Receiving compensation from a vendor for a purchased item that you are dissatisfied with is important for recovering costs and maintaining satisfactory vendor relationships. Typically, a purchaser responsible for the interaction with specific vendors would also be the person to make contact with those vendors in case of purchase returns.

Managing returns to vendors includes a series of tasks. The number and scope of these tasks generally depend on who initiates the return: the company itself (when, for example, dissatisfied with the quality of purchased items or in case of wrong delivery) or a company's own customer. Irrespective of that. A typical vendor-oriented return process may include the following tasks:

In relation to the vendor-oriented process, there are a number of internal handling tasks:

The following table describes a sequence of tasks with links to the topics that describe them. These tasks are listed in the order in which they are generally performed:

ToSee

Learn about the business requirements and steps involved in returns management, such as compensation agreements and inventory value considerations.

About Returns Management

Get an overview of different ways to process purchase returns.

How to: Process Purchase Returns

Use functions on an unpaid posted purchase invoice to automatically perform a credit memo process and either cancel the purchase invoice or recreate it so you can make corrections, using the simplified features in Microsoft Dynamics NAV.

How to: Correct or Cancel Unpaid Purchase Invoices

Create a purchase credit memo to revert a specific posted purchase invoice to reflect which products you are returning to the vendor and which payment amount you will collect, using the simplified features in Microsoft Dynamics NAV.

How to: Process Purchase Returns or Cancellations

Determine who supplied a certain defective serial/lot number before starting the purchase return process.

How to: Trace Item-Tracked Items

Ensure that after returning the item(s), your inventory is revalued using the unit cost that is connected to the original purchase entry.

How to: Assign Exact Cost Reversing in Purchases

Create the purchase return order and fill the lines with a function to automatically reverse posted purchase invoice lines or receipt lines.

How to: Create Purchase Return Orders

Have the vendor compensate you for a purchased item by replacing the item.

How to: Create Replacement Purchase Orders

Have all relevant return documents be created automatically, such as the purchase return order, a replacement purchase order, or a new sales order.

Create Ret.-Related Documents

Return several items covered by different purchase return orders.

How to: Combine Return Shipments

Accept and post a purchase allowance granted by the vendor because the received items are faulty.

How to: Create and Post Purchase Allowances

Ensure that the originally received serial/lot numbers are reversed in the purchase return process.

How to: Handle Item Tracking Lines with the Get Lines Function

Determine where a returned defective serial/lot number originates from and if the defective lot is sold on other orders.

How to: Trace Item-Tracked Items

Undo the quantity posting of a return shipment where the purchase return document (purchase credit memo) has not yet been invoiced.

How to: Undo Quantity Posting on Posted Return Shipments

See Also