When merchants decide to sell on Amazon and fulfill orders via FBA fulfillment network, they lose control over inventory levels. Merchants don’t have full visibility on what Amazon is doing with their inventory, and their stock levels may fluctuate constantly. It becomes hard to control inbound shipments, and damaged items, as Amazon controls those for them.
Amazon’s FBA inventory reconciliation can be confusing. And it is a task many sellers prefer to avoid. It’s extremely time-consuming, and mistakes in data entry can make reconciliation a very frustrating task.
To mitigate the above frustrations, Brightpearl has came up with a feature that will provide:
- One-screen visibility into what FBA quantities are registered in Amazon and Brightpearl FBA warehouse
- Insight into the Amazon FBA total quantity: breakdown into Fulfillable(available), Reserved, Unsellable, and Inbound
- Ability to easily reconcile inventory between Amazon FBA pool and Brightpearl FBA warehouse (in batches of 500 listings).
The main purpose of this feature is to provide you with the tool to reconcile your inventory between "what you think you have in FBA fulfillment center" and "what Amazon says you have".
What this feature won’t have
- Ability to auto-update Brightpearl warehouse with Amazon FBA inventory levels, reconciliation should be performed manually. The reason we do not allow automatic reconciliation is because every inventory update results in a GL entry, if your inventory levels change on a daily basis, you may end up with a bunch of unnecessary journal entries. To avoid this, Brightpearl gives merchants the ability to decide, when and how they want to reconcile their Amazon inventory.
- Reconciliation of inventory between Brightpearl warehouse and Amazon FBM (fulfilled by merchant) inventory. Only FBA listings can be reconciled
- Reserved inventory break down (into customer pending orders, FC Transit, FC Processing). Reserved inventory quantity is listed as a sum of pending orders, FC transit, and FC processing)
- Returned quantity is not a part of this report. Refunds and returns need to be managed manually.
Fulfillable - inventory units that are currently in Amazon Fulfillment Centers (Available quantity). These items are listed for sale on Amazon.
Reserved - these items have been ordered by a customer but not yet shipped (pending order), are being transferred between warehouses (FC Transfer), are being inspected by Amazon (FC Processing), or are otherwise temporarily not available for sale.
Inbound - Amazon knows your product is on its way to the FBA warehouse.
Unsellable - inventory that Amazon believes is damaged or can't be sold for some reason.
How to enable this feature in your account
To enable this feature, go to your Brightpearl account > Channels > your Amazon channel > Live Amazon listings report > click “Filter” > Configure columns > Select columns that you wish to see on the report (we suggest either adding all: Brightpearl FBA fulfillable qty, Amazon FBA fulfillable qty, Amazon FBA reserved, Amazon FBA inbound qty, Amazon FBA unsellable qty, Total Amazon FBA qty, Suggested Adjustment, OR at least Brightpearl FBA fulfillable qty, Amazon FBA fulfillable qty, and Suggested adjustment).
Save this view as a preset and click “Filter".
You will now see the above selected columns on your Live Amazon listings screen.
What do new columns mean
Brightpearl FBA fulfillable qty - This is the quantity of Amazon inventory that you have in your Brightpearl virtual warehouse. Brightpearl virtual warehouse is the warehouse that you set up in the system to track your inventory in Amazon fulfillment centers.
Amazon FBA fulfillable qty - quantity that is now available on Amazon to be purchased by Amazon buyers.
Amazon FBA reserved - these are the items that have been ordered by a customer but not yet shipped (pending order), are being transferred between warehouses (FC Transfer), are being inspected by Amazon (FC Processing), or are otherwise temporarily not available for sale.
Amazon FBA inbound - this is the quantity you shipped to Amazon fulfillment center when created an inbound shipment to Amazon.
Amazon FBA unsellable - items that Amazon believes cannot be sold.
Suggested adjustment - This is a precalculated quantity that needs to be added or removed from Brightpearl virtual FBA warehouse to align with Amazon fulfillable qty.
Suggested adjustment is calculated the following way: Amazon FBA fulfillable qty minus Brightpearl FBA fulfillable qty.
You will see positive values for the quantity that needs to be added to Brightpearl virtual warehouse, and negative values for the situation when inventory needs to be removed from Brightpearl virtual warehouse.
The suggested adjustment fields are editable, meaning you can manually change the values in those fields.
- If calculated suggested adjustment equals 0, no inventory adjustment needs to be made for that item.
- Or if you don’t want to make any adjustments - you can enter "0" value and we won't change any inventory level when reconciling quantity in bulk.
How to reconcile inventory
To reconcile inventory (in other words to add or remove inventory from Brightpearl virtual warehouse) you need to select one, multiple or all items on the page (up to 500 listings per page) and click the “Reconcile” button.
In the example above, the Suggested Adjustment column displays “-9”, which means you need to remove 9 items from Brightpearl virtual warehouse in order to match the inventory levels for available quantities on Amazon. In this example, you don’t have any available inventory on Amazon, but you have 24 items coming to Amazon fulfillment center (see Inbound qty column). Once Amazon receives your inbound shipment, they will move inventory to the available status, and the suggested adjustment value will change as well.
After you clicked “Reconcile” button, you will be brought to a pop-up screen:
This setting allows you to reconcile inventory in bulk and in one go. There are two sections: Add and Remove inventory. Your Brightpearl virtual warehouse for FBA inventory will already be preselected. All you need to do is to select the cost price list which you used when you created products in Brightpearl and a reason for adjustment.
If you are only adding inventory to Brightpearl virtual warehouse, you can leave the Remove inventory adjustment reason section empty. If you are only removing inventory, you will only need to fill out the adjustment reason for the “Remove inventory” section.
IMPORTANT: In order to reconcile inventory in bulk you will need to have a cost price defined for each Brightpearl product connected to an Amazon listing.
When you click “Reconcile”, the pop-up window will close and you will see that the suggested adjustment values have changed as well as Brightpearl FBA warehouse quantities. In ventory will be returned to the default location of Brightpearl FBA virtual warehouse.
It will also create corresponding accounting entries for addition or removal of inventory.
IMPORTANT: If you have more than one Amazon listing mapped to the same Brightpearl product, you will not be able to reconcile these products. If you try to reconcile them in bulk an error message will be thrown notifying you about products that were skipped during bulk reconciliation.