Drop Shipment & Back to Back

Oracle APPS

Agenda

•What is drop shipping?

• Drop ship Business Flow.

Sales Order Process flow for ‘Traded Items:As the name suggests, Items are considered as ‘Traded’ when they are manufactured outside. Customers can be served with 2 options.

Option (1)Finished goods are directly supplied to Customer from Supplier site. This is called ‘Dropship’ flow.

Option (2) Finished goods are first received at the warehouse and then shipped to the Customer site. This is termed as ‘Back-to-Back’ order flow.

Definition

• What is drop shipping?

• Fulfilling customer orders by having suppliers ship directly to the customer.

Drop Ship Business Flow

Drop Ship Business Flow

Drop Ship Business Flow

Drop Ship Business Flow

Drop Ship Business Flow

Drop Ship Business Flow

After running the WF Background the status will become Awaiting Receipt.

The WF Process performs two things 1.) Purchase release and 2.) Requisition Import.

Drop Ship Business Flow

Drop Ship Business Flow

Drop Ship Business Flow

Auto create the PO from the Requisitions.

Drop Ship Business Flow

Drop Ship Business Flow

Approve the Purchase Order

Drop Ship Business Flow

After Receiving the Goods

Drop Ship Business Flow

Drop Ship Business Flow

Drop Ship Business Flow

Drop Ship Business Flow

Back to Back Orders

1. Create and book sales order.

2. Run “Requisition Import”

3. Autocreate PO.

4. Perform PO receipt.

5. Pick Release

6. Ship Confirm

‘Back-to-Back’ (BTB)OrdersWhenever Items are being sourced from the suppliers, involving actual receiving of material at the warehouse and shipping the same to the customer site….is handled by using ‘Back-to-Back’ order feature.A typical Order processing for ‘Back-to-Back’ items:

Order Entry

Booking

PO Release

PO Receipt

Pick Release &Shipping

Invoicing

Thank You !