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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.

Answer Posted / 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

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