Reversing a consignment in SIMS

Reversing a Receipts & Costings Consignment in SIMS

SIMS provides a function that allows users to Reverse a Consignment (1) that has already been updated into stock. This option is available within the Receipt & Costing Module, as illustrated below.
The purpose of this function is to restore the system to its original state prior to the consignment update. This includes:
  1. Reinstating the original stock quantities per item and per location
  2. Reverting the average cost of each item to its previous value
Additionally, SIMS allows users to Copy & Paste an Existing Consignment (2), enabling quick reprocessing after a reversal.



Access Requirements

To use this function, users must have access to the security permission RC_REVERSE within their assigned group rights. To assign this permission:
  1. Go to Admin > User Accounts
  2. Select your user and identify the assigned Group ID
  3. Navigate to Admin > Group Rights
  4. Select the relevant group
  5. Open the Available Permissions tab
  6. Locate RC_REVERSE and tick the checkbox
  7. Click [U] from the taskbar to activate the permission

Important Considerations Before Reversing

Before proceeding, please review the following carefully:
  1. If the issue relates only to VAT amounts or VAT codes, this can typically be corrected directly in SFM without reversing the consignment, as VAT does not affect landed cost.
  2. Ensure that any correction required does not significantly impact landed costs, otherwise a reversal may be necessary.
  3. Confirm that no location transfers have been processed after the consignment update. If they have, these must be manually reversed before proceeding.
  4. It is recommended to reverse consignments updated recently, reversing older consignments may affect historical costing.
  5. Ensure that no sales or transactions have been processed for items in the consignment. If they have, this may result in inconsistencies in quantities and average costs.
  6. After completing the reversal, it is strongly recommended to exit and reopen SIMS to refresh system calculations.

System Validations

Before processing the reversal, SIMS performs several checks:
  1. The consignment has been updated into stock
  2. The consignment has not already been reversed
  3. Quantity validation is not required, if required, the system will prompt you to run Data Validation from the Admin menu
  4. No location movements exist for items in the consignment
  5. No subsequent transactions exist after the consignment date, including:
    1. Other Costing Sheets (RC)
    2. Local Purchases (RD)
    3. Adjustment Add (AA)
    4. Opening Entries (OE)
    5. Receipt of Finished Goods (RW)
    6. Returns to Supplier (RS)
If any of these validations fail, refer to the section Dealing with Exceptions.

Processing the Reversal

Once all validations are satisfied, SIMS will proceed with the reversal and perform the following actions:
  1. Capture the current stock quantities per item and location
  2. Post adjustments to bring all stock quantities for the consignment items to zero
  3. Retrieve the last known cost prior to the consignment update
  4. Recalculate and post adjustments based on current quantities versus consignment quantities
If sales or movements were processed, the system may post additional adjustment entries to maintain consistency.


Post-Reversal Options

After the reversal is completed, users can:
  1. Copy and paste the original consignment
  2. Update invoice and consignment references
  3. Reprocess the consignment using the Copy & Paste function

Dealing with Exceptions

1. Location Transfers
If location transfers were processed after the consignment update:
  1. The system will display a warning message

  2. Users can review the affected movements
  3. It is recommended to export or print the report (preferably to Excel)
  4. All transfers must be manually reversed before continuing

2. Transaction Posting
If transactions such as sales, purchases, or adjustments exist:
  1. The reversal process will not complete automatically
  2. The system will generate an Excel file containing required adjustments

This file will include:
  1. Stock item code
  2. Location
  3. Quantity
  4. Last known average cost
Important:
  1. Users must verify and adjust the average cost before importing
  2. The file is formatted for direct import into SIMS
  3. Ensure the file is not imported more than once

Impact on SFM Interface

For systems integrated with SFM (Sales, Purchases, and Cost of Sales), the following steps must be completed once the Receipts & Costings Reversal is completed successful:
  1. Export all entries from SIMS to SFM
    1. SIMS > Admin > SFM Interface > Export
  2. In SFM:
    1. Go to Purchase Ledger
    2. Post a Credit Note for each supplier involved in the consignment, including cost suppliers
  3. Ensure the following match the original consignment:
    1. Date
    2. Amounts
    3. VAT codes and VAT amounts
  4. When prompted for the nominal account:
    1. Use the Stock Adjustment Account
  5. Confirm whether multiple adjustment accounts are configured in the SIMS and SFM interface.

    • Recent Articles

    • Exporting or Importing Documents in Windows App

      Using the Correct Redirected Path When connected through the AVD Windows app, you must export or import files using the redirected drives. Internal AVD paths (such as C:\Users or Desktop inside the session) do not allow saving and will cause ...

    • How to Activate Advanced Commission

      Advanced Commission Overview The Advanced Commission feature provides the ability to customize commission settings for all salespersons within the system. Enabling Salesperson Commission To activate this functionality, navigate to: SIMS > Admin > ...

    • How to Delete a user on SIMS

      Note: We do not recommend deleting a user from SFM for audit and compliance purposes. Example: If you have a user with the initials JD (John Doe), and that user has previously submitted entries as shown below, deleting the user will remove the ...

    • How to Delete a User on SFM

      Disclaimer: We do not recommend deleting a user from SFM for audit and compliance purposes. Example: If you have a user with the initials JD (John Doe), and that user has previously submitted entries as shown below, deleting the user will remove the ...

    • How to Manage Barcodes in SIMS

      How to Manage Barcodes in SIMS SIMS provides a straightforward way to manage barcodes through its Support > Barcodes section. Here’s a quick guide: Export Barcodes to Excel Navigate to Support > Barcodes. Right-click the blue rectangular button and ...

    • Popular Articles

    • How do I process an End Of Year in SFM?

      Overview SFM allows posting into two financial years simultaneously. This means that users do not need to finalise 2025 before starting to post entries into 2026. The end of year procedure will move the “Current Year” data into the "Previous Year". ...

    • Do I need to Process an End-of-Year in SIMS?

      SIMS does not require an end of year procedures to be run. However, SIMS controls users to only allow posting of transactions, such as sales invoices, cash sales, adjustments and purchases, within a range of dates referred to as the Posting Period. ...

    • How to setup a System Control Account in SFM? (Bank Account, Cash Account, Stock Control, etc...)

      Create the Account in your Chart of Accounts as seen below. Please make sure you use the code depending on your Heading and Sub-Heading digits. After creating the account, you need to specify the account as a System Control Account. Go to Support > ...

    • How to reset your Shireburn remote desktop service (RDS) account password

      The password for the Shireburn RDS Account used to connect to RDS server is set to expire after 90 days. A notification is provided to the user daily starting 5 days prior to the expiry date. In order to change password, the following steps need to ...

    • SIMS - User Manual

      The attached PDF includes the necessary functions and features of SIMS to get you started. SIMS User Manual.pdf