third party sale scenario

[Former Member]

In third party sales, How the business knows whether vendor delivered all items to customer?

Example: If customer places  order with 100 qty, business asks the vendor to deliver 100 qty directly to customer

               but vendor delivers 75 qty only. Here how the business knows delivered qty is 75, how the business invoices the customer?  

[former_member182378]

siva,

In third party sales, How the business knows whether vendor delivered all items to customer?
Example: If customer places  order with 100 qty, business asks the vendor to deliver 100 qty directly to customer
               but vendor delivers 75 qty only. Here how the business knows delivered qty is 75, 

If you are asking from business process perspective (and not from SAP / ERP perspective), then each organization might follow a different process.

But the underlying concept is as follows:

1. Third party vendor delivers the goods along with a delivery note, here the recipient (Ship To party; customer of business) writes the number of goods received and signs. Plus any other comments.

2. The third party vendor sends a copy of this (signed) delivery note to the business.

This way the business knows how many goods have been delivered by the 3rd party vendor to its customer.

how the business invoices the customer?  

Read Himavanth's post.

Added, side comment: If you are at the "learning stage", then asking (to self, if required to others) these type of questions is a plus.

These type of questions would help in better understand of processes (both when you are theoretically learning & also during client interviews, during requirement gathering+client business process understanding)

Message was edited by: Type Writer, added in blue color font

[Former Member]

Hi Siva,

In third party slaes item category TAS will have Billing relevance F Order-related billing doc. - status according to invoice qty. This will enable usiness to decide the quantity supplied to the customer, so that accroding to this invoice provided by the vendor customer will be billed.

Thanks

VSA

[jpfriends079]

siva

Please refer following link for your requirement

Building Block: J54 - Third Party with Shipping Notification

Regards, JP

[Former Member]

Hi,

Thanks to both you.

helpful answer

Cheers,

Siva

[Former Member]

Hi Siva,

In case of third party sales company bills customer after recieving the vendor invoice only. Especially to know how much quantity that the vendor has delivered to the customer. The controls lies in the third party item category TAS and copy controls. In TAS for the field billing relevance we will put 'F'(order related billing doc.- status according to invoice quantity) and in the copy controls between sales document(e.g: OR) and billing document(F2) for the item category TAS for the field billing quantity we will put 'F'(invoice reciept quantity less invoiced quantity). These configuration settings will always ensures in third party sales that always the quantity for commercial invoice for customer will be copied from the vendor invoice to the company.

Regards,

S.Himavanth.