The drop shipping module is used to provide direct delivery of goods from the suppliers to customers.When drop shipping is used the goods are directly transferred from the suppliers to customers without going through the retailer’s warehouse.
For enabling this function we have to install the drop shipping module in our database. By default drop shipping is not activated. We can see the difference on checking the product inventory feature there will be two routes are available for the product. Shown in the figure below.
Now lets activate the drop shipping feature. For that first go for the sales module settings.
Choose the second option in order routing. Apply the change. After that go for inventory settings.
Mark routes as advanced routing and Drop shipping as shown in the figure. Setting routes as advanced is an optional feature.Now the drop shipping is enabled. We can see the difference in the product feature as well as in the quotations.
For example: Here I am creating a new product and making a quotation to send the product after purchasing it from a vendor. In this situation normally the product first purchased to my company warehouse after that the sale is carry out from my warehouse to the customer. Let’s see the difference after enabling the drop shipping feature.
I am creating a stockable product TV with 5 quantity available and setting its routes to drop shipping in addition to buy. Then I choose a vendor named Bagya to purchase the product.
Fill all the requirements. Now make a quotation to sent the product to the customer Syam for selling the product TV. During the process make sure that the route must be drop shipping.
Confirm the quotation then it becomes sales order. Now go to the purchase module there we can see the RFQ for the product TV to the vendor Bagya.
In order to compute the procurement go to the inventory and run the scheduler.
Then check the purchase order in purchase module. There we can see the order with shipment Board Panel.
On clicking the shipment the ordered product become delivered to the customer directly from the vendor.
After validating the process we can check the stock moves for the valuation.
It is important to note that not by the name Drop shipping, the product delivered directly from the vendor to the customer, it because setting the default source location and destination location of operation type drop shipping in warehouse management of inventory module as Partner Location/vendors as Partner Location/Customers