Consignment / Dealer Inventory

Vision GUI Path
		Vendor Maintenance —>Master > Status : Consignment Vendor Customer Maintenance —> Ship To Preferences > PO Requirements : Consignment Vendor Vision Configuration —> System Configuration —> Dealer Information —> GL Accounts : Consignment Inventory. Vision Configuration —> System Configuration —> Dealer Information —>Variance Codes : Consignment Inventory Vision Configuration —> System Configuration —> Dealer Information —> Dealer Defaults > Consignment Inventory : GL Variance Code Select the “Consignment Inventory” variance code. Customer Maintenance —> Consignment/Dealer Inv Purchasing —> Current PO Customer Service —> Current Order Customer Service —> Part (F5)
Vision Back Office Menu Path
	Auto	3.9.1	Inventory Report
		3.9.2	Inventory Count Sheet
	OP	8.9.1	Inventory Report
		8.9.2	Count Sheet.

Consignment Inventory is inventory that you own but which you have shipped to be stored at your customer’s facility (either a store or a warehouse). You bill your customer for the inventory only after it is sold. Essentially, the Consignment Inventory feature lets your customer sell directly from your stock.

• Track and report on dealer and consignment inventory, including two (2) years of consignment sales history by company, customer, ship-to, and part.

You set up a “Consignment Vendor” for each customer’s Ship-To that will receive consignment inventory. There must be a unique consignment vendor for each Ship-To as this is part of the tracking and reporting mechanism. Then, in order to ship parts to the customer, you use a negative purchase order (a return). The return reduces the part’s quantity on hand by the quantity of the consignment parts. When you receive the purchase order, Vision updates the consignment inventory record for the part. During End Of Day processing, the system vouchers the negative purchase order at zero dollars, using a Consignment Inventory general ledger account. The quantity of consigned parts is displayed on the Part (F5) screen under the Part Info subtab (under both Customer Service and Retail/POS).

Note: EOD automatically knows to voucher the negative purchase order at zero dollars because the PO is for a consignment vendor.

Periodically, you take a physical count of the consignment inventory, using a Consignment Count Sheet. Based upon the physical count, the consignment inventory is replenished through the “Consignment Vendor” by means of another return purchase order and the parts that were sold are billed via an order.

Follow these procedures to configure your system for handling consignment inventory. These procedures help you set up your GL Account rules and variance codes for handling the negative purchase orders you use to put parts on consignment with a specific customer.

1 Click Vision Configuration.

2 Click System Configuration.

3 Open the Dealer Information folder.

4 Open the GL Accounts folder.

5 Click Consignment Inventory.

6 Set up the GL Account rules as needed for your business.

7 Click Accept.

Back to System Configuration.

1 Click Vision Configuration.

2 Click System Configuration.

3 Open the Dealer Information folder.

4 Open the Variance Codes folder.

Note: If you find that the Consignment Inventory variance code already exists, you can skip the rest of this procedure. Otherwise, continue.

5 Right-click anywhere in the tree list of variance codes.

6 Select Add New Variance Code from the popup menu.

7 Type the description as “Consignment Inventory.”

8 Click Accept.

Back to System Configuration.

1 Click Vision Configuration.

2 Click System Configuration.

3 Open the Dealer Information folder.

4 Open the Dealer Defaults folder.

5 Click the down-arrow for the list of GL Variance Codes.

6 Select Consignment Inventory from the drop-down list.

7 Click Accept.

Back to System Configuration.

Follow these procedures to configure a customer to receive consignment inventory through a consignment vendor.

A consignment vendor is a fictitious vendor you use for shipping and tracking inventory on consignment with a specific customer.

1 Click Vendor Maintenance.

2 Click Vendor Profile.

3 Create a new vendor. (Not shown at right.)

See Create a Vendor from Scratch in the online help for detailed instructions.

4 Click Master.

5 Input the same address for this vendor as for the customer ShipTo you want to use.

Note: You will later associate this vendor with a single customer ShipTo. The address for this vendor should be the same as that ShipTo. This will be the delivery address for parts shipped to the customer via a return purchase order.

This vendor will be used only for handling consignment inventory for that specific customer. You should give this vendor a name that makes it easy to remember which customer it is used for.

6 Set the vendor’s status to Consignment Vendor.

Note: You must put a check mark in this box in order for the vendor to show up in the Consignment Vendor list on the Customer Maintenance —> ShipTo Preferences screen.

7 Click Accept.

Back to Customer Configuration.

Note: This vendor should only be used for consignment inventory. Writing a purchase order for a consignment vendor reduces consignment inventory and creates a voucher at End of Day.

