GDN

Because not every sales order will have a matching GDN. For example - company receives sales orders (say through a website) and they are automatically numbered: 0002018, 0002019, 0002020, 0002021 .... If GDNs are numbered the same 0002018, 0002020, 0002021 - is 0002019 actually a "missing GDN" i.e. meaning that goods were despatched but not recorded on a GDN - or were goods not despatched in respect of sales order 0002019 because the goods weren't available? Or because the customer's payment method was rejected?

i see, okay i got it!! thanks

You're welcome!

Despatches of goods should have their own sequence - then, absolutely, a break in the sequence is, on the face of it, "missing" and should be investigated (because a goods despatch is the "trigger" for recording a sale - and without the sales invoice - you won't receive cash). In a manual system (old-fashioned, I know) it could be that the storeperson wrote out the wrong items on a GDN, but realising their mistake, they cancelled the GDN and wrote out a new one. In this case, the spoilt GDN would still be retained to show it was cancelled rather than "lost".

sequence checking checks for missing documents - it cannot check for missing dispatches that were never recorded in the first place. That's why you have things like continuous inventory records and spot counts - if every time a spot count showed there to be "unders" - i.e. shortfalls in quantities, that might suggest "shrinkage" - such as theft - that goods could be leaving the warehouse without any record. There would also be "gate" checks - confirming that goods leaving the warehouse are accompanied by a GDN, etc.

You are very welcome!