1. Sales Order Management Implementation Guide
  2. Understanding Transfer Orders

Understanding Transfer Orders

You enter a transfer order to ship inventory between branch/plants within the company and to maintain an accurate on-hand inventory amount. When you create a transfer order, the system:

  • Creates a purchase order for the supplier, which is the branch/plant that ships the items.

  • Creates a sales order for the supplying branch/plant to the customer, which is the receiving branch/plant.

  • Processes the inventory amounts on the transfer order as a formal purchase and sale of goods.

  • Creates documents, such as pick slips or invoices, that are necessary to complete the transfer.

You can record a transfer transaction by using either the Inventory Transfers program (P4113) in JD Edwards EnterpriseOne Inventory Management or the Sales Order Entry program (P4210) in either JD Edwards EnterpriseOne Procurement or JD Edwards EnterpriseOne Sales Order Management.

When you create an inventory transfer in JD Edwards EnterpriseOne Inventory Management, the system moves inventory from one location to another and records the transaction immediately. The system does not create sales or purchase order documents; therefore, you do not have a paper trail for tracking inventory. At the most, you might require management approval.

When you create a transfer order in either JD Edwards EnterpriseOne Procurement or JD Edwards EnterpriseOne Sales Order Management, you can ship and receive goods. In this way, you can account for markups, freight costs, and transport time. The system creates the paper trail by generating a sales order and a related purchase order. The system processes each order based on the order activity rules that you set up for the document type and line type combination.

When you create a transfer order, the Transfer Order Processing program (P4242) creates records in these tables:

  • Sales Order Header File (F4201).

  • Sales Order Detail File (F4211).

  • Purchase Order Header (F4301).

  • Purchase Order Detail File (F4311).

    Note:

    You cannot enter kit information on a transfer order. To enter an order for kits, use the regular sales or purchase order entry programs.

    The system does not allow you to assign Commit to Other 1 or Commit to Other 2 to a sales transfer order. These commitment options are available only to quote and blanket orders.