Material Management-Consignment

Question

What are the Business benifits for Stock Transfer(<b>STO</b>) on Cross-Company-Code  for <b><b>Consignmen</b>t</b> material?

Answer 1

Hi,
The basic benefits of STO will carry even for the consignment material like:--
•     A goods receipt can be planned in the receiving plant.
•     You can enter a vendor (transport vendor) in the stock transport order.
•     Delivery costs can be entered in the stock transport order.
•     The stock transfer order is part of MRP: Purchase requisitions that were created in MRP can be converted into stock transport orders.
•     The goods issue can be entered using a delivery via Shipping (LE-SHP).
•     The entire process can be monitored via the purchase order history.
Moreover wen you are using Cross comapny code sto then please note the following points:--
•     The quantity posted from the stock of the issuing plant is managed neither in the issuing plant nor in the receiving plant. Only once the goods receipt has been posted is the quantity posted to the unrestricted-use stock of the receiving plant. After the goods issue has been posted, the stock overview displays the quantity transferred as Stock in trans. CC. This stock is determined dynamically for stock balance display.
•     With this transfer posting, price determination is carried out in both Purchasing and Sales & Distribution (SD).
o     In Purchasing, the price of the material in question is determined in the usual manner (from the info record, for example).
o     In SD, pricing is also carried out as normal during the billing process.
•     The goods movements are valuated at the price determined in each case
Hope it helps you.
reward if useful
Rohit