Backorders

Backorders can be used to split items from the original sales order and onto a separate order. You can split both stocked and non-stock tracked items. But you will probably use this functionality where a customer has placed an order and you are only able to fulfil part of it at this time, perhaps some items are not in stock. In order to ship the items you do have in stock you will have to split the items to follow onto a backorder, or use the split/partial fulfilment process. Creating a backorder will generate another Order ID number and transfers the items off the original and onto the new order. The two orders will be cross-referenced in the Notes and payment history. You have the choice to keep the whole invoice value against the original Sales Order (only applicable when whole lines are back ordered), or to split the charge across the orders as per the item values.

Setting Up

Before you create backorders you should create a new Sales Status specifically for backorders. And in the Sales Workflow specify that this status should be used when new backorders are created.

Follow these steps to use this status as the backorder default:

1. Go to Setup > Sales > Sales Workflow.
2. In the Create backorders on field select your Sales Status created for backorders.
3. Click Save changes.

Creating a Backorder

There are various scenarios when creating a Backorder:

• There is some stock but not enough (e.g. the order is for 10 and only 8 are in stock)
• There is no stock available
• The customer has already paid in full (e.g. online orders)

If there is some stock available that should be shipped and not placed on backorder, you must allocate the stock first. If it is not allocated, the whole line (and quantity) will be moved to a backorder. If the customer has already paid, the whole amount should be maintained on the original order. In this case the whole line should be moved to the backorder, which allows us to "maintain the price of the original order"; the invoice and payment will then match.

Follow these steps to create a backorder:

1. Search for the original Sales Order.
2. When the sale is listed, click the Order ID to open the order.
3. Items that are out of stock are represented by pink lines, you can also see the stock values just below the item description. For each item to be split to a back order, tick the check box just under the item name, to the right of the stock values. (Remember to allocate stock first if part of the line can be shipped).
4. Click the Split to back order link.
5. A summary what will happen displayed. If you want the whole amount due to be invoiced on the original order, tick the Maintain price of original order checkbox, this only works when a whole line has been Back Ordered (i.e. non of the quantity has been allocated).
6. Click the Split to back order button to continue.
7. The two order numbers are displayed. Click one of the numbers to view the order.

The Back Order has been created and the items moved. The original order can now progress through the order process. The new order has a link to its "parent order"; the original order ID, and depending on the Sales Order Status setup you will be reminded to chase this order later.