How to Manage Consignment in Odoo 17 Inventory? | Consignment in Odoo 17 | Odoo 17 Inventory Videos

In Odoo, consignment refers to a specific inventory management process where you, as the consignee, store and sell products owned by another party, called the consignor. #odooinventory #odoo17
You don't actually purchase the products upfront, but rather sell them on behalf of the consignor and earn a commission based on the sales.
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Benefits of using consignment in Odoo:
Reduced upfront investment: You don't need to pay for the products upfront, which can be helpful for businesses with limited capital.
Increased product variety: You can offer a wider selection of products without expanding your own inventory.
Reduced storage costs: The consignor is responsible for storage costs until you sell the products.
Commission-based profits: You earn a commission on each sale, incentivizing you to promote and sell the products effectively.
How it works?
Consignment Agreement: You first establish a contract with the consignor outlining the terms of the agreement, including commission rates, product details, and sales territory.
Receiving Consignment Stock: The consignor delivers the products to your warehouse, but they remain their property. You receive the stock at a designated "consignment location" in Odoo.
Selling Consignment Products: You market and sell the consignment products like any other item in your inventory. Odoo tracks the movement of consignment stock separately from your own inventory.
Recording Sales and Commissions: Once you sell a consignment product, you record the sale in Odoo and create a "consignment invoice" to the customer. This invoice calculates the commission you earn based on the agreed-upon rate.
Remitting Payment to Consignor: You collect payment from the customer and then remit the appropriate portion (excluding your commission) to the consignor, typically according to the agreed-upon payment schedule.
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[@phazerave]

this seems to be more applicable for situations where the odoo database is owned by the consignee. what about if I am the consigner, and need to set it up so that I can track what I send to consignees?

[@cybrosys-technologies]

In the inventory reporting >locations, you can group by 'owner', and the history option will give all the transactions that happened to the consigned product of each consignee.

[@tariq4846]

Please note that not all “s” sounds “z” otherwise there’s no need of s in alphabets

[@tylerbizzell9294]

Explanation is not that clear. The Received from and the owner should be the same company i.e. requesting product (demand) from the Owner. Not sure why you are setting this as different to the received from field. How is the product added to inventory? When setting the demand for receipt, the product has to exist in the inventory record to be added to the line item, right? Is this just set as a standard storable product that can be sold and then inventory is recepted against it where the owner is set as the consigner? This part is fairly straight forward but what would be good to understand is what happens at the time of sale, whether that be thrgouh rfq or POS module? What does the sale look like from a finance perspective and how is this managed. ie. no inventory and no cogs to manage but when the sale occurs there is a setup required for this for the consignee to account for the income and then the expense to the consigner - how does this work in Odoo? Thanks

[@luchiokei]

So, it's a confusing explanation. Why was the PO generated with a different name? I got followed until receipts and then lost the PO section with new consignee and consigner. What was that for?

[@SohailSyed-jq9ww]

i think it's another method.

[@cybrosys-technologies]

Here is the video showing that the consignment can be managed from receipts as well as the purchase orders.