Tax Area on Memos
In Prism Preferences, you can assign specific tax areas for adjustment memos. This feature is important for retailers in a multi-tax VAT environment because it means that when a retailer changes an item price or cost, the resulting adjustment memos will correctly calculate price with tax. Note: The Tax Area preferences are not available at the Global level. You must first select a Subsidiary to edit the preferences.
- In Prism preferences, select a Subsidiary and then navigate to Merchandise > Adjustments.
- Select the tax areas to use when calculating price with tax on price/cost memos for Tax Area 1 and/or Tax Area 2, as needed.
- Save the changes.
Adjustment Memo Lookup
- Select Store Operations on the Prism menu.
- Tap or click the Adjustment Memo Lookup button.
- Adjust the date range, if necessary. The default date range is the first of the month to the current date.
- Enter filter criteria: Memo Number, Memo Type, Reason, Memo Status, Memo Source, Store, or Associate. Click the Search button. A list of matching memos is displayed.
- Select the check mark for the memo you want to view. Click the View button.
When looking up memos, you can filter the results by the Memo Status field. The following table lists the possible Memo Status values.
- Changed When you edit a memo, the status is set to Changed.
- Cancelled When you cancel a memo, the status is set to Cancelled.
- Pending When you start a new memo, the status is set to Pending.
- Updated When you update a memo, the status is set to Updated.
- Reversed When you reverse a memo, the status is set to Reversed.
The Options Button enables users to easily access the following adjustment memo tasks:
- Adjustment Memo Lookup
- Print Memo
- Print Tags
Print a Memo
You can print a memo when updating the memo or at a later time. The following steps explain how to print a memo that has already been updated.
- Use Adjustment Memo Lookup to find and display the memo.
- Click the Options button.
- Click the Print Memo button.
In Prism Preferences, you can assign a default document design to each memo type. When printing memos of that type, the selected design will be used by default.
Print Tags for Memo Items
- Click the Options button.
- Click the Print Tags button.
- Select a Print Design and Printer. Select the Quantity to print. Click the Print button.
Hold a Memo
You can place a memo on hold, if necessary. To include held memos when looking up a memo, select "Pending" in the Memo Status field when filtering in Adjustment Memo Lookup.
1. On a memo in progress, click the Hold button.
2. To unhold the memo, click the Unhold button if the memo is still displayed.
3. If the memo is not displayed, use Adjustment Memo Lookup to find and display the memo. When searching for the memo, if the Held checkbox is selected, Held documents will be included in the search.
When you find the memo, click the View button and then edit the memo, if needed.
Reverse a Memo
- Use Adjustment Memo Lookup to find and display the desired memo.
- Tap or click the Reverse button.
- Click Print/Update or Update Only.
- A confirmation is displayed. Click Yes to proceed.
Copy a Memo
A fast, easy way to create a new adjustment memo is to copy an existing memo that offers a close match. You cannot change the memo type when copying a memo. For example, you cannot create a cost memo by copying a price memo.
- Use Adjustment Memo Lookup to find and display the desired memo.
- Tap or click the Copy button.
- Make any needed changes and then save the memo.
Replication of Memos
To replicate memos to RIL, make sure the ADJUSTMENTS resource is selected in the resource list for the Prism to RILprofile.
Serial and Lot Number Items on Adjustment Memos
If you try to adjust the quantity of a serial or lot number item, a screen is displayed for completing the process. If the new quantity is more than the original quantity, you must add the appropriate number of new serial numbers. If the new quantity is less than the original quantity, you must remove the appropriate number of existing serial numbers.
The user interface is slightly different depending on whether you are creating a quantity adjustment memo or manually adjusting the item's OH Qty in Inventory.
First, let's look at the UI on a quantity adjustment memo. In the screenshot below, the first item in the list is a full-control serial number item. In this case, the Adj Value (21) is one more than the Orig Value (20).
When the user enters the Adj Value that is different, a screen like the one below is displayed. At the top are two panels. One shows the Old Quantity, Adjusted Quantity and the Quantity Difference. The other panel shows how many serial numbers have been added or removed. As you add or remove numbers, the Inserted SN Quantity and Deactivated SN Quantity are updated and the Quantity Difference is adjusted.
In this case, the Quantity Difference is 1, so we need to add one additional serial number. In the Insert Serial Numbers area, click the plus sign icon. The UI changes to include an area to enter the number being inserted (or removed). Type the number. Click OK.