This blog is related to Setups and Steps required for Internal Sales order

What is internal sales order?

A request within your company for goods or services. An internal sales order originates
from an employee or from another process as a requisition, such as inventory or
manufacturing, and becomes an internal sales order when the information is transferred
from Purchasing to Order Management. Also known as internal requisition or purchase
requisition.

Oracle Purchasing uses Order Import to transfer requisitions for internally sourced
products to Order Management. Once imported, the internal sales orders are processed
similar to regular sales orders.

Note: You can create requisitions (with same number) in two different operating units.

• You can partially or fully cancel the line quantities on internal sales orders.
• You can make the following attribute changes after an internal sales order has been
generated:
o Update Scheduled Shipment Date
o Decrement order line quantity
Note: If you cancel an internal sales order, order line, or backordered order line that is linked to
an internal requisition, manually cancel the internal requisition. The order cancel
Processing issues a reminder.

Test Case –
Item – IR Item004
Assign to Inventory Org M1 and M2
Create Requisition with Destination Org M1 and Source Org M2.
Create Internal Sales Order in M2

1# Create Item IR Item4 , with “Purchased Item” as template.

2# Mark Item as Internal Order Enabled.

3# Assign Item to M1 and M2 Inventory Orgs.

4# Define Cost for Item Navigation >Costs >Item Costs

5# Update the cost
Navigation > Costs >Update Standard Costs> Update Cost
6# Set the Internal Order Setup at Customer Ship To Site.
7# Define Shipping Network setup Between M1 and M2.
Inventory > Setup > Organization > shipping Network
\

8# Define Purchasing Option Setup for Internal requisition Order Type & Internal requisition Order
Source.

9#Create & Approve Requisition

Save and Approve Requisition

10#Submit “Create Internal Order” Concurrent program.

Reports, Requests > Run Requests > Create Internal Sales Orders
11#Submit Order Import

Query for Sales Order based on requisition Number.

12# Progress the Sales Order from Awaiting Shipping to Close.