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author's profile photo Former Member
Former Member

Third party shipment and dropship differences

Dear all,

I have several questions on the following and it is always confused me:

1 - Is there a difference btw the Third Party Shipment and the Third Party Dropship? or are they actually means the samething? if not, please tell me the differences?

2 - May I know in what step of the above two processes does the MM functional come into the picture? (i.e. what part of the above process are own by MM).

Thanks.

tuffy

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    author's profile photo Former Member
    Former Member
    Posted on Sep 06, 2010 at 06:26 AM

    Hi Tuffy,

    Please goto the links given below

    drop shipment

    third-party-drop-ship

    Third party Drop Ship

    Thanks

    Anil Hooda

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  • author's profile photo Former Member
    Former Member
    Posted on Sep 06, 2010 at 09:24 AM

    Hi,

    The links are helpful. In short - I guess Third Party Process is of two types -

    1. Drop shipment - It is where the vendor directly delivers to customer (Item Cat used - TAS)

    2. Individual PO - Here whenever you create an order - it creates a PO to vendor. And vendor delivers to You (not customer) - (Item Cat used - TAB)

    The goods receipt, Invoice verification are in the purview of MM.

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  • author's profile photo Former Member
    Former Member
    Posted on Sep 06, 2010 at 11:45 AM

    Hi Tuffy,

    In Third party dropship scenario, customer give an order from your e-trade site or online sales site. after receiving the order, your contracted company with you will deliver the order, not you. you are adding your profit to the list pricing. Process is going below:

    customer >> shopping from you >> payment to you >> getting the amount of profit after sales >>> sending of order and delivery information about customer to contracted company >> contracted company will deliver th order to the customer.

    But in other type of third part sales, we sould create purchase order additionally.

    I hope these will clarfy your confussion.

    Regards,

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