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February 23, 2024

Conquering Drop Shipments

In today’s fast-paced world, businesses are increasingly turning to drop shipments to fulfill customer orders. This approach frees up valuable storage space and inventory costs, but it also introduces new complexities in managing and tracking goods. Dynamics 365 Business Central offers powerful capabilities to simplify drop shipment management and ensure smooth fulfillment: 

  1. Seamless Integration: Say goodbye to data silos and manual processes. Dynamics 365 Business Central seamlessly integrates with your sales and purchase orders, automatically creating drop shipment requests when needed.
  2. Enhanced Visibility and Control: Gain complete visibility into your drop shipments with real-time tracking. You can easily monitor the status of each shipment, from pick-up to delivery, and identify any potential delays or issues. This proactive approach ensures you can proactively communicate with customers and react to unexpected events.
  3. Optimized Inventory Management: Even though the goods might not be physically located in your warehouse, Dynamics 365 Business Central allows you to effectively manage drop shipment inventory. Allocate stock virtually, track reserved quantities, and receive automatic notifications when inventory levels fall below pre-defined thresholds. This ensures you maintain optimal stock levels and avoid stockouts.
  4. Comprehensive Reporting: Gain valuable insights into your drop shipment performance with comprehensive reporting tools. Analyze trends, identify areas for improvement, and measure the impact of drop shipments on your overall business performance. Data-driven decision-making is key to optimizing your drop shipment strategy and maximizing its benefits.

Dynamics 365 Business Central is one of the most flexible and customizable ERP systems in the market. With some customization, expert users can configure conversions in their drop shipments to seamlessly reconcile discrepancies between your vendor’s product offerings and your own sales orders. For example, if your vendor sells a specific product in bulk quantities, while you offer it in individual units to your customers, you can define a rule that automatically converts the bulk quantity from your purchase order to the individual units on your sales order. This ensures accurate inventory tracking and eliminates the need for manual adjustments. 

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Ready to unlock the power of Dynamics 365 Business Central for your drop shipment operations? Schedule a Consultation and let our experts guide you on your journey! You can also visit our YouTube channel for helpful videos about all Dynamics 365 products.  

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