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SAP SD - Third Party sales detailed

Third Party Sales with live examples

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this course is going to cover third party sales. regular sales, you can find buyer and seller or company as parties where as third party sales you can find vendor as another party for customer delivery. SD and MM consultants can have basic understanding about integration at certain aspect in this course.

Third-party process the delivery of the goods required by the customer is not done by sales organization where customer orders. Instead, the request of the goods is forwarded to an external vendor who sends the material directly to the customer.

Here is what happens in third-party process:

  1. Customer orders goods and a sales order is created in a sales organization

  2. Purchase requisition is created automatically when sales order is saved.

  3. Purchase order is created at the vendor in the MM purchasing application (manually or automatically)

  4. If the vendor does the outbound delivery to the customer, the goods receipt can be posted in the system

  5. Invoice receipt is created (invoice from vendor)

  6. Invoice to customer is created (order based invoice)


Third-party process is triggered when the sales order with third-party item is created. Depending on settings done in customization third-party item categories can be automatically determined by the system (automatic third-party processing) or they can be changed from standard item to third-party item category in sales order (manual third-party processing).

Sales order type used for third-party – OR (standard order)

Item category for third-party – TAS

Schedule line category for third-party

for deeper understanding for the process, please subscribe and follow video system instructions carefully.

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