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Author's profile photo Tim Chang

Third Party Logistics in BYD using External Warehouses – An Overview Part 2 of 2

Welcome back – this is part 2 of my blog on how to use Third Party Logistics feature in BYD. 

To recap, I wrote about the business case on how this feature is used for your Order-to-Cash process for integrate the shipping of Sales Orders when you use external warehouses to ship for you.  There is a dedicated workcenter – Third-Party Logistics – and you can manage the Outbound (as in goods going outbound from the warehouses like order shipments), and Inbound (as in goods being received INTO the warehouse like items for a PO or customer returns to you).

Continuing on for the Procure-to-Pay side, 3PL has 3 web services or APIs to process incoming goods.  Your 3PL vendor will need to consume and respond to these 3 APIs.

These 3 web services are:

  1. RequestInboundDeliveryExecution (IDER) based on a PO
  2. InboundDeliveryReplicationOut (DDAN) based on the items of a PO.  It’s like the Advanced Shipment notification
  3. ProcessInboundDeliveryExecutionConfirmation (IDEC) – confirmation of 1 or 2.

When a PO is created and approved for items that will be received at the external warehouse, BYD will first call the webservice #1 to send a IDER message, so the external warehouse (aka 3PL warehouse) is aware of the PO.  As the PO vendor notifies the ship-date of the PO items,  BYD create the DDAN messages (webservice #2) to send to the external warehouse.  The 3PL warehouse will receive the actual goods in the PO, and send back IDEC (webservice #3) to confirm which items were received.

Below is an example of an IDEC message (from the documentation).  Each message is XML data, sent in a SOAP webservice call.

IDEC - Procure to Pay.png

This uses the request-response paradigm – similar to ODER + ODEC in part 1.

The end result of both sides of the 3PL integration – inbound and outbound processes – in BYD is that your sales order, inventory, AR and AP, and downstream business processes are maintained consistently.

Now I have provided an overview, let’s touch on the project side.  A 3PL project requires a good level of project planning, technical understanding, multiple test scenarios and end-to-end testing.  A seasoned expert is highly recommended, since the knowledge transfer will be needed for the 3PL vendor also – not just your own company.  The development workload is mostly the 3PL vendor side as their IT team needs to consume these webservices / APIs.  On the BYD side, the webservices are ready to be used and no coding is needed.

Lastly it should not be confused with Third Party Fulfillment feature, whose work center is right next to Third Party Logistics.

I welcome your feedback and questions on this feature.

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      Author's profile photo Thomas Kramer
      Thomas Kramer

      I have one question regarding the 3PL Interface. In order to start the customer return Scenario in 3PL, a customer return delivery notification has to be created. What different ways exist to create one of these? I know that there is the Manual way via the UI. This solution however is not really good, as our 3PL receives the goods and CR delivery notifications directly. For this, he would need to have ByD Access or even to fax the CR delivery notification to the Office to type it into the System. Is there a way, how the creation of the CR delivery notification could be created via Interfaces? Thanks, Thomas

      Author's profile photo Stefan Resag
      Stefan Resag

      Hello Thomas, currently there is no web service available to create a CR delivery notification. However what you could do is to create a web service via PDI based on the corresponding business object InboundDelivery. Best regards, Stefan

      Author's profile photo Alain Brégeon
      Alain Brégeon

      Hi Tim,

      we find no documentation for the 3PL.
      Do you have examples of queries to provide us?
      thanks in advance
      Best regards

      sap [at]

      Author's profile photo Stefan Resag
      Stefan Resag


      you can find more documentation in the following Wiki:

      Best regards,