Cannot decrement source quantity below qty allocated
When an order is allocated it reservers (or allocates) the quantity to be picked in that specific location. This is to ensure that no other process takes the inventory between the time it is allocated and pick confirmed or shipped.
When you try to move or adjust a quantity from a location you will receive the "Cannot decrement source quantity below qty allocated" error if there is not enough unallocated inventory in the location to perform the move or adjustment.
To resolve this you can unallocate the inventory form the location by unallocating the order. Or you can retry your move or adjustment with less of a quantity.
To find the order that has the inventory allocated, query the product on the Inventory Totals screen, click on the bin at the bottom and click the Show Orders button.