Overview

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Excerpt

Procurement for sales (procure to order) The "Purchase-to-order (sales through our warehouse)" scenario describes the procurement purchase of finished third-party products for their further subsequent delivery to a the customer.   This scenario is can be used in combination with O2C Sales from procurement (Procure to order) scenario. After the customer order is placed, the ordered products are procured from the vendor and delivered to the organizationthe "Sales of goods through our warehouse (Purchase-to-order)" scenario. Firstly, a customer places a sales order, then a purchase order is placed for these goods to a vendor, then goods are received to the company's warehouse. After receipt of that, the goods , their transportation to customer based on customer order must be organizedmust be delivered to the customer within the referenced sales order. This scenario is often used in situations when direct delivery from vendor to customer is not possible or desired. Advisory note Purchasing products directly for a sales order is used in a variety of business models. It can be a one time opportunity, a frequently applied model, or even a type of "outsourced" inventory in a JIT-like set-up. Therefore, the interaction between the sales department, the purchasing department, and the vendor in order to clarify availability and delivery dates might differ. In a opportunity sale, it might even be required to identify a source of supply before any commitment to the customer is given. when it is impossible or not desirable to deliver goods from the vendor directly to the customer.

Purchase-to-order (sales through our warehouse) flowchart

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Business processes list

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Links to User Guide

• Create purchase order orders based on sales orderorders
• Generate purchase order based on demand
• Specify terms for purchase orders and submit for approval
• Confirm purchase order and send to vendor
• demand-driven purchase orders
• Define delivery terms
• Fill in vendor prices
• Carry out internal approval
• Follow Follow- up purchase order progress
• P2M Inbound logistics
• O2C Sales of goods through our warehouse (Purchase to order)Process purchase order confirmation
• Process vendor invoice invoices by purchase orderR2R Vendor invoice offset (Based on purchase order)orders

Links to Setup Guide

• Items
• Distribution warehouse structure
• Basic warehouse operations
• Transport delivery
• Basic purchase operations
• Basic material supply
• Assigned material supply
• General wholesale terms
• VAT accounting