Consignment Return (Internal) Applet

Purpose and Overview

The Internal Consignment Return Applet is a specialized tool designed to manage the end-to-end process of returning consignment goods to suppliers. It handles the complete lifecycle from initiating a return — either manually or by referencing an existing Purchase GRN or Purchase Order — through to final financial settlement and inventory reconciliation.

Key Features Overview

Who Benefits from This Applet?

Procurement & Warehouse Teams:

• Accurately record consignment goods being returned to suppliers
• Link returns directly to originating Purchase GRNs or Purchase Orders using Knock-Off (KO) functionality
• Maintain correct stock levels through automated inventory adjustments on finalization

Finance Teams:

• Manage ARAP (Accounts Receivable / Accounts Payable) entries for consignment returns
• Process settlements via multiple payment methods (cash, bank transfer, cheque, credit card, e-wallet, etc.)
• Full contra support to offset returns against outstanding documents

Management:

• Complete audit trail linking every return to its source document
• Document tracing (Trace Document tab) to follow the full transaction chain
• Exportable records for reporting and compliance

What Problems Does This Solve?

The Manual Consignment Return Problem:

• Missing Credits: Finance is not notified of returns, so supplier balances are not adjusted
• Inventory “Ghost” Stock: Goods leave the warehouse but remain on record
• Untracked Settlements: No systematic way to confirm whether a return was refunded or offset

The Applet Solution:

• Unified Finalization: One FINAL action updates stock, GL postings, and supplier ARAP simultaneously
• Document Linkage: KO For Purchase GRN and KO For Purchase Order prevent over-returning and ensure every return is traceable
• Flexible Settlement: Supports cash refunds, contra offsets, and multiple payment modes

Key Concepts

Understanding the Consignment Return Framework

Document Lifecycle

A Consignment Return document moves through these stages:

Create (Draft)
    │
    ▼
Add Line Items (from Search, KO For GRN, or KO For PO)
    │
    ▼
Add Account / Delivery / Settlement / Department Info
    │
    ▼
FINAL  ──→  Stock adjusted + ARAP posted + Document locked
    │
    ▼
(Optional) Contra / Doc Link / Attachments / Export

Key States:

Quick Start Guide

Creating a Consignment Return

Goal: Create and finalize a consignment return in 6 steps.

1. Navigate: Go to Consignment Return from the sidebar
2. Create: Click the Add (+) button → The Create Consignment Return form opens
3. Search Source Document (optional): Use the Search tab to find and copy from an existing consignment document
4. Fill Main Details:
   • Select Company, Branch, Location
   • Select the Purchaser (supplier)
   • Set the Transaction Date, Currency, and Reference number
5. Add Line Items: Switch to the Lines tab → Click Add → Choose items via:
   • Search Item: Search by product code or name
   • KO For Purchase GRN: Pull items from a specific Goods Received Note
   • KO For Purchase Order: Pull items from a specific Purchase Order
6. Finalize: Click FINAL → The system posts stock adjustments and ARAP entries

Editing a Consignment Return (Draft)

1. From the listing, click on a Draft document to open it
2. Make necessary changes across any tab
3. Click SAVE to preserve changes
4. Click FINAL when the document is ready to post

The Create Form: Tab-by-Tab Guide

When creating or editing a Consignment Return, the form is organized into the following tabs:

Search Tab (Create mode only)

Use this tab to search for an existing consignment document and copy its details into the new return. This is the fastest way to create a return that references a prior transaction.

Main Details Tab

Captures the core header information for the return document.

Account Tab

Manages the supplier and billing/shipping entity information.

• Entity Selection: Select the supplier entity linked to the return
• Billing Info: Billing contact name, email, phone
• Billing Address: Full billing address (address lines, city, state, postcode, country)
• Shipping Info: Shipping contact name, email, phone
• Shipping Address: Full shipping/delivery address

Lines Tab

Manages the individual products being returned.

Adding Line Items:

Delivery Details Tab

Records delivery-related information for the physical movement of returned goods, including delivery schedules and logistics notes.

Settlement Tab

Records how the return is being financially settled with the supplier.

KO For Tab (Create mode only)

Use the KO For tab to import knock-off line items from source documents. This links the return to specific originating documents and ensures financial accuracy.

Department Hdr Tab

Captures cost centre and department allocation for the return document header.

