Loss in transit

Hi Experts,
Please explain how to handle loss in transit we will have to pay full inv. amount and also please note we have to claim insurance for the lost material.
is there any procedure for special stock to handle the same ?
Regards,
Manish Jain

If Quality Inspection avilable , and 100 Ea is the Qty and 10 tranfer lost .While doing UD accept 90 only and make 10 move to new Storage location (loss SL) or change mat to mat ( make a mat code with Only Qty available and No FI ) so that it wont hit your Balance sheet Nor your asset value.
Now raise Dr note for vendor for 10 EA .so that u can easily trachk Material and its FI implication all done well .
For insurance  reimburesment ,
extend the loss mat code view to sales (sales area) , Now make a customer as Insurance also Payee as Agent (as business suggest )
Do a delivery and sales Billing
Payment recipt is received
Whole process is Elaborated well . Hey you need to give treat
Have a nice day

Similar Messages

  • Config stock qty book as Loss in transit

    Sir,
    My issue is
    Material which is taking stock transfer is non valuated but excisable .
    that means we have to see only qty aspect.
    Now we are issuing non valuated material from one PlantA to other PlantB
    *Plant A Material register show that Issuing of 100 qty.
    After one days our another Plant B is receiving 90 qty.
    CIN capturning is taken place as 90 qty as material is excisable in Plant B.
    In Plant A CIN i.e J1in took place on 100 qty.
    Now the issue is that we are creating cenvat payable on 100 qty in Plant A  where as in Plant B cenvat receivable on 90 qty.
    that means we are liable to pay excise duty on 10 qty on stock transfer.
    Again If we see overall stock register 100 qty is issued (As Plant A side) and 90 qty is received ( As Plant B side) .
    Hence overall there is shortage of 10 qty as overall companys stock register.
    Now we want to configure keeping point of said scenario so that I can book 10 qty as normal loss in transit.
    Regards
    Pari

    Dear Kunal,
    90 qty received is not the issue.
    Already we are able to receive 90 qty at Plant B side
    Issue is taking stock as whole comapany  = -100+90 = -10
    That is not possible becasue it must be positive or zero.
    It is possible only when you are able to pass 10 qty as loss in transit.
    Plant A is liable to pay excise duty on  100qty@ 70 = 7000
      Plant B can take credit on 90qty @ 70= 6300
    That means company as whole Dutypayble = 7000
                                               Dutyreceivable= 6300
                       Loss as Excise duty on stock transfer= 700
    Regards
    Pari

  • Issue in Stock transfer

    Hi
    We have an issue in Stock Transfer. the Stock transfer happens between a manufacturing plant which is excise registered and a depot, which is not excise registered. We raise a Stock Transfer order from the depot on manufacturing plant with a freight component. The system creates a freight provision in the depot, when the goods issue is done by the manufacturing plant against the stock Transfer Order. After the goods issue the material is shown in Transit in report MB5T until the same is recieved by the depot. However, some goods are lost in transit and the same is recovered from the freight vendor. In such a case, we do a MIGO for the actual quantity recieved at depot and pass a debit note to vendor by loading the difference to material.
    The issue is:
    1. the quantity and the value of the physical inventory recieved have been rectified by a recovery from the vendor.
    2. However, how can we remove the goods, which we have short recieved from the report MB5T
    The certain work around  we have thought could be :
    1.  Receive the quantity in full at the recieveing Depot and then scrap the material to the extent it has been received short through M Type 551. However, the issue arises in case of transfer of goods from one manufacturing plant to another, where in both are excise registered. In such a case, goods receipt in full would not be correct as it would raise issues in excise registers.
    Please suggest
    Regards
    Sanil K Bhandari

    Hi,
    One suggestion is you can pass a document through MB1A for material loss in transit for the mateial lost.
    Followign accounting Entry would be hit :
    Transporter shrinkage Clearing Dr
    to Inventory Raw Mateial          Cr
    You can pass the same document through Mvt. Type 951 (GI Lost in Transit).
    Thanks & Regards,
    Taral Patel

  • Price difference due to changed POD qty how to account for this ?

    Hi Gurus,
    I am having delivering goods after activating POD at item level and customer master. My delivery document the qty is 10 tons , Due to pilferage transportation loss etc the qty is reduced to  9.5 tons. After confirming POD , i am billing for 9.5 tons. The difference of 0.5 ton how to account. I am also maintianing the VPRS condition in my pricing procedure. How does it affect my costing ?how to do the price diference posting and where?

