When you create a sales order in Business Central, you can split delivery so some items ship from your supply company through intercompany trade while you deliver the rest from your own inventory. You handle this on the individual sales lines.
To ship an item from your intercompany vendor, use Item Availability by Intercompany on the sales line and choose a location. For items you deliver yourself, remove the buy-from vendor number on that line.
When you release the order, Business Central creates a purchase order to your supply company only for the items marked for intercompany shipment. The supply company receives a matching sales order for those same items.
Splitting a sales order between intercompany shipment and own inventory
Sometimes when you create a sales order, you only need some of the items shipped from your supply company. The rest you can deliver from your own inventory. Business Central lets you handle both situations within the same sales order, line by line.
Start with a normal sales order for a customer with a requested delivery date. Then enter the sales lines and decide for each line where the item should come from.
Setting up an item for intercompany delivery
In this example, the first line is two pieces of a bicycle that should be sent from the intercompany vendor. To set this up, go into Item Availability by Intercompany on the line and choose a location. That tells Business Central the item is coming from your supply company.
Delivering an item from your own inventory
The next item on the order should be delivered from your own company. For this line, delete the buy-from vendor number and enter the item directly. Without a vendor number, the line stays with your own inventory and is not passed on to the supply company.
What happens when you release the order
When you release the order, Business Central creates a purchase order to your supply company for the intercompany item only. In this example, that is the city bike.
To check it, select the line and go to Order, Drop-Ship, Purchase Order. You can see that a purchase order has been created for only one item.
Switch to the supply company and open the sales order there. It also shows a sales order for only one item, matching the line you marked for intercompany shipment. The item you kept on your own inventory does not appear in the supply company’s documents.
Q&A
Can I ship part of a sales order from a supply company and the rest from my own inventory?
Yes. You decide this per sales line. Mark the lines that should come from the supply company for intercompany delivery, and leave the rest to be delivered from your own inventory.
How do I mark a sales line for intercompany delivery?
On the sales line, use Item Availability by Intercompany and choose a location. This routes the item through your intercompany vendor.
How do I keep an item on my own inventory instead of shipping it from the supply company?
Delete the buy-from vendor number on that sales line and enter the item directly. The line then stays with your own inventory.
What does Business Central create when I release the order?
It creates a purchase order to your supply company for the intercompany items only. The supply company gets a matching sales order for those same items.
How do I check the purchase order that was created?
Select the line and go to Order, Drop-Ship, Purchase Order. You will see the purchase order created for the intercompany item.