Drop-Ship Purchase Orders

Drop-shipping is a term to describe your supplier shipping directly to your customer, rather than shipping goods from your own warehouse. The inventory will never pass through your hands so no inventory movements are recorded. All over Brightpearl you'll see "on order" values for inventory; this is the number of items on regular purchase orders that are still yet to be received into inventory. Items on drop-ship are not included in this value.

For detailed information about drop-shipping, please review our documentation here .

Creating drop-ship suppliers & prices

Before drop-shipping can be used in Brightpearl you will need to have created drop-ship suppliers and prices for each of the products. If these have not been correctly set up then no suppliers will be available to use when creating your drop-ship purchase order, it will say "no locations".

Drop-ship suppliers are defined by being selected as a supplier of a product. Drop-ship prices are defined by assigning a price to the product against the supplier price list.

How to create drop-ship suppliers & prices

  1. Search for and open the product.
  2. Select the Suppliers tab.
  3. Select the supplier of the product. If multiple suppiers supply this product hold down the ctrl key on your keyboard as you select them.
  4. Save the product

Suppliers can be assigned to multiple products using the batch processing options on the products list:

  1. Go to Products > List products/services.
  2. Use the filters to find the relevant products.
  3. Use the checkboxes to select the product records.
  4. Select  Set Supplier  from the Batch Update drop-down menu at the top of the list.
  5. Select the supplier and specify whether any existing suppliers assigned to those products should be unlinked.
  6. Click the  Update selected items  button to finish.

Suppliers can also be assigned using the product import (one supplier per import).

Creating drop-ship purchase orders

Drop-ship purchase orders must be created from a sales order. The delivery address on a drop-ship purchase order is copied from the delivery address on the originating sale.

Drop-shipping uses advanced fulfilment which must be activated in your account at  Settings > Products/Inventory > Inventory settings .

Items on drop-ship purchase orders, even if they are stock tracked items, are assigned a 5xxx purchases nominal code since no items are received into stock. When a purchase invoice is received against a drop-ship purchase order, the net value of the items is added directly to the relevant 5xxx nominal code.

Drop-purchase orders can be split to back order. This is useful if your Vendor confirms they will only send some of the goods to your customer; with the rest to come later. You can split your goods off to a new drop-ship order; allowing you to mark the items your customers have been sent as fulfilled and shipped.

How to create drop-ship purchase orders

Drop-ship purchase orders are created by using the partial/advanced fulfilment feature. This must be activated  Settings > Products/Inventory > Inventory settings .

  1. Search for and open the order.
  2. Hover over the  Fulfil  link at the top of the order.
  3. Select  Partial/advanced fulfil .
  4. Confirm the quantity to drop-ship.
  5. Select the supplier next to each item.
    Note : Items can be fulfilled to goods-out notes and shipped from your warehouse.
  6. Select "Ship to customer" in the  Ship PO(s) to field .
  7. Click the  Create Purchase Orders / Goods notes  button.
  8. A separate PO is created for each supplier selected. The POs are listed at the bottom of the screen. Click the edit pencil next to a PO to open it and send it to your supplier.

Deleting drop-ship purchase orders

A drop-ship purchase order may need to be deleted if you need to cancel the original sales order or if it was set to drop-ship by mistake during the fulfillment process.

The same controls are applicable when deleting a drop-ship purchase order as a standard purchase order for delivery to your warehouse:

  • No inventory has been marked as received on the order (even if it was unreceived it cannot be deleted)
  • No invoice is marked as received on the order
  • No payment is marked against the order (payments can be re-allocated or canceled)

Once the drop-ship purchase order has been deleted the original sales order will be unfulfilled and can therefore be canceled, deleted or refulfilled correctly.

Shipping drop-ship orders

Once your supplier has notified you that they have shipped the items to the customer, the inventory status of the order in Brightpearl can be updated to show this. Brightpearl offers the ability to mark drop-ship items as shipped in one or more shipments, and you can also choose to email the customer including a tracking reference. But if you don't want to use these features, they can be switched off and all the necessary steps of marking the orders complete can be automatically done for you.

Two shipping options for drop-ship orders:

  • Manually mark drop-ship items as shipped directly against the drop-ship purchase order, input a tracking reference and choose whether to email the customer
  • Automatically mark drop-ship orders as shipped, this will happen when the invoice is received against the drop-ship purchase order. The order will be marked as fully shipped and no updates are sent to the customer from Brightpearl.

Switch between these options at Settings > Purchases > Purchase Settings .

How to mark a drop-ship order as shipped

Depending on your purchase settings, this can happen in one of two ways:

Manually mark items as shipped against the drop-ship purchase order

  1. Search for and open the drop-ship purchase order. If you only know the sales order reference, you will find a link to the drop-shop purchase order on the order rows (there may be multiple) or in the order sales order notes.
  2. From within the drop-ship purchase order click the Mark as shipped button.

  1. In the pop-up window specify how many of the items have been shipped, enter a tracking reference and set the shipping method (defaults to order shipping method, which is set from the original sale).
  2. If you wish to email the customer, check the box. The email will be sent using the template assigned to the channel brand set for the order channel.

This will update the shipping status of both the drop-ship purchase order and the parent sales order. Order notes with the shipped date will be added to both the sale and the purchase.

Automatic shipping at point of receiving the purchase invoice

  1. Receive the purchase invoice against the drop-ship purchase order.

This will mark the drop-ship purchase order and parent sales order as shipped in full. Order notes with the shipped date will be added to both the sale and the purchase.

 

Editing drop-ship purchase orders

Being able to edit drop-ship purchase orders can lead to discrepancies and mismatches between the original sales order and the purchase order. To avoid such problems in your Brightpearl account, we do not allow a drop-ship purchase order to be edited once it has been created. To edit the drop-ship purchase order, you will need to delete the purchase order, edit the sales order, and then re-create the purchase order.

 

 
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