Note: You can create a custom API to define whether your default order source type will be Internal or External.
Only standard items may be drop-shipped; kits and models cannot be drop-shipped.
Depending on how your order cycle is defined, you can change the source type until the line has been processed by either Purchase Release or Pick Release. You can book an order without specifying a source type, but Purchase Release and Pick Release will not process lines lacking that information.
The Purchase Release concurrent program processes eligible lines with a source type of External and passes information to Oracle Purchasing. Run Purchasing's Requisition Import program to create purchase requisitions based on this information. When you submit the program, ensure that you set Requisition Import's Multiple Distributions parameter to No. After Requisition Import completes successfully, you can approve the requisitions to generate purchase orders.
If the buyer makes changes to the requisition or purchase order in Oracle Purchasing after Purchase Release has been run, use the Sales Order and Purchase Order Discrepancy Report to note differences between the original sales order and its associated purchase order.
When you receive shipment confirmation, enter a receipt in Oracle Purchasing, even if the drop-shipped item is not transactable. This creates inbound and outbound material transactions in your system for accounting purposes.
You must receive drop-ship items in a logical organization. If you use Oracle Master Scheduling/MRP and Oracle Supply Chain Planning, to avoid miscounting supply you may not want to include logical organizations in your planning. If you choose to include logical organizations, ensure that doing so does not cause planning and forecasting complications.
If your supplier should send only an invoice, you need to enter a passive receipt.
Viewing Orders and Returns
Overview of Sales Orders
Associating Ship-to and Receiving Locations
Requisition Import Process
Overview of Receiving
Importing Invoice Information Using AutoInvoice