The shipment process is the second step of the customer order flow, where the parts are picked and delivered. This is divided into 4 different sub-processes: picking, packing (optional), delivery and delivery confirmation (optional).
If you are working in a Configure to Order (CTO) environment, you can view any configuration that exists on the order lines at several points throughout this process.
Once the inventory parts have been reserved using the reservation process, a pick list is created and printed to inform the picking staff of what and where to pick. Whenever the parts are picked from the stock, the packing staff can report according to a pick list, or changed quantity, or an inventory location.
It is possible to create order based pick lists or consolidated pick lists, where material for several orders is to be picked at the same time.
Once the goods are picked from a picking location they are moved to a shipment location (or packing station) where they are prepared for delivery.
At that moment, it is possible to use the pre-ship delivery note to pack them. This document is used for packing and also as a delivery document. The pre-ship delivery note is printed while the goods are still in a shipment location, i.e., before delivering the customer order.
Note that connecting a customer order to a shipment or a load list overrides the use of two-stage picking (pre-ship delivery notes).
Whenever the parts are ready to be dispatched, they are entered as Delivered. You can choose between delivering according to what is pick reported or delivering fewer parts than picked. Depending on how many will be dispatched, you can deliver a few customer order lines or an entire customer order. You can also create and print a delivery note that can accompany the goods.
When using two-stage picking, and therefore the pre-ship delivery note, the delivery can be reported by scanning the barcode on the document, which is normally attached to the goods. Since the customer orders are handled in a shipment location, the discrepancies that might occur (picked parts are broken, wrong parts picked, etc.) are handled with the standard shipment location functionality. The delivery will always correspond to exactly what is picked in the shipment location. This means that there is no need of delivering with differences; those differences are treated as scrapping or returns in shipment location.
The purpose of confirming delivery is to confirm the customer's acceptance of a delivery prior to invoicing an order. Depending on the agreement a company has with its customers, the following scenarios are possible:
Delivery confirmation is performed as soon as the goods are delivered. No interaction is required from the user.
This is usually preformed by a responsible sales person. The customer notifies the seller that the delivery has been received and is accepted, which is followed by confirming the acceptance.
When using two-stage picking, and therefore the pre-ship delivery note, the delivery can be reported by scanning the barcode on the document, which is normally attached to the goods. Since the customer orders are handled in a shipment location, the discrepancies that might occur (picked parts are broken, wrong parts picked, etc.) are handled with the standard shipment location functionality. The delivery will always correspond to exactly what is picked in the shipment location. This means that there is no need of delivering with differences; those differences are treated as scrapping or returns in shipment location.