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What is the difference between Third party sales orders &
individual Purchase orders? I have been asked this question
in an recent interview. Please reply asap... Eagerly
awaiting for your response? Thanks in advance.

Answers were Sorted based on User's Feedback



What is the difference between Third party sales orders & individual Purchase orders? I have b..

Answer / jagan mohan

In a third party order process customer places order on
company but the material will be supplied by a third party
vendor directly to the customer.

If the material is delivered to company and not to customers
then it is called Individual Purchase orders(IPO)

Is This Answer Correct ?    22 Yes 0 No

What is the difference between Third party sales orders & individual Purchase orders? I have b..

Answer / muhammad mustafha

The major difference between IPO and 3rd Party Sales is-
In IPO- Business orders Materials/Products to vendor in case business is not manufacturing material or business is not having enough stock to full fill the customer order.
And the vendor supplying materials/products to Business and thereby Business receives material form vendor and maintain inventory as part of sales order stock. This Sales order stock consists of stock that is assigned to specific sales orders and cannot be used for other purposes. Then Business delivering products/material to customer and invoicing for same. In addition vendor invoice the business for supplying the material/products to Business.
Item Cat Group is BANC
Item Cat is TAB
In short in 3rd Party business process- Vendor supplying the material/products directly to customer instead of delivering to business. And invoicing to business. Here customer receive material directly from vendor.
Item Cat Group is BANS
Item Cat is TAS

Regards,
Muhammad Mustafha
SAP SD Consultant
NTT Data Global Delivery Center, Hyderabad
9030275680, mdmustafha@gmail.com

Is This Answer Correct ?    11 Yes 0 No

What is the difference between Third party sales orders & individual Purchase orders? I have b..

Answer / manish

tps- tps means the company gets the order from to the customer
and third party (vendor)will be directly supplied or delivery to the customer. (not company.)

ipo- if the company gets order from to the customer .then the vendor will be supply material in the company .and the company will directly delivery to the customer.(not vendor).

Is This Answer Correct ?    8 Yes 0 No

What is the difference between Third party sales orders & individual Purchase orders? I have b..

Answer / subbu

in third party the delivery directlty placed to the customer and in general po raised by the company the delivery comes to the organisation.

Is This Answer Correct ?    1 Yes 0 No

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