Inventory glossary

What is Inbound shipment?

Inbound shipment is a batch of stock that a supplier has shipped to you but you have not yet received into your inventory.

Knowing what is inbound helps you avoid ordering more stock than you need. If you forget that 200 units are already on the way, you might place a duplicate order and end up with too much stock sitting on shelves.

Track inbound shipments against your purchase orders so you always know your true available stock position: what you have on hand plus what is coming, minus what is already promised to customers.

Example

A candle store orders 200 units of a scented candle. The supplier ships 150 units now and says the remaining 50 will follow next week. The 150 units are an inbound shipment until the store checks them in. Once received, on hand inventory goes up by 150 and 50 units remain on order.

Common mistakes

  • Treating inbound shipment quantities as if they are already available to sell.
  • Forgetting to update records when a shipment arrives in partial batches.
  • Not following up with the supplier when an inbound shipment is overdue.

Inbound shipment and SteadyShelf

SteadyShelf tracks purchase orders from approval through to receiving, so you can see which units are still inbound and which have already been checked into stock.

SteadyShelf is launching on the Shopify App Store. Join early access to get the install link first.

Related terms

Receiving · Lead time · Purchase order · Incoming inventory · Partial receipt

Full inventory glossary

FAQ

Can an inbound shipment be split into multiple deliveries?

Yes. You can receive two separate shipments for the same purchase order, and the system tracks what has arrived and what is still outstanding.

Is inbound shipment the same as a backorder?

No. Inbound shipment refers to the physical goods on their way to you. Backorder refers to stock you ordered that the supplier could not ship yet because they do not have it.

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