Distributor consignment

How SCM with Consignment Tracking is set up for you

A distributor can hold goods that still belong to a supplier until the agreed consumption event. The app gives the operating team a request, location and lot trail for physical stock and a separate usage record for the commercial event. Start with one organization, one distributor storage site and an item whose base unit and lot practice are clear.

Choose a recent receipt and a later partial use of the same item. Walk the receipt request through review, operation outcome and posted movement. Then reserve a smaller quantity and compare its physical issue with the usage record. If the distributor reports a different used amount, the reviewer can inspect both records before completing the usage decision.

Agree how the site will communicate the consumption event and which attachment counts as supporting evidence. The agreement reference should be stable enough for the billing team to group completed usage. If invoicing lives in another system, set up that handoff explicitly and reconcile totals by agreement and organization.

The first operating cycle should also cover a rejected request and a correction to a posted quantity. Keep the rejected reason and the linked compensating movement so both the distributor conversation and internal audit have a clear history. Review access to Shared attachments before sending evidence outside the operating team.