> For the complete documentation index, see [llms.txt](https://support.ordereazi.com/central/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://support.ordereazi.com/central/order-management/settings/organization-setup/system-settings/inventory-options.md).

# Inventory options

Allocate default locations, move stock automatically with Sales Orders and Tax Invoices, and block orders without enough stock.

If you use Simple Inventory Management, keeping stock figures right by hand after every sale and delivery is slow. The **Inventory** settings in System Settings decide whether stock moves on its own as you sell and receive it, and whether you can sell stock you don't have.

### Before you start

You'll need the **Organization Setup** permission, in the **Settings** permission group. The **Inventory** group only shows once your organisation keeps stock in Simple Inventory Management. See [Simple Inventory Management](/central/order-management/products/inventory/simple-inventory-management.md).

### How to change your inventory options

1. In the main menu, go to **Settings** > **Organization Setup**.
2. Select the **Configuration** tab.
3. Under **Inventory**, change the settings you need.
4. Select **Save**.

You see "System Settings saved successfully".

### The settings

* **Auto-Apply Default Location:** Adding a product to a project allocates it to the product's default location in the warehouse. You can change or clear it with **Allocate Stock**.
* **Automate Location Stock Movements:** Stock moves on its own. Sales Orders reserve stock at the line's location, Tax Invoices release the reservation and take the stock off, and Supplier Invoices add stock.
* **Increase Stock On Credit Note:** A Credit Note puts the credited quantity back into stock, at the location the original invoice shipped from. Only works with **Automate Location Stock Movements** on.
* **Block SO And Invoice On Insufficient Stock:** Sales Orders and Tax Invoices can't be created if there isn't enough stock available for any product on them.

### How automatic stock movements work

* **Lines with no location:** A line that isn't allocated to a location moves no stock.
* **Stock kept elsewhere:** A location whose stock is kept by a connected app or accounting system isn't changed.
* **Credit Notes:** If **Increase Stock On Credit Note** is ticked while **Automate Location Stock Movements** is off, it's dimmed with a note that it takes effect once **Automate Location Stock Movements** is on. Your choice is kept.
* **Insufficient stock:** A line allocated to a location is checked against that location only. A line with no location is checked against every location in the warehouse.

**Example:** You have 10 chairs at your "Main - Shelf A" location, with **Auto-Apply Default Location** and **Automate Location Stock Movements** ticked. A rep adds 4 chairs to a project, and the line is allocated to "Main - Shelf A". The Sales Order reserves the 4 chairs, leaving 6 available. When the Tax Invoice is created, the reservation is released and the stock drops to 6 chairs.

### Related pages

* [System Settings](/central/order-management/settings/organization-setup/system-settings.md): the other settings groups
* [Simple Inventory Management](/central/order-management/products/inventory/simple-inventory-management.md): how stock levels and movements work
* [Locations](/central/order-management/products/inventory/locations.md): set up locations and default locations
* [Warehouse settings](/central/warehouse-management/warehouse-settings.md): the settings for Warehouse Management