Consignment Inventory Setup

Consignment inventory can be utilized in two ways: inventory owned by your vender but stored in your warehouse, or inventory owned by you and stored in your customer's warehouse.

Vendor Consignment Inventory

Perform General Setup

1. On the Inventory Parameters form, select Cost Items at Warehouse.  This setting is required.
2. On the Warehouses form, set the Consignment Type to Vendor, select a vendor number, and set the Vendor Location.
3. On the Items form, define which items are consigned from your vendor.
4. On the Item/Warehouse form, define minimum/maximum quantity values and a replenishment purchase order.
5. On the Item Warehouse Costs form, define consigned inventory as $0 cost items.

Define Replenishment Needs at the Consignment Warehouse

Use the Inventory Consigned From Vendor Usage Report form to display activity and recommend replenishment levels, as well as provide a way to report usage to your vendor.  Communicate with the vendor regarding planned shipments of inventory to and from the consignment warehouse.

Manage Inventory at the Vendor Consignment Warehouse

• Use the Inventory Consigned From Vendor Receipts form to record deliveries and returns of material to and from the vendor.
• Use the Inventory Consigned From Vendor Usage form to consume consignment items, create new replenishment purchase order releases, and perform purchase order receiving against new releases.
• Use the Inventory Consignment From Vendor Summary display-only form to review current vendor consignment information regarding items, receipts, and purchases.

Customer Consignment Inventory

Perform General Setup

1. On the Warehouses form, set Consignment Type to Customer and assign a customer Ship-to.
2. On the Customer Ship-Tos form, you can view the consignment warehouse for the selected customer ship to.
3. On the Item/Warehouse form, set the minimum/maximum consignment quantity for items in the consignment warehouse.

Define Replenishment Needs and Create Consignment Transfers

1. Use the Inventory Consigned to Customer Report to plan transfer orders from your warehouse to the customers' warehouse.
2. Use the Transfer Order Ship form to ship the transfer orders.
3. (optional) Use the Transfer Ship Packing Slip form to print packing slips for the transfer orders.
4. Use the Transfer Order Receive form, upon confirmation that the customer has taken possession of the goods, to receive the transfer order.

NOTE: Alternatively, you can use the Multi-Site Quantity Move utility to move inventory to and from your consignment warehouse.

Record Customer Usage

1. Print the Inventory Consigned to Customer Usage Report.  Optionally, send this report to the customer to enable them to report usage.
2. After the customer notifies you that they consumed inventory from your consignment warehouse, use the Inventory Consigned to Customer form to view information about the customer's consigned inventory, and quickly create a customer order.
3. Ship the customer order.
4. Invoice the customer.

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