1. SAP Glossary
  2. Global Trade Management
  3. direct shipment


What is direct shipment in SAP LO-GT - Global Trade Management?


SAP Term: direct shipment


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  • Key Concepts: 
    Direct shipment is a feature of SAP's LO-GT Global Trade Management component that allows goods to be shipped directly from the supplier to the customer, bypassing the buyer's warehouse. This process is often used when goods need to be delivered quickly or when the buyer does not have the capacity to store them.
    
    How to Use It: 
    In order to use direct shipment, the buyer must first set up a direct shipment agreement with the supplier. This agreement should include details such as the terms of payment, delivery times, and any other relevant information. Once the agreement is in place, the buyer can then place orders with the supplier and specify that they should be shipped directly to the customer. The supplier will then ship the goods directly to the customer, bypassing the buyer's warehouse.
    
    Tips & Tricks: 
    When setting up a direct shipment agreement, it is important to ensure that all parties are aware of their responsibilities and obligations. It is also important to ensure that all necessary paperwork is completed correctly and on time in order to avoid any delays or problems with customs clearance.
    
    Related Information: 
    Direct shipment is just one of many features offered by SAP's LO-GT Global Trade Management component. Other features include customs clearance, export control, and compliance management. For more information about these features, please visit SAP's website.
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