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Administrator Guide
Last Updated: 2026-05-15
Set Up Purchase Items for Inventory

Set Up Purchase Items for Inventory

You can define important information for each inventory item you order, stock, and ship, including the:
  • Price.
  • Supplier information.
  • Units of measure (UOM) for ordering, stocking, and shipping.
  • Stock level threshold for automatic item replenishment.
  • Identification details, such as the serial number.
You can also edit these details as they change, such as when the supplier adjusts the item price or shipping quantity.
  1. Access the
    Create Purchase Item
     task.
  2. As you complete the header, consider:
    Option Description
    Spend Category
    Use spend categories to assign accounting rules and costing to the item. Spend categories populate certain fields. You can use spend categories to define items as stock or nonstock items. A nonstock item is a purchase or supplier item with a spend category that doesn't have the
    Stock Item
     check box selected.
    Examples: An Office Supplies spend category with items like Desk Lamp, or Printer Toner. Office Supplies isn’t marked as Stock Items.
    Item Identifier
    Enter an identifying string that Workday can display and track. Workday recommends that you enter an item number or manufacturer number.
  3. As you complete the
    Item Overview
     tab, consider:
    Option Description
    Preferred
    Select to set the purchase item as preferred during requisitions. Workday displays
    Preferred
     on the:
    • Requisition Worklet
       on the item icon. You can sort by preference in the worklet.
    • Search Catalog
       next to the item name with a badge icon. You can filter your results by preferred items.
    Currency
    Workday converts the unit price of the item to the transaction currency when you add a purchase item to a:
    • Requisition.
    • Purchase order.
    • Supplier invoice.
    • Invoice adjustment line.
    Packaging String
    To populate units of measure, enter a packaging string that follows the supported format:
    • Enter each UOM from largest to smallest, ending with the base UOM.
    • Separate UOMs with a slash and enter a space between numbers and UOM.
    Example: Case/10 Box/100 Each. In this example, a case contains 10 boxes and a box contains 100 eaches. Workday can identify UOM by the UOM name, the UN CEFACT common code, or the EDI code.
    Populate UOMs
    Click to populate the
    Unit of Measure
     column on the
    Units of Measure
     grid based on the packaging string you enter.
    Default as Service Request
    Select this check box to specify an item as a service item; the item will default to a service line. When you create requisitions, the item displays on the
    Services
     lines. When you clear the check box, the item displays on the
    Goods
     lines on requisitions.
    You can use service items on both goods lines and services lines on procurement documents when you tag the spend category for stock items.
    You can access service items using the
    Search Catalog
     option.
    Default Tax Applicability
    The value you select supersedes the
    Default Tax Applicability from Spend Category
    value on procurement lines.
    Accounting Treatment
    Populates when you select a
    Spend Category
     for the purchase item. For items with an:
    • Inventory
       accounting treatment, Workday considers them assets at put-away and expenses them when workers issue, transfer, or adjust down.
    • Expenses
       accounting treatments: Workday expenses them at put-away and tracks their quantity balances.
    Lot Control
    Select to require lot identifiers in inventory transactions and purchase order receipts.
    When you select this check box, the
    Lot Options
     section displays.
    You can't apply lot control to items that you stock in decimal quantities.
    Serial Control Type
    Select
    Ship Serial
     to require serial numbers on issue or shipment of the purchase item. Displays when you don't select
    Track Items
    .
    Select
    Full Serial
     to require serial numbers throughout the item's lifecycle.
    You can't apply serial control to items that you stock in decimal quantities. You can only stock serial controlled items in the item's base UOM.
    Comments
    You can use this field to add and update comments about item changes as different end users interact with it.
    You can also view comments made on purchase items on these pages:
    • Item preview in the related actions menu.
    • View Purchase Item
       report.
    Use Item Manufacturer Only
    Select to enable only the manufacturers you specify on the lot for the purchase item.
    Inbound Alert Period in Days
    Enter the number of days to display expiry date errors and warnings for the purchase item on the
    Put-Away Inventory
     task.
    Outbound Alert Period in Days
    Enter the number of days to display expiry date errors and warnings for the purchase item on the
    Quick Inventory Issue
     and
    Pick Inventory
     tasks.
    Requesting Entities
    Select the requesting entities that you wish to limit the purchase item to. Once selected, only those entities can requisition the item.
    Restricted Purchase Item Lists
    Select the existing purchase item list to add the item to. Workday only allows the requesting entities to purchase the items selected on that list
  4. As you complete the
    Unit of Measure
     grid, consider:
    Option Description
    Usage
    You can select these usages for a UOM:
    • Ordering
       to populate the UOM on the
      Supplier Information
       tab.
    • Stocking
       to populate the UOM on the
      Inventory Site Options
       tab and par transaction prompts.
    • Unit of Use
       to identify the measurement in which your business or customers consume the product.
    Conversion Factor
    Enter the number of base units of measure (UOM) that comprise other UOM types for the item.
    Default for Ordering
    Select the UOM that you want to populate on Procurement transactions when the purchase item doesn't have a valid ordering UOM on the
    Supplier Information
     tab.
    Default for Stocking
    Select the UOM that you want to populate on Inventory transactions when the purchase item doesn't have a default stocking UOM for the inventory site.
    You can select a default stocking UOM on the
    Inventory Site Options
     tab.
    Default for Issuing
    Select the UOM that you want to populate on Inventory transactions when the purchase item doesn't have a default issue UOM for the inventory site.
    You can select a default issue UOM on the
    Inventory Site Options
     tab.
  5. (Optional) On the
    Alternate Item Identifiers
     tab, enter details for the alternate item identifiers you want to associate with the purchase item.
