Inventory Definitions

On Hand/In Stock:

Number of items physically in the warehouse.


On Order:

Number of units currently on purchase orders, but not yet received into the warehouse.


Committed:

Number of units reserved for open orders, but not yet taken out of stock.


Available:

Number of units physically in stock minus the number of units that are reserved for open orders (On Hand - Committed). This is the quantity that is left still to sell.