Leveraging Odoo 17 for Effective Consignment Management – Buy and Sell Without Owning Stock

Stuck with a warehouse full of inventory and tight cash flow? Wish you could offer trendy products without committing a fortune? 

Look no further than consignment magic!

Imagine a world where you sell hot-selling gadgets without owning a single one. Your shelves brim with the latest tech, customers flock in and profits soar, all while the inventory belongs to someone else. 

This is the consignment superpower waiting to be unleashed with Odoo 17, your key to unlocking a booming marketplace without breaking the bank.

This concept, though simple in its core – buy and sell without owning stock – is revolutionary in its application.

Odoo 17’s advanced consignment management capabilities open up new avenues for businesses to expand their product lines without the financial burden of stock ownership. This functionality is a boon for businesses looking to streamline their operations, reduce capital investment in inventory, and enhance product variety without the associated financial risks

This blog aims to unravel how Odoo 17 transforms consignment management into a strategic advantage, blending the latest ERP trends with practical, real-world applications. 

CONSIGNMENT MANAGEMENT IN Odoo 17

Consignment Overview

In Odoo 17, products can be stored in a company’s warehouse without the need for upfront purchase, a process known as consignment.

This method is ideal for suppliers looking to launch new products and for companies who wish to store products without the financial burden of ownership.

ENABLING CONSIGNMENT IN Odoo

• Activation in Settings : To leverage consignment features, they must be activated in the Odoo settings, specifically under the Traceability section.
• A Step Towards Flexibility : This setting unlocks the potential for businesses to manage inventory more dynamically and responsively.

RECEIVING AND STORING CONSIGNMENT STOCK

• Streamlined Process : Consignment stock is received and stored without the complexities of quotations or purchase orders.
• Vendor Ownership : It’s crucial that the ‘Receive From’ and ‘Assign Owner’ fields in the receipt match, as the vendor retains ownership of the products.

SELLING AND DELIVERING CONSIGNMENT STOCK

• Seamless Sales Process : Consignment stock can be sold just like any other in-stock product, integrating smoothly into existing sales workflows.
• Customer-Vendor Distinction : When creating sales orders, the customer must be distinct from the consignment stock supplier, ensuring clarity in transactions.

TRACEABILITY AND REPORTING

• Inventory Visibility : Despite not owning the consignment stock, it appears in specific inventory reports, enhancing traceability.
• No Impact on Stock Valuation : These products do not affect the Stock Valuation report, maintaining accurate financial representation of the consignee’s inventory.

PRODUCT MOVES REPORT

• Detailed Movement History : This report provides insights into the history of product moves, including consignment stock, with comprehensive details like Quantity Done, Reference document and Locations.
• Enhanced Operational Insight : Such detailed reporting aids in making informed decisions about stock management and movement.

STOCK ON HAND REPORT

• Inventory Overview : This report shows the locations and quantities of all stock, including consignment products, with the ‘Owner’ column indicating the original vendor.
• Strategic Stock Management : Understanding the distribution of consignment stock helps in optimizing warehouse space and inventory planning.

THE IMPACT ON BUSINESS OPERATIONS

1) Revolutionized Inventory Management : Odoo 17 brings fluidity and reduced risk to inventory management, a crucial aspect for manufacturing businesses.

2) Financial Agility : Lower investment in stock translates to improved cash flow and financial flexibility.

3) Customer Satisfaction Boost : A wider range of products can lead to higher customer satisfaction and loyalty.

4) Strengthened Supplier Relationships : Consignment fosters mutually beneficial relationships with suppliers, creating a win-win scenario.

At Pragmatic Techsoft, we don’t just understand Odoo; we excel in it. Our expertise in implementing, customizing and migrating to Odoo 17 is unmatched. We have a proven track record of successful migrations to Odoo 17, ensuring our clients fully benefit from this powerful ERP solution.

Our Manufacturing Module is crafted to integrate seamlessly with your operations, ensuring efficiency and productivity. It’s a testament to our commitment to providing industry-specific, tailored solutions.

Stay tuned to our website and blogs for more insights on Odoo 17. We’re dedicated to keeping you informed and ahead in the ERP arena.

Seeking customized Odoo solutions? Connect with our Odoo experts at Pragmatic Techsoft. We’re here to transform your business with efficient, innovative solutions tailored to your needs. 

Let’s embark on a successful Odoo journey together!