    Check the following SDN thread:
    - Re: Accounting Entry for Loss in Transit.
    Regards
    JP

  • Prblem In Transportation Module

    Hi Friends,
    I am working on Transportation module , following the flow i.e
    SO-DO-Creating Ship.Doc-PGI-Creating Shp.cost.doc-Invoice
    Please guide me for following points.
    1. Whether this flow is correct or not.
    2. I have problem in G/L Account for transportation because it shows  Account assignment not completed status in cost doc.
    3. In our project client want to do service contract with transporter , for this what I have to do.
    3. There is any facility for shortage of materil during transit.
    4. If anyone have IMP doc. please send me on my ID
    [email protected]
    if necessary provide ur ID , so i can forword u screen shots whether i am getting problem.
    waitng for your reply GURUS
    Devdatta

    Dear Mr Joshi,
    1. Whether this flow is correct or not.
    It is perfectly suitable, but in case of a cancellation, an additional step is required.  So it is suggested that the shipment document be carried out after the goods have reached the destination.
    2.   I have problem in G/L Account for transportation because it shows Account assignment not completed status in cost doc.
    Could we kindly verify if the transportation vendor number is part of the shipment cost document.
    3. There is any facility for shortage of materil during transit.
    Currently in SAP there is no provision to raise a financial recovery entry on a transportation contractor for losses in transit.
    Trust I clarify.
    Regards,
    K Gopidas.

  • STO from one plant to another plant of same company code

    Hi Friends,
    I have one specific scenario to map in SAP.
    I am transfering gaseous material from PLANT 1 to PLANT 2 thru' STO delivery. PGI has done for Qty 18 MT from PLANT 1. GR against STO at PLANT 2, here GR qty 17.5 (actual) remaining 0.50 MT is not getting discharged as it is in vapour form. This short receipt quantity will go back to PLANT 1 and there it will be treated as truck recovery. When the next delivery will take place they will create the billing document for 18 MT again but in actual the truck will be loaded with 17.5 MT.
    How to adjust In Transit stock of 0.50 MT? What will be the excise treatment for the same?
    Looking forward to your valuable and early response please.
    Regards,
    Ravi

    Hi,
    The goods which are loss in transit , you can follow it by scraping or do a physical count .
    Receive Qty 18 MT  with 101, then scrap 0.50 MT with 551. 
    OR
    Receive Qty 18 MT   with 101, then do a physical count and post the difference.
    OR
    Donu2019t receive Qty 18 MT   ; let the issuing plant cancel the goods issue. And redo with the correct quantity Qty 17.5 MT   . Then receive this correct quantity.
    Regards,
    Biju K
    Edited by: Bijay Kumar Barik on Aug 3, 2009 9:31 AM

  • Multiple Queries for sales

    Hello Gurus,
    I have multiple queries for SD, Kindly help me out.
    1: We send 50 quantities to client using (Post Goods issue) and when client receives the material he says their are only 48 quantities and 2 quantities are missing. I this scenario what we suppose to do , If i send my client 2 more quantities then my store shows 52.
    2: We have 3 stores and we are using MTO scenario when client calls us for finish goods we select store 100 in sales order after production our production department send some finished goods in store 100 some in 200 and the remaining in 300. now in this scenario what i suppose to do when i create delivery with respect to Sales order it shows store 100.
    3: Unit Conversion Client ask for 54500 small boxes , I make Sales order of small boxes but when i make delivery it shows like this
                       Description                   TYPE                      UNIT Packing Quantity
               finish goods small boxes     MasterBox(Big Box)      109(small box)      500           54500
    Means in 1 Big Box i have to Pack 500 Small boxes and deliver to my client . Now 109 Big Boxes Multiply 500 small Boxes = 54500
    Regards

    1: We send 50 quantities to client using (Post Goods issue) and when client receives the material he says their are only 48 quantities and 2 quantities are missing. I this scenario what we suppose to do , If i send my client 2 more quantities then my store shows 52.
    Book that a loss in transit for 2 quantities & do subsequent delivery free of charge for the new 2 quantities.
    3: Unit Conversion Client ask for 54500 small boxes , I make Sales order of small boxes but when i make delivery it shows like this
    Description TYPE UNIT Packing Quantity
    finish goods small boxes MasterBox(Big Box) 109(small box) 500 54500
    I assume you are not using handling units for this scenario.
    Refer following w/o handling units.
    You need 2 separate UoM for Big & Small Box.
    Say
    Small Box
    ZSB
    |Big Box|ZBB|
    Use UoM Box as reference
    In material master - Additional Data - Units of Measure, maintain
    100
    ZSB
    Small Box
    <=>
    1
    ZBB
    Big Box
    And also,
    In Sales:Sales Org1, General Data
    Base Unit of Measure
    ZSB
    Sales unit
    ZBB
    Regards
    JP

