Consignment Pickup and Consignment Return Process

The difference between Consignment Pickup and Return are:

1. In Consignment Pickup what ever the goods lying at the customers point as Consignment stock will be taken back before consignment issue to the said stock. Which means the Special stock will be converted in to actual stock or unrestricted stock.

2. In Consignment Return the goods were already sold to the customer by doing Consignment Issue. And the customer want to return the stock because of some reason (like Poor quality, Unable to sell, Price changes, Expiry etc). After doing consignment Return the stock will be once again added to the Special stock but not to the Unrestricted stock. If we want it to be unrestricted we should once do the process by using Consignment pick up.

Consignment pickup: Process where the consignee (person who stocks the goods to sell) has not yet sold the goods and has returned them back to the consigner (company that manufactures the goods) due to damage.

Goods flow :- CONSIGNER ----> CONSIGNEE ---> CONSIGNER

Consignment return: Process where the customer returns d goods to the consignee and consignee returns the same to the company. here as the consignee has already sold (& billed) d goods to the customer, the company has to issue a credit memo to the consignee (AS IN CONSIGNMENT PROCESS COMPANY PAYS THE CONSIGNEE ONLY WHEN HE SELLS THE GOODS TO THE CUSTOMER).

Goods flow :- CONSIGNER ----> CONSIGNEE ----> CUSTOMER ----> CONSIGNEE ----> CONSIGNER.

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KB - Fill up
You leave the material in customer premise (say 100 items)
Materials lying in customer 's place but stock is still in your books.

KE - Issue
Your customer consumes (sells to his customer if he is in retail / uses up for production if he is in mfg)
25 items now 25 items have been invoiced on him

KR - Returns
If the material issue (25 items) are defective you will take it back using KR (returns)

KA - Pickup
75 items not used by your customer, if you want to take back you will be using KA