Location Capacity lets you cap how much inventory allocation sends to each location. You define a capacity per location (in units), and after the nightly allocation run Toolio projects what each location will be holding at the end of the capacity check window. When that projection exceeds the capacity, Toolio trims recommended transfers until the location fits, and flags every adjusted transfer so you can see exactly what changed.

The capacity check runs automatically after the scheduled nightly allocation run, and on demand from the Recommended Transfer Orders screen. For each location (or capacity partition) it:

The window is anchored to receipts, separately for each location and capacity partition. Toolio takes the earliest upcoming receipt date within the partition (or within the whole location when no partition grain is set), adds the configured number of days (default 6), and projects inventory to the end of the fiscal week that date lands in. The window always ends on a fiscal week end, and because the anchor is per partition, two partitions at the same store can be checked against different week ends. The window is capped at your allocation calculation window.

Transfers receipting after the window end are not cut. They are picked up by the capacity check once their receipt date moves into the window.

The Over Capacity Threshold % is a percentage buffer on top of capacity: how far over its unit capacity a location may go before allocations are cut. With a capacity of 1,000 units and a threshold of 10%, cuts only start once the projected inventory exceeds 1,100 units, and cutting stops as soon as the projection is back at or below 1,100. This keeps small, harmless overages from churning your transfers. The threshold defaults to 0%, so out of the box cuts start as soon as the projection exceeds capacity.

Two places hold the setup: capacity values per location, and org-level behavior settings.

Navigate to Settings > Organization Settings > Locations, select a location, and open the Location Capacity tab in the detail panel. Enter the location's Unit Capacity there. When a partition grain is configured (see the next section), the tab shows one row per partition, and you set a capacity for each. A location without a capacity value is not constrained.

The org-level settings live in Settings > Module Settings > Allocation > Allocation Configuration:

By default, capacity is a single number for the whole location. Alternatively, the Capacity Partition Grain setting lets you partition capacity by product hierarchy levels (Division, Department, Class, Subclass), for example giving a store a Womens capacity of 800 and a Mens capacity of 200. Each selected level splits a location's capacity into one row per combination, and levels can be skipped: selecting only Department gives one capacity per department, across every division above it.

The grain is org-wide. Every location uses either total-location capacity or the same partition scheme. Each partition is enforced independently: if the Womens partition is over capacity, only Womens transfers are cut, even if the Mens partition has room to spare. There is no total-location ceiling while partitions are in use.

When a location (or partition) is over its ceiling, Toolio reduces recommended transfers in a specific order until the projection fits.

Cuts start with the transfers that arrive latest and work backward:

Cuts respect transfer order multiples: a product that ships in multiples of 6 is always reduced in steps of 6. Because of this, a location can end up slightly below its ceiling rather than exactly at it.

On the Recommended Transfer Orders screen:

In the example above you can see the cut order at work: the transfer receipting Oct 11 was cut to zero before the one receipting Oct 6 was reduced from 167 to 94, and transfers receipting after the capacity window were left untouched.

To undo a specific cut, edit the transfer's units manually. Manual edits are kept until the next allocation run or recalculation regenerates the recommendations.

The Capacity Summary, opened from the ⋮ menu on the Recommended Transfer Orders screen, shows what the last capacity run did on each location and partition in your current filter.

The tiles at the top total up the run: how many partitions are in the filter, how many were over capacity, how many recommended transfers and units were cut, how many units remain over after cuts, and how many partitions have no capacity or have not been checked yet.

The grid below breaks the same story down per location and partition: Capacity, Ceiling, Projected, Fill (the projection as a percentage of capacity), Over by, and how many transfers and units the run cut there. A partition with a capacity value that no run has evaluated yet shows no projection. You can filter, group, and sort the grid like any Toolio grid.

Use it as the starting point after a run: it tells you where cuts landed and which locations need attention because the run could not bring them under their ceiling, for example when only protected SKUs, initial allocations, packed transfers, or transfers with no System In Transit To Ship Units remain.

Use Recalculate Capacity Constraints in the ⋮ menu at the upper right of the Recommended Transfer Orders screen to re-run the capacity check without waiting for the nightly run. This is useful right after changing capacities, the threshold, or the window, and after a manual allocation run, which does not trigger the capacity check on its own.

Before it runs, a confirmation explains two things worth knowing:

The action is available to Admin users and to users granted the dedicated recalculate permission.

Nothing. Locations without a capacity value are skipped by the check, and their transfers are never capacity-adjusted. Note that 0 is not accepted as a capacity: to remove a constraint, clear the cell, which deletes the value.

Yes. Protected SKUs, initial allocations, packed transfers, transfers with no System In Transit To Ship Units recorded, and inventory already at the location all count toward the projection but cannot be cut. When those alone exceed the ceiling, the location remains over capacity rather than forced down, and the Capacity Summary shows where this happened and why.

The nightly run and Recalculate Capacity Constraints both reset every transfer inside the window of every partition they evaluate back to system values, including partitions that were never over capacity, so manual overrides on those transfers are replaced. Edits you make after a run are kept until the next one.

No. Only the scheduled nightly allocation run triggers the capacity check automatically. After running allocation manually, use Recalculate Capacity Constraints to apply the constraints.

Not currently. The engine reduces only transfers that are not part of a pack shipment. Packed transfers still count toward the projected inventory, but they are not reduced. Whether and how packed transfers get cut by whole packs may change in a later release.

The reduced units. Every transfer metric, on screen, in exports, and in downstream integrations, reflects the capacity-constrained recommendation. The original value is preserved in the read-only System In Transit To Ship Units column.