Glen,
What you have noted is the standard process of Intercompany SO/PO in NAV. In fact, in BC its the same. Summary:
There are two types of intercompany: First is direct delivery, means the producing company delivers physically directly to the end customer, but in the system it’s company 1 -> company 2 -> end customer. This means, the goods are physically never in the warehouse of company 2. That's why the product receipt of the PO (company 2) and the delivery of the SO (company 2) can be posted automatically (drop shipment).
Type 2 is intercompany without direct delivery. In this case, company 1 sends the goods to company 2 and company 2 of course has to check manually which goods they received. Otherwise it could happen that your inventory does not match with your system anymore.
Typically the information sent through IC is the invoice, which creates a Purchase Invoice. The invoice would then be applied against the originating Purchase Order. The Purchase Order does not get received simply because the shipment happens. The system is assuming there is transit time, and that the receipt will be posted sometime after the shipment occurs.
Hope this helps.
Thanks,
Steve
