Your endorsement is greatly appreciated with the ER as below.
It is quite common in fashion industry that the consignment stock is to be returned to the supplier once a consignment relationship ends with a supplier.
Business scenario is as follows:
It means that the stock is replenished to the warehouse as supplier's owned stock. (consignment stock)
Basically during the consignment agreement period, if the goods are sold to the customer, same quantity is purchased from supplier at same time. (PO gets created when the stock is issued to the customer.)
Sold stock can be returned from the customer. (This will be "our" stock.)
In case that some consignment stock are left, those stock will be just returned supplier without any AP, payment etc. when a consignment relationship ends.
However, it is not possible to return consignment stock to the supplier, and currently once a consignment relationship ends with a supplier, all consignment stock must be purchased by the customer.
When RO is entered to issue the consignment stock, M3 triggers a PO for consignment usage automatically. Therefore, there is no way to return supplier owned stock to the supplier.