    When you configure alternate item identifiers, Workday assigns the alternate ID types to all spend categories you select for the purchase item.
  6. As you complete the
    Inventory Site Options
     tab, consider:
    Option Description
    Item Status for Site
    The
    Restricted from Purchasing
     status filters out items from these transactions:
    • Change orders
    • Purchase orders
    • Requisitions
    • Source requisitions
    • Supplier backorders
    Use the
    Inactive
     status in combination with the
    Restricted from Purchasing
     item status to more granularity manage item statuses to better support purchasing and End-of-Life processes and strategies.
    Just In Time
    You can use to replenish items using your Just in Time (JIT) unit of measure (UOM) at specific inventory sites. When you select the check box, Workday limits the
    Replenishment Unit of Measure
     field to your JIT UOMs, which you configure on the
    Supplier Information
     tab for the item.
    Valid Issue Units of Measure
    Select the UOM that you want available when requesters create requisitions or stock requests for the item at the inventory site.
    Default Issue Unit of Measure
    Select the UOM to use when you create a:
    • Stock request.
    • Replenishment order.
    Fulfillment Lead Time
    Use this field to calculate the expected fulfillment date for stock requests, when you request the item from a particular inventory site. Example: You enter 3 days, then the expected fulfillment date on the stock request would be the current day plus 3 days.
    Use Reservations
    Select to enable inventory reservations for the item at site level.
    Reorder Point Quantity
    Workday triggers replenishment when the calculated inventory level drops below this reorder point.
    Safety Stock
    The additional amount of stock you want to hold to reduce the risk that item will stock out. Workday uses this field in automatic reorder point calculations.
    Target Days on Hand
    Enter the minimum amount of inventory that you want to have on hand, measured in number of days of stock. Workday uses this field in automatic reorder point calculations.
    Maximum Target Days on Hand
    Enter the maximum amount of inventory that you want to have on hand, measured in number of days of stock. Workday uses this field in automatic reorder point calculations.
    ABC Classification
    When counting with the ABC method, enter the ABC classification that has the count frequency you want for this item.
    Lot Control
    Select to require lot identifiers in inventory transactions and purchase order receipts for items at the specific inventory site.
    You can't apply lot control to items that you stock in decimal quantities.
    Serial Control Type
    Select
    Ship Serial
     to require serial numbers on issue or shipment of the purchase item at the specific inventory site.
    Select
    Full Serial
     to require serial numbers throughout the item's lifecycle.
    You can't apply serial control to items that you stock in decimal quantities. You can only stock serial controlled items in the item's base UOM.
    Inbound Alert Period in Days
    Enter the number of days to display expiry date errors and warnings for the purchase item on the
    Put-Away Inventory
     task for items at the specific inventory site.
    Outbound Alert Period in Days
    Enter the number of days to display expiry date errors and warnings for the purchase item on the
    Quick Inventory Issue
     and
    Pick Inventory
     tasks for items at the specific inventory site.
    Replenishment Unit of Measure
    You can define a purchase item's inventory site level reorder point in a replenishment UOM. Workday initiates the replenishment process when the purchase item's on hand quantity at that inventory site falls below the reorder point quantity in the replenishment UOM.
    The
    Replenishment Type
     you select also determines the quantity and UOM used for replenishment requests:
    • Fixed Reorder Quantity
       - Workday uses the
      Fixed Order Quantity
       and
      Fixed Order Unit of Measure
      to create the replenishment request.
    • Min/Max
       - Workday uses the
      Maximum Quantity
       and
      Replenishment Unit of Measure
       to determine the item's replenishment quantity. When you select
      Create Requisition
       as your replenishment option, the resulting replenishment requisition contains the rounded replenishment quantity in the default ordering UOM. When you select the
      Create Stock Request
       replenishment option, then the resulting replenishment requisition contains the rounded replenishment quantity in the item's default issue UOM for the fulfilling inventory site.
    Replenishment Option
    To use the replenishment criteria you configured for the inventory site, leave this option blank.
    Patient Chargeable
    Use this prompt to enable or override patient chargeability on the item.
    Select the
    Enable Healthcare Options
     check box on the
    Edit Tenant Setup – Financials
     task to display the prompt.
    Average Daily Usage (Base)
    When you run the
    Calculate Inventory Average Daily Usage
     task, Workday overrides the usage you enter.
    Preferred Supplier Lead Time (Days)
    When you run the
    Calculate Preferred Supplier Lead Time
     task, Workday overrides the lead time you enter.
    Reorders Created From
    Specify which action initiates Bill and Replace orders.
    Consigned Reorder Point Quantity
    Enter the minimum quantity of a consigned item you want on an inventory site in a base unit of measure. Workday triggers replenishment when the calculated inventory level drops below this reorder point.
    Consigned Maximum Quantity
    Enter the maximum quantity of a consigned item you want on an inventory site in a base unit of measure. Once the replenishment is run, it will replenish up to the maximum quantity.
    Consolidate Transactions
    Select to consolidate inventory transactions into 1 line on bill and replace requisitions and purchase orders.
  7. (Optional) On the
    Item Substitutes
     tab, configure substitutes for the purchase item.
  8. On the
    Usage
     option, select
    Inventory
     to enable the substitutes for picking.
    Substitutes items and the original purchase item must have the same:
    • Spend category tracking method.
    • Base UOM.
You order and receive gloves for a hospital warehouse. The gloves ship in cases, but the warehouse workers need to put away the gloves in packs. Each case has 5 packs. You configure transaction quantity conversion between packs and cases. Workday converts the quantity of cases into the quantity of packs that the warehouse workers need to put away.
Put away inventory.
Access the
Item Change Log
 report to track any changes made to your purchase item attributes.