Material warehouse totals are updated according to the approval status of shipment transactions. The method for update transaction will change according to the status of transaction, depending whether it is Draft or Approved. 
If the transaction is generated in Approved status, warehouse totals are updated, and inventory reservations are done. Whether this update will take place for transaction in Draft status is determined using the "Shipment Transactions in Draft Status Will Affect Reservations" parameter in System Settings > Administration Default Values and Parameters > Sales Management > Parameters > Other Transactions menu.

  • If the transaction is generated in Draft status and this parameter is selected as "Yes", warehouse totals are updated along with the order totals as in Approved shipment transactions. If any shipment transaction in Draft status of which the stock reservation is made or a slip belonging to this transaction is deleted, reservations are cancelled.
  • If the transaction is generated in Draft status and this parameter is selected as "No", only the order totals are updated.