How to Drop Ship Sales Orders in Business Central for Distributors
As a distributor, it’s essential that you streamline the drop shipping process. From the moment a customer clicks the ‘purchase’ button, everything needs to happen seamlessly: the creation of a sales order and purchase order; drop shipping the item; posting the sales order; and posting the purchase invoice. The more automated this process is, the easier things will be for your business -- and the less likely you are to run into errors.
With the help of Microsoft Dynamics 365 Business Central, the drop shipping process has never been easier. Everything takes just a few clicks. Plus, Dynamics 365 will help your business make smarter decisions, optimize operations, and more.
In this blog, we’ll take a look at the entire drop shipping process in Business Central, including:
● Creating a sales order in Dynamics 365 Business Central
● Creating the corresponding purchase order
● Drop shipping the item(s) to the customer
● Posting the sales order
● Posting the purchase invoice
Are you thinking about making the switch to Business Central The experts at JourneyTEAM are here to help! Visit our Dynamics 365 Business Central page to learn more.
Creating a Sales Order in Business Central
When you log into Business Central, you’ll find that your most important items are listed under the ‘Actions’ heading in the top right corner of your screen. This makes it easy to quickly locate exactly what you need.
First, click on Sales Order, and you’ll be taken to a blank sales order screen. Enter the customer, item description, and quantity.
Next, you’ll notice that each line item has a ‘Drop Ship’ column with a checkbox. By checking this box for each item in the sales order, Business Central will label that item as a drop shipment. Finally, close the sales order by clicking the ‘X’ in the top right corner of your screen.
Creating a Purchase Order
After closing the sales order, you’ll be taken back to the Business Central dashboard. Select Purchase Order from the ‘Actions’ heading in the top right corner of your screen.
To create a purchase order, start by selecting the appropriate vendor. When you do this, you’ll notice that under the Shipping and Payment heading, you can select the ‘Ship-to’ dropdown menu and change the selected option to ‘Customer Address.’ Then, you can select the appropriate customer from the Customer dropdown menu underneath. This automatically populates the purchase order with the customer’s information.
Drop Shipping the Item
Next, click Drop Shipment at the top of your screen and select Get Sales Order. This displays a list of all the open sales orders for the selected customer. Click on the correct sales order and select OK. Finally, click the Post button, make sure the Receive option is selected, and click OK. If you select Print, you’ll have the option of printing out the purchase order that you’ve just created.
Posting the Sales Order in Business Central
Now, it’s time to post the sales order. From the Business Central dashboard, click the Sales Orders tile under the ‘Ongoing Sales’ heading. Open the appropriate sales order, and click Post and Send in the ribbon at the top of your screen. Select the Invoice option to invoice the customer, and you’ll be presented with a copy of the invoice.
Posting the Purchase Invoice
Finally, we’ll post the purchase invoice. Back in your Business Central dashboard, click the Purchase Orders tile under the ‘Ongoing Purchases’ heading. Select the purchase order you just created, click the Post button in the ribbon at the top of your screen, choose the Invoice option, and click OK.
Dynamics 365 Business Central for Distributors
By using Dynamics 365 Business Central to drop ship items to your customers, you’ll be able to increase productivity, provide better customer service, streamline the entire inventory management process, and cut down on data entry.
Ready to make the switch to Business Central? In 2019, JourneyTEAM was selected as the Microsoft US Partner of the Year for Dynamics 365 Business Central. Our team of experts can help your business transition to Dynamics 365 quickly and seamlessly. Contact us today to learn more.