Condition-enabled items

A condition-enabled item has a value or worth you want to assign and track based on its physical condition. You can apply different rates to an item as its condition changes from use, such as from new to used. When you create an item in the Item Master application, you can select the Condition Enabled check box if you plan to apply one or more conditions to the item.

Before you can assign condition codes to items, you must create the codes in the Condition Codes application. You define condition codes at the item set level, which makes them available to any item records in that item set. One condition code must be at a full-value (100%) rate, and any other codes you create will be a percentage of that. For example, you might establish the following condition codes (and their corresponding rates) at a transportation company for Tire Model T100:

• New (condition rate 100%)
• Good (condition rate 80%)
• Retread (condition rate 40%)
• Fair (condition rate 40%)
• Poor (condition rate 10%)

If you mark an item as condition enabled, you must assign at least one condition code to it. For each condition-enabled item, one condition code must have a "full-value" rate of 100%. The system uses this condition code as the reference point to calculate values for any other condition codes for this item. Therefore, if you associate only one condition to an item, it must be a full-value 100% rate. For example, a tire is new and the cost is $60.00. The system calculates the cost of a tire with a status of Fair to be $24.00 (which is $60.00 multiplied by the .40 Fair rate). When you mark an existing item as condition-enabled, you are required to add the condition code(s) and then the system applies the full-rate condition code to any inventory records that exist for that item.

You can remove a condition code from an item before you add the item to a storeroom. However, after you add a condition-enabled item to a storeroom, the system creates an inventory record and preserves the condition code. When you add a condition-enabled item to a storeroom, the system, by default, applies the full-value condition code with the 100% rate. You can edit the cost and balance information in the Add Items to Storeroom dialog box, as needed. However, as the system only adds the full rate condition code to the storeroom, you still must add any additional condition codes for the item manually in the Inventory Application.