Oracle JD Edwards ERP

JD Edwards 9.2 Enhancement – Retaining Ownership of Inventory While In Transit

Oracle recently add an enhancement for JD Edwards  application release 9.2 : Retaining Ownership of Inventory While In Transit. With this new functionality you can put goods in transit after ship confirmation without a Transportation Management License.


Many suppliers have a business process where they cannot invoice customers until the customer confirms delivery of the product, which completes the supplier’s performance obligation. The elapsed time between shipping and delivery can be as great as 60 days. With this business process, suppliers cannot recognize revenue until the invoice has been posted, which must occur after the performance obligation. Also during the in-transit period the shipping company continues to have legal ownership of the product until it has been accepted by the receiving customer. During this period, the value of in-transit inventory must remain on the balance sheet of the shipping company until the material is received and accepted by the customer. Invoicing and Sales Update processing must be delayed until the material is received and accepted at which time the legal ownership is transferred from the Supplier to the Customer.

NOTE: This functionality only works with JD Edwards application release 9.2 If your client / company runs a older version of JD Edwards and you have a requirement of In Transit inventory at Sales order processing JD Edwards Transportation Management will be an option.

For a case study and more information learn more at Oracle my support.

Ralph de Joode, Logistics & Distribution Consultant Cadran Consultancy