Answer / valdimirhem

If vendor is not ready to do our packing then we do IPO process.
If company feels that there is a risk involved by doing third party process then we do IPO process.

EX:If customer come to know that 'x'vendor is supplying the goods.Next time he may directly place the order to vendor

*)we receive goods from vendor,we deliver goods to customer
*)Here vendor is not ready to do our packing

Answer / $hubh

During sales order entry, the system automatically creates a purchase requisition item. The purchasing department creates a purchase order based on the requisition and the vendor ships the goods directly to you (unlike third party order processing , where the vendor ships directly to your customer). You then ship the goods to your customer. While the goods are part of your inventory, you manage them as part of the sales order stock.

$hubh..

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