On-hand vs available
On-hand is the physical count on your shelves. Available-to-sell is on-hand minus what is already promised to other orders. The gap between them is reserved stock.
The distinction matters because selling against on-hand instead of available is how you oversell — promising the same unit to two customers. Available is the only safe number to sell from.
If you hold 100 units on-hand but 40 are reserved for a confirmed wholesale order, only 60 are available to sell. A cashier who sees "100" and tries to sell 80 would oversell the wholesale customer by 20 units — so in AWRA the till refuses the sale and says how much is free and how much is reserved. AWRA calls the available figure free stock, and quote and order lines show it as free-to-promise.
Key takeaways
- On-hand is the physical count on the shelf.
- Available = on-hand minus reserved stock.
- Selling against on-hand causes overselling.
- Example: 100 on-hand − 40 reserved = 60 available to sell.