NetForge/.planning/phases/04-inventory-expenses-and-financial-reports/04-01-SUMMARY.md

---
phase: 04-inventory-expenses-and-financial-reports
plan: 01
subsystem: inventory
tags: [inventory, stock-movements, event-ledger, journal-entries, dual-tracking]
dependency-graph:
  requires: [02-01, 02-02]
  provides: [InventoryItem-model, StockMovement-model, InventoryService, inventory-api-routes]
  affects: [04-02]
tech-stack:
  added: []
  patterns: [immutable-event-ledger, derived-stock-levels, dual-tracking-serialized-batch]
key-files:
  created:
    - prisma/migrations/20260305021700_add_inventory_models/migration.sql
    - src/lib/services/inventory-service.ts
    - src/app/api/inventory/items/route.ts
    - src/app/api/inventory/items/[id]/route.ts
    - src/app/api/inventory/items/[id]/movements/route.ts
    - src/app/api/inventory/stock-levels/route.ts
    - src/lib/__tests__/inventory-service.test.ts
  modified:
    - prisma/schema.prisma
    - src/lib/casl/permissions.ts
decisions:
  - id: inv-tracking-type
    summary: "Dual tracking: SERIALIZED (serial number required, qty=1) vs BATCH (no serial, variable qty)"
  - id: inv-je-received-only
    summary: "Only RECEIVED movements auto-post JEs (DR 1200, CR 2010); ISSUED/RETURNED/DISPOSED/TRANSFERRED do not"
  - id: inv-casl-subject
    summary: "CASL subject is 'Inventory' (existing type), not 'InventoryItem' — OFFICE_STAFF gets manage Inventory"
metrics:
  duration: "16 min"
  completed: "2026-03-05"
---

# Phase 4 Plan 1: Inventory Event-Ledger Foundation Summary

Immutable stock movement ledger with dual tracking (serialized by serial number, batch by quantity), derived stock level computation, and automatic JE posting for receiving movements.

## What Was Built

### Schema (Task 1)
- 4 new enums: `ItemTrackingType` (SERIALIZED/BATCH), `ItemCondition` (NEW/REFURBISHED/USED/DAMAGED), `MovementType` (RECEIVED/ISSUED/RETURNED/DISPOSED/TRANSFERRED), `LocationType` (WAREHOUSE/TECHNICIAN/SUBSCRIBER)
- `InventoryItem` model: dual tracking, serial number uniqueness per tenant (nullable unique), purchaseCost/purchaseDate/warrantyExpiry
- `StockMovement` model: immutable (no updatedAt), journalEntryId for RECEIVED, performedBy relation to User
- Indexes on tenantId, itemType, trackingType, inventoryItemId, movementType

### InventoryService (Task 2)
- `registerItem`: creates items, validates SERIALIZED requires serial number, BATCH rejects serial number
- `recordMovement`: validates per-movement-type rules, enforces qty=1 for SERIALIZED, auto-posts JE for RECEIVED (DR 1200 Equipment Inventory, CR 2010 Accounts Payable)
- `getStockLevels`: derives stock from movement aggregation (RECEIVED/RETURNED add, ISSUED/TRANSFERRED remove+add, DISPOSED remove), filters zero-quantity entries
- `getItemMovements`: chronological history with performedBy details
- `listItems`: filterable by itemType, trackingType, isActive
- `getItem`: single item with recent movements

### API Routes
- `POST /api/inventory/items` — register new item (ADMIN, OFFICE_STAFF)
- `GET /api/inventory/items` — list items with filters
- `GET /api/inventory/items/[id]` — item detail
- `POST /api/inventory/items/[id]/movements` — record movement
- `GET /api/inventory/items/[id]/movements` — movement history
- `GET /api/inventory/stock-levels` — derived stock levels

### CASL Permissions
- OFFICE_STAFF: `can("manage", "Inventory")` added
- TECHNICIAN: existing `can("read", "Inventory")` preserved

### Tests (13 passing)
- Registration: serialized with serial, batch without, reject serialized without serial, reject batch with serial
- Movements: RECEIVED with JE (DR 1200, CR 2010), ISSUED, RETURNED, DISPOSED, reject SERIALIZED qty>1
- Stock derivation: batch receive 10 issue 3 = 7, serialized latest location
- History: chronological order
- List: itemType filter

## Decisions Made

| Decision | Rationale |
|----------|-----------|
| Only RECEIVED movements create JEs | Other movement types (ISSUED, RETURNED, etc.) are internal transfers that don't affect AP. Asset reclassification JEs for ISSUED/DISPOSED will be added in 04-02 if needed |
| CASL subject "Inventory" not "InventoryItem" | Reuses existing subject type from types.ts. OFFICE_STAFF gets full manage access |
| Stock levels computed in JS not SQL | Follows existing pattern (collector balances, outstanding reports). Acceptable for ISP scale |

## Deviations from Plan

### Auto-fixed Issues

**1. [Rule 2 - Missing Critical] OFFICE_STAFF inventory CASL permission**
- **Found during:** Task 2 (API route creation)
- **Issue:** OFFICE_STAFF had no Inventory permissions in CASL, would fail withPermission() checks
- **Fix:** Added `can("manage", "Inventory")` to OFFICE_STAFF role
- **Files modified:** src/lib/casl/permissions.ts
- **Commit:** a742f70

**2. [Rule 3 - Blocking] CASL subject mismatch**
- **Found during:** Task 2 (API route creation)
- **Issue:** Plan specified "InventoryItem" as withPermission subject but types.ts only has "Inventory"
- **Fix:** Used "Inventory" subject in all API routes
- **Files modified:** All API route files
- **Commit:** a742f70

## Next Phase Readiness

04-02 (Asset Lifecycle) can build on:
- InventoryItem and StockMovement models are stable
- InventoryService.recordMovement handles all 5 movement types
- Stock level derivation ready for assignment tracking (ISSUED to subscriber)
- JE posting pattern established (can extend for disposal write-offs)

### Cleanup Order for Tests
stockMovements -> inventoryItems -> journalEntryLines -> null reversesEntryId -> journalEntries -> accountingPeriods -> accounts -> users -> tenant