Dropship order processing

You can define dropship orders and orders for inventory items in the same way. You must specify information that indicates that a purchase order must be created and the vendor directly ships the goods to your customer.

Note: Inventory type items are added as non-stock items for this process.

Create a customer order with the information indicating that it is a dropship order. After you release the order, you must create a purchase order. Perform maintenance on the purchase order, release it, and print the purchase order. When you receive the invoice from the vendor, specify it into the system, and approve the invoice. After you release the invoice, create an invoice to send to your customer for the order. The order continues in Purchasing, where a purchase order is created, and items are received from a vendor. Several customer order lines may be combined into one purchase order if they are all for the same vendor. To avoid the scenario, review and follow the single document to a PO feature that is described in the Purchasing User Guide.

Note: Intrastat records are not created for dropship orders. If you are not shipping orders to a customer's location, then create your location and transfer the items to create Intrastat records.

In creating a dropship order, you can process dropship orders with advance ship notices (ASN) using EDI processing. Advance ship notices can bill customers as soon as you receive the notice from the vendor. Before you can receive advance ship notices, you must define your EDI number in the Billing solution and the vendor's EDI number in the Payables solution.