In third-party order processing, your company does not deliver the material requested by the customer.
Instead, you transfer the order to an external vendor, who sends the materials directly to the customer and bills you accordingly.
In the third party order (TPO) processing the materials are directly delivered from the vendor to the customer. The steps of this scenario are shown above:
- A sales order is created
- This order type is configured to use item category TAS to automatically create a purchase requisition
- The purchase requisition is converted into a purchase order with an appropriate vendor. The PO will contain the delivery address of the customer
- The vendor ships the delivery directly to the customer
- The vendor sends an invoice for the goods and services provided
- Even though no goods are received in real a statistical goods receipt is posted for the PO which is the trigger for the final step
- The customer invoice is sent to the customer