Intercompany trade

  • 5 minutes

Large organizations often buy and sell among their subsidiaries. Supply Chain Management facilitates intercompany trade so that an organization's legal entities can trade goods while all documents are automatically generated for the participating legal entities, thus saving the organization time and money.

The following image illustrates the typical intercompany trade processes of a business that Supply Chain Management supports, and how transactions flow between the selling company and the delivering company for non-direct delivery scenarios.

  • Non-direct delivery - Goods are physically received and then shipped from the selling company to a customer.

  • Direct delivery - Goods are not physically received in the selling company. The goods are sent directly to the customer from the delivering company, on request from the selling company.

Diagram showing intercompany trade processes and transaction flows.  

For more information, see the Configure and use intercompany trade in Dynamics 365 Supply Chain Management module.