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Former Member

business process

Hi

The scenario is like my client delivers and invoices the goods to customer.

At the customer's location my client has godown where the goods are kept. As per the requirement the customer picks the goods from the godown at his place. The requirement of the customer is varying it will be 4 days or even 1 month.

My client wants to manage the inventory level.

In some cases the goods will be returned as it is from the godown.

Client also requires the Payment terms should be effective only from the day after the customer picks the goods from the godown>

AS I SUGGESTED THE CONSIGNMENT PROCESS THEY ARE NOT AGREEING

IS THERE ANY ALTERNATIVE TO THIS

REGARDSA

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4 Answers

  • Best Answer
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    Former Member
    Dec 11, 2008 at 02:05 PM

    Hi there,

    Even I fel that consignment sale is the best solution that we can suggest.

    But what is the reason the client doesnot want to implement consignment?

    Does he have any specific reason why he doesnot want to implement consignment?

    Regards,

    Sivanand

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  • Dec 11, 2008 at 02:24 PM

    Dear Rithvika

    Consignment process would be the best option. Alternatively, have a seperate storage location or plant for stocking the goods at customer end so that as and when the goods are ready at manufacturing plant, the same can be transferred from one storage location to another storage location or from one plant to another plant. Its all to be decided by the client as to how he wants.

    As and when the customer pulls out the material, based on that sale order, delivery and billing can be done, so that your requirement of considering payment terms will also be fulfilled.

    thanks

    G. Lakshmipathi

    ps:- please close your earlier threads wherever possible

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    • Client will not accept for Consignment, same case with our client too.

      I have suggested to go with Consignment process. But client is not ready for that.

      because, Consignment Fill up, I will be issuing goods to the customer without Invoice, where as there will be no dispatch without Invoice. While filling goods at customer site, invoice issued on customer's name.

      When goods in transit, these stocks should be considered for Planning purpose.

      Is this stock will be treated for availability check & TOR ?

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    Former Member
    Dec 11, 2008 at 02:39 PM

    Hi Rithik,

    I think you have given a right suggestion.

    As per you information, your client has godown at customer place, that means the ownership is still at the client's side. Customer takes them when ever required. This is nothing but Consignment.

    Its better you explain them clearly on consignment process, taking each and every point of their requirement.

    like:

    Goods return from godown--- Yes possible

    Payment terms effective from goods issue: Yes possible

    etc....

    Regards,

    Vishal

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    Former Member
    Dec 12, 2008 at 07:38 AM

    thx

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