Creation of Internal Sales Orders
Once you approve inventory sourced requisition lines, Purchasing translates the requisition into an internal sales order, providing the link between the requestor's requirement and the physical demand against inventory. You run two separate batch processes to create the internal sales order from the approved requisition:
Purchasing uses location associations to create internal sales orders from internal requisitions for a given deliver-to location. When you associate a customer and customer site with a location and then enter an internal requisition with that location as the deliver-to point, Purchasing uses the associated customer and customer site on the internal sales order that it creates. The associated customer site becomes the ship-to site for Order Entry / Shipping's ship confirmation. See: Associating Ship-to and Receiving Locations. See also: Site Locations. See also: Assigning a Business Purpose to a Customer Address.
If the OE:Reservations profile option is set to Yes, the Create Internal Sales Orders process requests that internal sales orders be Demanded rather than Reserved. Note that this process does not pass any revision or lot number information.
The Create Internal Sales Orders process loads the Order Entry / Shipping open interface, OrderImport, using the order type you define in the Purchasing Options window. See: Defining Internal Requisition Options. OrderImport creates internal sales orders from the records in the interface table, and determines the order cycle and defaults values based on the order type.
When you run OrderImport using the Run Concurrent Programs form in Order Entry / Shipping, you need to choose an OrderImport Source as a setup option. Refer to Internal Requisitions Setup Overview for more information on how to define these sources.
Note: You should not drop-ship internal sales orders. See: Drop Shipments.
Multi-Org: Creation of Internal Sales Orders Across Operating Units
A Multi-Org implementation of Purchasing enables separate operating units within an organization to operate independently of each other. However, you may still need to obtain goods from another operating unit, and Purchasing supports this. You can create an internal sales order for an item in another operating unit. When creating this internal sales order, you must create it in the destination organization's operating unit, and all Order Entry / Shipping activity must take place within that destination operating unit. For example, let's say you have two operating units: Operating Unit 1 (with Inventory Organization A) and Operating Unit 2 (with Inventory Organization B). You want to move an item from Inventory Organization B to Inventory Organization A. You must use your Order Entry / Shipping responsibility tied to Operating Unit 1 to create an internal sales order for the item in Inventory Organization B (in Operating Unit 2). Then you must continue to use that responsibility tied to Operating Unit 1 to perform other Order Entry / Shipping functions for that internal sales order.
