This is what happens in the video
Drop shipment combined with intercompany functionality in Business Central lets you create a purchase order in your sales company and a matching sales order in your supply company from a single sales order. When you release the order, Business Central generates both documents automatically and links them together with cross-referenced order numbers.
You enter the sales lines, quantity, and location codes once in the sales order. After releasing, the purchase order carries a vendor order number that corresponds to the sales order number in your supply company. The supply company receives a ready sales order that references both the originating sales order number and the purchase order number.
Setting up the intercompany sales order
You start in the sales company by building the sales order. Enter the sales lines with the items you want, choose the quantity, and select the locations from your intercompany partner. At this point the order holds all the information needed to drive the documents in both companies.
Releasing the order to create linked documents
Once the sales order is ready, you release it. Releasing the order does two things at the same time:
- It creates a purchase order in your sales company.
- It creates a sales order in your supply company.
After releasing, the sales line shows a purchase order number and a vendor order number. The vendor order number is the sales order number from your supply company, so you can always trace the connection between the two documents.
Checking the drop shipment in the supply company
On the sales order you can verify the drop shipment directly. Business Central has created a purchase order from your supply company, and the link is visible on the lines.
When you switch to the supply company and open the sales orders, you find the new sales order waiting for you. The order shows the sales order number from your sales company and the purchase order number from your sales company. You also see the sales lines and the location code that was chosen back in the sales company, carried over so nothing has to be re-entered.
Q&A
What happens when you release an intercompany drop shipment sales order in Business Central?
Releasing the order creates a purchase order in your sales company and a sales order in your supply company at the same time. Both documents are linked through cross-referenced order numbers.
What does the vendor order number on the purchase order refer to?
The vendor order number is the sales order number from your supply company. It lets you trace the link between the purchase order in the sales company and the sales order in the supply company.
Do you have to re-enter the location code in the supply company?
No. The location code you chose in the sales company is carried over to the sales order in the supply company automatically.
What information appears on the sales order in the supply company?
The sales order in the supply company shows the sales order number from your sales company, the purchase order number from your sales company, the sales lines, and the location code chosen in the sales company.