  • How to make entry for transit loss in the system

    Hello to all,
    I am having an issue with one subCon material.
    Suppose,
    Material A is the product required of 3000 MT Qty.
    SubCon vendor have sent that qty, but there is a transit loss of 500 MT.
    How to make entry for this transit loss in the system.
    regards,
    Anisha

    correct me if i am wrong-
    ur scenario is
    for making material A ,
    3000 MT of material B required.
    but for producing A vendor uses 3500MT of B
    solution : if this ia the case then u can overwrite the value of B at GRN from 3000MT to 3500MT.
    OR
    ur scenario is -
    u require material A of 3000MT
    vendor sends u 3000MT
    but actualy u recieve 2500MT
    and u have to pay for 3000MT as per bill
    solution : if this is ur scenario then.
    prerequisite-activate direct posting to G/L and material at MIRO
    Path - SPRO->MM->LIV->activate direct posting to G/L and material at MIRO.
    now procedure is -
    step 1) do GR for 2500MT
    step2) in LIV pay to vendor for 3000MT for that put 500 qty in material tab and the relavent amount.
    in this way loss in transite will be book on inventory.
    regards,
    sujit

  • In Transit Loss

    I have scenario in Intra Company Stock Transfer where supplying plant send the stock of 50 tonnes but there is intransit loss of 5 tonns.The receiving plant receives the material of 45 tonnes.
    I need to scrap the stock of 5 tonnes which is intransit loss.I am not able to use movement type 551 for scrapping in transit stock .
    Any idea how to scrap the stock in Transit.
    Regards
    Vaibhav Mahajan

    Hi,
    You can not make stock in  transit  to scrap unless untill it is recieved in the recieving plant.You have to recieve all the material first through MVT 101 and put it into Unrestricted stock .Then after issue the lost quantity into scrap through MVT 551,You have to put cost center as well as reason of scrapping.You can use MVT 553 (issue to scrapping from quality stck) or MVT 555(issue to scrapping from blocked stock)
    Hope this will help you.
    Thanks
    Dina

  • How to take care of Transit loss / damange while cration Goods Receipt?

    Hi All,
    I have a business requirement to capture the transit loss / damange in a seprate GL then on Inventory while doing Goods Receipt
    e.g. vendor despatched 100 qty but at Plant they have recd 95 qty. 5 qty were loss due to any reason where i have to pay to vendor for 100 but at the same time inventory has to be increased with 5 quantity.
    Help to cater to the above business requirement.
    Thank You.
    Regards,
    DS

    if 5 qty not at all received
    If not received then I don't think you are going to pay for 100, you have to process for 95 only. but then also if you want to book for 100 then follow the same procedure as mentioned below.
    second if 5 qty received in complete non usable condition...
    Option 1: Want to update excise with 100 qty,
    Do GRN for 100, Do MIRO for 100, Scrap 5 by 551 Mvt.
    Option 2: Want to update excise for 95 qty,
    Do GRN for 95 with excise entry, Do seperate GRN for 5 qty with No excise entry, Do Miro for 100, Scrap 5 by 551 Mvt.

  • Pipe Line Sales Of Chemicals- Transit Loss

    Hi Experts
    Following is a scenario that we need to map in sap:
    Our client is a chemical company and is supplying a few products through pipelines.
    Now the issue is that the company claims to supply X amount of the product but the customer claims to have recieved less amount say Y.
    We need to make the sales order for X and invoice for Y the difference has to be captured somewhere as a transit loss.
    Using a Credit Note is not acceptable to the client.
    Kindly suggest how best we can map this.
    Regards
    Suchait

    Hi
    I am not very sure as your scenario is of Pipeline Material, however you can try the concept of POD.
    Search the forum with POD string and you will get lots of document related to this.
    Regards
    Amitesh Anand

  • Stock in transit loss

    Hello All,
    Suppose i order for 100 kg material from vendor A...But wen i received the goods it is 95 kg of material...
    But i will do the invoice for full 100 kg material.
    Now somewhere i will have to adjust the 5 kg of material for accounting entries...
    So how to map this scenario in SAP..?
    How the accounting entries will be...??
    1.should i go with MB1A.mov type 561-withdrawl for scrapping-it is gng to any/gain or loss account
    2. or should i make new mov type as a stock in transit loss and connect it with new gl account as per user requirement..
    plz suggest me regarding above situations or suggest new one..
    regards
    Nainesh

