sales order creates purchase order?

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sales order creates purchase order?
Hi,Does anyone has clue about this process.How is this called in SD?when Sales order is created,system creates a purchase orderthen PO is sent to VendorVendor will supply goods to the the customermy question is,is this a standard process with in SD or a special process?can you pl briefly explain.Many thanks,anilb

Hi,This is called Third Party Order processing in SD.In breif it works likeWhen you create sales order and save then system creates purchase Requisition automatically .You need to create PO wrt PR.Then Vendor will supply the material to your customer( customer add info goes directly to Vendor by PR).After doing GR and IR,you will bill to your customer.Advantages:-You need not to maintain material at your warehouse and all shipping activity will be done by Vendor.Read online help for detail before implementing.Regards,查看原帖

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