1 Click Customer Maintenance.

2 Select a customer. (Not shown at right.)
See Select a Customer in the online help for detailed instructions.

3 Click ShipTo Main.

4 Select a ship to location from the list view.
(Not shown at right.)
This is the ship to you want to associate with the consignment vendor you created earlier.

5 Click ShipTo Preferences.

6 Open the Consignment Vendor drop-down list.

7 Select the consignment vendor to associate with this ShipTo location.

8 Click Accept.

Note: Trying to assign a consignment vendor to more than one ship-to produces an error.

Back to Customer Configuration.

1 Click Customer Maintenance.

2 Click Consignment/Dealer Inv.

3 Type in a part number, or leave it blank.

4 Optionally, click Options and enter search filters. (See Consignment/Dealer Inv Search Filters for details.)

5 Click Search.

6 Make changes to the Stock Qty amounts, if necessary.

This value is used as a guideline (or target) for how many units of a particular part you want to keep on consignment.

7 Click Accept to save your changes.

In addition to the usual filters of Company, Manufacturer, Part Class, and the maximum number of parts to return, you can restrict your results by the following filters:

1 Inventory types:

• Consignment.

• Dealer.

• Both.

2 Quantity sold.
1 to 99999.

3 Number of Months to search for conforming sales quantity.
1 to 24.

4 Size of Sales History increments to display.
1 / 2 / 3 / 4 / 6 / 8 / 12 / 24.

The system always displays a total of 24 months of sales history. The number of columns the system displays is 24 divided by the number of months in the increment. For example, the display shown at right has four columns (24/6 = 4).

For an increment of 1, the system displays 24 columns; for an increment of 8 there will be three columns; for an increment of 24, there will be only one column.

Note: The lowest numbered sales periods always contain the most recent sales months. For example, if the increments for sales history is set to 24, then

• Sales Period 1 = current sales month.

• Sales Period 2 = previous sales month.

• Sales Period 3 = sales three months ago.

Back to Consignment/Dealer Inventory Inquiry and Maintenance.

3. Create a negative purchase order by selecting Return as the purchase order type.
Purchasing —> Current PO.

When you receive the purchase order, the system updates the following data visible on the Customer Maintenance —> Consignment/Dealer Inv screen:

5. During EOD, voucher the purchase orders with zero dollars. The system uses the Purchasing Returns and Consignment Inventory GL accounts for the distribution.

Note: If you need to increase the consignment quantity, or you need to add different parts to your customer’s consignment stock, you will need to create a new negative purchase order.

This section covers consignment inventory counts, using orders to charge the customer for parts sold, and using reports to track consignment inventory.

1 Print an Inventory Count Sheet for the customer ShipTo. Auto Menu 3.9.2, Inventory Count Sheet. OP Menu 8.9.2, Count Sheet. The Inventory Count Sheet asks for customer, ship-to, product, manufacturer, and product class. The printout looks similar to the example below right.
2 Replenish the consignment stock. When you replenish the consignment stock, note the quantity replaced on the consignment inventory count sheet in the area circled in red shown at right. Note: Do not create another negative purchase order to replenish an established consignment stocking level. Only create a negative purchase order when increasing the consignment stocking level or when adding new parts to consignment.
3 Create an order for the consignment inventory sold at the customer’s site, based on the inventory count results. a Click Customer Service. b Click Customer Profile. c Select the desired customer. (Not shown at right.) d Click Current Order. e Set the Order Type to One Step. One Step orders relieves inventory but does not print a pick ticket. f Enter the parts, accepting each line. g Click Accept. The order will charge the customer for the parts sold.
4 Generate a the Consignment/Dealer Inventory report. Auto Menu 3.9.1, Inventory Report. OP Menu 8.9.1, Inventory Report. The report prompts are shown at right. An example of the report sent to the screen is shown below right.
Dealer and Consignment Inventory Reports are both generated. They should look similar to the example at right. Back to Top.

1. Perform an inventory count and remove any parts remaining at the at the customer’s ship-to.

These purchase orders should reverse all negative purchase orders created during the consignment.

4. During EOD, voucher the purchase orders with zero dollars. The system uses the Purchasing Returns and Consignment Inventory GL accounts for the distribution.

Customer Service —> Part (F5)

Retail / POS —> Part (F5)

On the Part (F5) screen, if you have a Customer and a ShipTo defined and that ShipTo is associated with a consignment vendor, when you look up a part that is on consignment, you can look at the Part Info subtab to see how many units of that part the customer is stocking on consignment.

Procedure	Comments
Create a Consignment Vendor	A consignment vendor is a fictitious vendor you use for shipping and tracking inventory on consignment with a specific customer.
Assign the Consignment Vendor to the Customer	The consignment vendor must be associated with only one customer. In fact, the system displays an error if you try to assign a consignment vendor to more than one customer or customer ship-to.