    Hi,
    Do Invoice reduction.
    Use
    This function is best used for vendors that often send overpriced invoices.
    Reducing an invoice usually means more work for you. The vendor will usually have queries about why an invoice was reduced or will send an invoice for the difference.
    Before you use total-based invoice reduction, you should carefully consider:
    Which vendors you can use the total-based invoice reduction function for
    Whether you can be really sure that the difference is due to a vendor error
    Cases in which manual invoice reduction would be more appropriate
    Whether total-based acceptance would not be better than total-based invoice reduction for small differences, in cases where the costs of searching for the error are greater than the gain.
    Prerequisites
    You only use total-based invoice reduction when all of the following conditions are fulfilled:
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    You have not reduced the invoice manually.
    You have not yet accepted the difference in the invoice manually.
    The difference exceeds the positive small difference set in Customizing for Logistics Invoice Verification.
    An invoice reduction tolerance has been set for the vendor and company code in Customizing for Logistics Invoice Verification.
    The difference lies within the invoice reduction tolerance limits set.
    Features
    This function automatically generates a credit memo when an invoice is posted. As a result, the vendor is only paid for the amount minus the invoice reduction. The vendor receives a letter of complaint detailing why the invoice was reduced.
    This letter of complaint does not, however, contain any information on which items were reduced, since invoices are only reduced automatically at header level and not at item level.
    When an invoice is posted with total-based invoice reduction, the system posts the amount invoiced that you entered to the vendor account. In addition to the other postings, it also creates a posting line for the difference and posts it to the "invoice reduction clearing account". In addition to the invoice, the system also posts a credit memo to clear the balance on the "invoice reduction clearing account". The offsetting entry is posted to the vendor account. The invoice and credit memo together amount to the open item on the vendor account that is to be paid.
    It will solve your issue.
    Uts
    Award if helpfull

  • Material loss in stock transfer

    Dear All
    can you please suggest how to compensate / adjust the material loss in stock transfer for
    1) inter copany stock transfer
    2) intra company stock transfer
    Regards
    Nil

    HI
    material loss in intra company
    please do the good reciept angainst the purchase order in reciving plant for the material actually recived at your end and for the material which has been lost in transit recive that one with movement type 103 and now you can do the return delivery for the same via 124 so that issuing plant cn scrap that quanityt at there end as they need to bear the cost becuase material was lost from there end
    or u can also go this way that recive the material in full by 101 movement type and then scrap the material which is lost in reciving plant

  • Record Loss While posting GRN for subcontracting

    Hello folks!
    I am implementing subcontracting procedure for business. The issue arises at the time of GRN. If the quantity of received material is less than that in SC Purchase order, how to do its GRN and how is this loss will be recorded in SAP.
    For example i have made SC purchase order of a material A with quantity "5 pcs" , the quantity received is "2pcs". At the time GRN how is this scenario handled and how to view this loss in reporting.
    - Regards
    Sahar Khalid

    >
    Sahar Khalid wrote:
    > What if the GI is done before GRN and we transer 5 components to produce 5finished goods. But at the time GRN we receive lesser quantity lets say "2" but the components have already been issued as "5". System allows you to GRN receive stock as 2 and consume component as 5.
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  • Movement type for transfer of stock from Stock-in-transit to Vendor

    Hello,
    Is there any movement type for transfer of stock from Stock-in-transit to Vendor.
    For internal transfer from Plant to Plant we follow Purchase Requisition -> Stock Transfer Order (PO – Modified) -> Delivery (VL04) -> MIGO (Goods Receipt against Delivery) method.
    The problem arises when the actual delivery quantity is less then what is entered in the system (due to clerical error). That is, physically less quantity were dispatched and received at the receiving plant. Now the balance quantity is lying as stock-in-transit. To clear it we are receiving the material and using transfer posting for plant to plant transfer. Though physically there is no transfer of goods. Now we do not want to receive the material instead we want it to transfer from stock in transit to the supplying plant. Is it possible ?
    Thanks.
    Ashish

    Hi Ashish,
    When You issue the stock,  the accounting document is posted . There is no accounting entires when you do Goods receipt at receving plant . In case , we are developing to make it happen , I feel it may have impact on the Material Valuation aspects .
    Hence, I feel it is better to adopt any of the following 2 options.
    1) Cancellation of the entire delivery and make new delivery   or 2) Receive the entire qty  at the receiving plant and decide what you want to do with the unavl  qty . For example in your case of loss of material due to accident , you can scrap the material in the receving plant itself  or return the material back to the sending plant.
    Regards
    Mani

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