Managing Intercompany Purchase Orders & Sales Orders in NetSuite

One of the benefits of using NetSuite for your organization is managing intercompany sales and billing transactions. You can create, manage, and eliminate intercompany transactions between the subsidiaries with minimal manual work to track the transactions and calculations of eliminations. To generate a paired intercompany transaction, follow the following steps:

Generate an intercompany purchase order.
1. Navigate to Transactions > Purchases/Vendors > Enter Purchase Orders.
2. In the Vendor field, select the subsidiary in which the purchase is occurring with in this intercompany transaction.
3. In the Subsidiary field, select the subsidiary that is purchasing the items/service.
4. Input any segments, such as Departments or Class, if they are being tracked.
5. Fill out any other mandatory information if needed, as marked by a red asterisk.
6. You will see the Intercompany Status field on the Purchase Order that the field will be set to “Pending”. Upon linking the Purchase Order to a Sales Order, the status will change to the linked transaction.
Generate an intercompany sales order.
1. Navigate to Transactions > Sales > Manage Intercompany Sales Orders.
2. Select a
  1. Note: To pair the transactions, the Customer of the Sales Order will be the Subsidiary from the Purchase Order.
3. Select a
  1. Select the Currency of the Purchase Order to pull up all Purchase Orders that were transacted in that Currency.
  2. This field will determine both the Currency the Purchase Order was transacted in, as well as the Currency of the Sales Order that will be generated.
4. Based on the filters set from the selections above, a list of Purchase Orders will pop up. Select the Purchase Order in which you want to create a paired Sales Order.
5. Click Generate Sales Order.
You will be brought to the Processed Intercompany Transactions Results page. You will the links to the Purchase Order and the paired Sales Order.

Upon generating the linked transaction, the status of the Intercompany Status on the Purchase Order and Sales Order will change to the link to the related transaction.