ARAP Tab (Edit mode only)

Displays the Accounts Receivable / Accounts Payable entries generated when the document is finalized. This is a read-only view of the financial impact.

Trace Document Tab (Edit mode only)

Provides a complete audit trail of all documents linked to this consignment return — from the original Purchase Order through the GRN to this return document.

Contra Tab (Edit mode only)

Allows the return amount to be offset against outstanding supplier invoices or credit notes instead of receiving a cash refund.

Doc Link Tab (Edit mode only)

Links this consignment return to other related documents in the system for cross-referencing.

Export Tab (Edit mode only)

Exports the consignment return document in configurable formats for record-keeping, sending to suppliers, or integration with external systems.

Attachments Tab (Edit mode only)

Upload and manage supporting documents such as:

• Supplier return authorization letters
• Delivery order copies
• Photos of defective goods
• Inspection reports

Line Items Management

The Line Items View

The Line Items section (accessible from the sidebar) provides a dedicated view of all line items across consignment return documents. This is useful for searching and reviewing specific product returns independent of their parent documents.

Editing a Line Item

1. From the Lines tab (within a document), click on a line item to edit
2. Modify quantity, price, discount, UOM, or tax configuration
3. Save changes

Settings and Configuration

Application Settings

Administrators can configure the applet behavior via Settings > Application Settings:

Default Selection

Pre-configure default values for new documents to reduce data entry:

• Default Branch
• Default Location
• Default Company
• Default Purchaser

Printable Format Settings

Configure the layout and content of printed/PDF documents generated from this applet. Multiple printable format templates can be configured to suit different supplier or internal requirements.

Personalization: Default Selection

Each user can configure their own default selections (branch, location, company) independently of the system-wide defaults via Personalization > Default Selection.

Permissions

The applet enforces role-based access control:

Common Workflows

Return Against a GRN (Knock-Off)

Scenario: You received 50 units on GRN-2025-001 and need to return 10 defective units.

1. Create a new Consignment Return
2. Fill in Main Details (company, branch, supplier, date)
3. Go to Lines tab → Click Add
4. Select the KO For Purchase GRN tab
5. Search for GRN-2025-001
6. Select the 10 units to return
7. Return to the document → Add Settlement (e.g., credit to open balance)
8. Click FINAL

Result: 10 units are deducted from inventory, ARAP is updated, and the document is linked to GRN-2025-001 for full traceability.

Contra Settlement Against Outstanding Invoice

Scenario: Instead of a cash refund, you want to offset the return value against an outstanding supplier invoice.

1. Finalize the consignment return document
2. Go to the Contra tab
3. Search for the outstanding supplier invoice
4. Apply the return amount as a contra offset
5. Save the contra entry

Bulk Finalization from Listing

You can finalize multiple draft documents directly from the listing without opening each one:

1. Go to the Consignment Return listing
2. Select the draft documents using the checkboxes
3. Click the FINAL button in the listing toolbar
4. Confirm the action

Frequently Asked Questions

Q: Can I edit a finalized consignment return?

A: No. Once a document is finalized, it is locked and cannot be edited. If corrections are needed, you must raise a new document or use contra/settlement adjustments.

Q: What is the difference between “KO For Purchase GRN” and “Search Item”?

A: Search Item lets you add any inventory item freely without linking to a source document. KO For Purchase GRN pulls items specifically from a Goods Received Note, creating a document link for traceability and preventing over-returning.

Q: What happens to stock when I finalize a consignment return?

A: The system automatically deducts the returned quantity from the selected warehouse location. The quantity signum for consignment returns is negative, so stock is reduced upon finalization.

Q: How do I track which invoices a consignment return has been applied against?

A: Use the Contra tab on the finalized document to view all contra entries, or use the Trace Document tab to see the complete document chain.

Q: Can I attach documents to a consignment return?

A: Yes. Use the Attachments tab (available in edit mode) to upload supporting documents such as return authorizations, inspection reports, or supplier correspondence.

Q: What settlement methods are supported?

A: The applet supports Bank Transfer, Cash, Cheque, Credit Card, e-Wallet, FPX e-Mandate, Payment Gateway, Membership Point Currency, Open Credit, and Others.

Q: Can multiple users work on the same document?

A: Draft documents can be accessed by users with the appropriate permissions. However, simultaneous editing is not supported. The last saved version will be retained.