If you sell items with expiration dates, the standard inventory view can give you a false sense of security. The total quantity on hand might look fine, but part of that stock could expire before you get to sell it. The graphical inventory profile in Business Central handles this by factoring expiration dates into the picture, so you can see when a lot will actually run out.
You enable expiration date handling with a single checkmark in the inventory profile setup. Once it is on, the graphical profile shows you when individual lot numbers expire and warns you if expiring stock pushes your available inventory below zero, even when the total quantity on hand looks sufficient.
This means you can spot situations where a sales order cannot be fulfilled because the relevant lot has already expired, not because you are short on total quantity.
Enabling expiration date handling in the inventory profile
In the graphical inventory profile setup, you can checkmark the option to use expiration date handling in the profile. This tells Business Central to take lot expiration into account when it builds the graphical view of your inventory.
An example with stock split across two expiration dates
Take a snack bar with 11,500 units in inventory. The stock is handled with expiration dates and split across two lots. The first lot expires in May 2024, and the second lot expires on 28 July 2020, each with its own remaining quantity.
When you open the graphical profile for this item with expiration date handling switched on, the system flags the lots that will expire within the period you are looking at.
How expiring stock affects available inventory
In this scenario, the item has two purchase orders and is currently out of stock at the start, with a sales order that is fine on its own. The problem appears when the item ledger entry for one of the lot numbers expires within the period. That expiration reduces the available inventory.
As a result, you end up below zero on the last sales order, even though the total sales order quantity is less than what shows as being on inventory. The total looks fine, but the expiring lot means the stock is no longer there when you need it.
What you should do
The graphical profile lets you view the item ledger entries that expire, so you can act before a shortage hits a sales order. If you sell anything with a shelf life, turn on expiration date handling in the inventory profile and use the graphical view to plan around lots that are about to expire. It is the difference between trusting a total quantity and actually knowing whether you can deliver.
Q&A
How do I enable expiration date handling in the graphical inventory profile?
You checkmark the option to use expiration date in the inventory profile setup. Once enabled, the graphical profile takes lot expiration dates into account and flags lots that will expire.
Why does my inventory go below zero when the total stock is higher than my sales orders?
Because a lot can expire within the period. When an item ledger entry for a lot number reaches its expiration date, that quantity is removed from available inventory. This can push you below zero on a later sales order even when your total sales quantity is less than the total stock on hand.
Can I see which lots are about to expire in Business Central?
Yes. With expiration date handling switched on, the graphical inventory profile shows you the item ledger entries that expire, so you can plan around them before they affect a sales order.