FIFO

Flexible Costing

Clarify’s base ClearLogistics product is extremely versatile in the pricing model that it uses. A single part revision can have many prices based on many different criteria.
The model for determining the cost of a part, however, is not quite so flexible. Each part revision has a single cost that is applied to all instances of that part.
Clarify customers have asked for a more flexible costing model to allow them to use the General Ledger capabilities of ClearLogistics as they conduct their business.

FIFO Costing

The FIFO (First In First Out) costing model for ClearLogistics accounts for the fact that when you order goods from a vendor, the price the vendor charges you may change from day to day.
Now it is possible (using the Purchase Order Module, or manual entry) to record the costing data (the number of units, the cost per unit, and the date/time) each time inventory is placed in a warehouse.
Then, when inventory is shipped from the warehouse, the FIFO module will properly record the oldest cost for that part instance in the part transfer record.