Want to expand your product range without overloading your warehouse or tying up working capital? Do you work with seasonal goods or products with unpredictable demand? Consignment might be the solution — a model that lets you store and sell products without purchasing them upfront. And with Odoo 18, managing consigned inventory becomes even easier. And with Odoo 18, managing consigned inventory becomes even easier.
Want to know what else is new in Odoo 18? Check out our overview of key improvements in inventory management here: Odoo 18 Inventory Management Enhancements.
In this article, we explain how consignment works and why it’s a smart solution for retail networks, manufacturers, and distributors.
What Is Consignment?
Consignment means that products are stored in your warehouse but legally remain the property of the supplier. You sell them to customers, and only pay the supplier for the items you’ve actually sold.
This model is convenient when:
- You don’t want to invest in stock;
- You want to test new products with minimal risk;
- You’re dealing with seasonal or perishable goods.
Benefits of Managing Consignment in Odoo
Odoo 18 provides all the tools you need to manage consigned products efficiently, automatically, and at scale. Here are the key advantages:
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Multiple Supplier Management
Track products from different suppliers in a single interface. This helps avoid confusion, control inventory levels, and analyze sales by supplier with ease. -
Consignment Inventory Tracking
Avoid both shortages and overstock. See exactly what’s in stock, how it’s selling, and when it’s time to return unsold items. -
Consignment Order Management
Receiving, storing, and selling processes are automated — less manual work, fewer errors, and greater efficiency. -
Automated Invoicing
Odoo can auto-generate invoices, send payment reminders, and track payment statuses — improving your cash flow and reducing delays. -
Analytics & Reporting
Get detailed reports on stock levels, products, ownership, and consignment performance. Make data-driven decisions instead of relying on guesswork. -
Customer Management
Track order history, preferences, and contact details for your buyers. This enhances customer service and loyalty. -
Product Management
Monitor pricing, inventory, and profitability of each consigned product. Work with real-time data instead of assumptions. -
Risk Minimization
Didn’t sell? Return it. With Odoo, it’s easy — the system tracks ownership per supplier, making returns quick and loss-free. -
Operation Import
Upload consignment transactions via CSV or XLSX files — saving time, reducing errors, and streamlining processes.
How to Enable and Use Consignment in Odoo 18
To work with consignment in Odoo 18, you’ll need to configure a few settings and follow the correct procedures.
1. Enabling Consignment: Turn on Multi-Owner
- Go to Inventory → Settings → Configuration
- Check the Multi-Owner option — this allows the system to track ownership of every product unit, which is critical for consignment.
Result: Your system will accurately know who owns each item in your warehouse, ensuring transparent and reliable tracking.
2. Add the Consignment Supplier
- Go to Purchasing → Vendors
- Create a new supplier or choose an existing one who will be the legal owner of the consigned goods.
Result: The consignment supplier will be properly registered, and their products can be tracked by ownership in the system.
3. Receiving Consigned Goods
Go to Inventory → Operations → Receipts → Create
- In Receive From, select the supplier.
- In Assign Owner, select the same supplier (this is critical).
- Add products using the Add a Line button.
- Enter the actual received quantity under the Done column.
- Click Validate.
After confirmation, the goods appear in stock but legally still belong to the supplier — so no payment is made yet.
Result: Consigned goods are correctly recorded in your warehouse, with accurate ownership and no financial obligation.
4. Selling or Using Consigned Products
If the product has the Can Be Sold option enabled:
- Go to Sales → Orders → Create
- Choose the customer (not the supplier).
- Add the consigned product to the order.
- Confirm the order and complete the delivery (Validate Delivery).
Once the delivery is validated, the product officially leaves your warehouse and is transferred to the customer. Odoo updates inventory and logs the usage for supplier invoicing.
Result: You accurately track consignment sales and can invoice the supplier based on actual usage.
5. Reporting and Analytics for Consignment
-
Stock Reports:
Go to Inventory → Reporting → Inventory Report
Group by Owner to see product ownership at a glance. -
Product Movement Tracking:
Inventory → Reporting → Product Moves
Monitor movement, quantities, and ownership. -
Stock Valuation:
Inventory → Reporting → Stock Valuation
Consigned products don’t affect your asset value.
Result: You get clear and accurate consignment reporting — essential for managing inventory and finances.
You can also refer to Odoo’s official documentation on consignment setup for step-by-step instructions and examples: Odoo 18 Consignment Setup Guide
Bonus: Automating Consignment Payments
Set up automatic replenishment rules or blanket orders based on the actual use of consigned goods.
Why Use Odoo for Consignment?
- Minimal risk — unsold products can be returned to the supplier.
- Flexible inventory control — no need to pre-purchase stock.
- Automation — Odoo tracks ownership, movements, and balances for you.
- One-click analytics — see which suppliers or products perform best.
- Multi-supplier support — easy to scale operations.
Thinking About Implementing a Consignment Model?
Consignment is a powerful tool for optimizing inventory, reducing risk, and expanding your product line quickly. But to make it truly efficient, every process needs to be properly configured in your ERP — from receiving and tracking to reporting and billing.
At Solvve, we’ve been implementing Odoo ERP since 2014 and help businesses across industries switch to smarter warehouse models — including consignment.
We will:
- Define a clear supplier interaction flow;
- Set up consignment operations, storage, and tracking rules;
- Build user-friendly reports by owner, stock, and profitability;
- Automate billing, invoicing, and returns;
- Train your team to confidently manage the new process.
You’ll get a fully operational system where:
- Your team works error-free and with confidence;
- Your warehouse is always under control — by product and by owner;
- Sales are transparent, smooth, and profitable.
Ready to Implement Consignment in Odoo or Have Questions?
Get in touch — and our experts will help tailor the model to your business needs.