Reconcilation problem in sub-contracting scenario

Hai,
In sub-contracting process
after receiving GR, i have gone for challana reconcilation, where i am getting one error "challana material number is different from material document.
please help me out

hi
plz check ur fiscal year
what ur using
ask ur fi consultant
regards
kunal

Similar Messages

Internal Sub-Contracting Scenario

Hai Friends,
Please explain me the scenario of internal sub-contracting process.
What is the settings required in SAP ?

Hi Parachuri,
    The Subcontracting process is used for the processing of the material components issued to s Subcontracting vendor, inorder to manufacture a product.
Process cycle:
1. PO creation
Use item category--> L
Taxcode --> zero taxcode
Enter the components of the material manually, if the product material doesn't have the BOM created.
2. Transfer posting to issue the material to the subcontracting vendor. Tcode--> MB1B
USE MVT. TYPE --> 541
POST THE DOCUMENT
3. FOR EXCISEBLE MATERIAL,CREATE A SUBCONTRACTING CHALLAN USING TCODE --> J1IS AND W/ REF TO THE TRANSFER POSTED DOC. NUMBER.
4. GOODS RECEIPT
NORMAL GR WITH REF. TO PO AND MVT. TYPE 101, ENTER THE RELEVANT CHALLAN # IN THE POPUP WINDOW.
5. TCODE--> J1IFQ
   RECONCILE THE QTY.
6. TCODE--> J1IF13
   COMPLETE THE CONFIRMATION PROCESS OF THE RECONCILED QTY.
7. TCODE--> MIRO
   INVOICE PAYMENT FOR THE VENDOR
Thanks & Regards,
Amjad

Sub contracting scenarios

Hi gurus,
I have a question on Sub contracting.
My present scenario is---
-I have CD which have some content in that.when I go for printing of that content,I will give that CD to the vendor and i will ask him to print 100 books.In this case the CD has to be tracked when ever this is given to the vendor for printing.
-In sub contracting we give raw materials to the vendor.the vendor converts the raw material in to finished good.
Here in my scenario if I treat the CD as raw material then at the time of goods reciept i will recieve the fininshed goods as printed books and what will happen about the CD.My requirement is to get back the CD aswell and the value of that cd has to be updated in the GL A/C.
Can any body suggest me which scenario it will work and tell me the process stepts.
Sri devi.

step1 goto tcode cs01 and create a BOM material will be cd only as parent as well child one.
step2 create info record for sub contracting category in me11
step3 create Po with 2 line item 1 for cd item category L
and 2nd for the service you are incurring.
for accounting u need to test it your self . if you feel that 2nd line item is not required then u can skip this one.
step4 issue cd to vendor
step 5 do GR against this PO
please run and test scenerio to get an insight
well i am also learning sap..............

Sub Contracting scenario - Material Lost

Hi Experts,
Material is issued to the vendor against the sub-contracting purchase order. The material is lost in the vendor premises.
How to deal with this scenario
Thanks
Tanvi Sunil

Hi,
I think you should negotiate with the vendor who covers the loss - if your vendor pays they can issue a credit memo.
As for stock adjustment you should consider:
- MB1A / MIGO + 551O
- physical inventory
- take components back to your site by MB1B + 542 and scrap it (MB1A + 551) or adjust stock level via physical inventory project
Regards,
Csaba

Trading with Sub-Contracting Scenario

Dear All,
I have one requirement of Traded Material Scenario, where the material is delivered by Sub-Contractor directly to Customer.
The details are -
Sub-Contractor delivers material A to customer.
The material A has BOM maintained, where component B is maintained in the BOM.
My company purchases B from another Vendor & which is again directly supplied to Sub-Contractor. Sub-Contractor processes the component B to manufacture material A & delivers the same to my Customer.
The following issues need to be addressed -
1) Item category is L in Sub-Contracting, where as it is S in Third Party scenario. How can I have two item categories in same line item of Order.
2) Excise paid by Vendor (supplier of component B) can be availed by Sub-Contractor as set-off & I have to debit the same to Sub-Contractor, as payment to Vendor for component B is done by me.
3) Excise paid by Sub-Contractor is to be inventorized at my end (as it is cost to me) & can be availed for set-off by the customer.
Can anybody has any input for this?
Regards,
Prashant

I think this process was earlier called as 52 A operations.
This is what we had done 52A did not have requirement of jobwork challan)
1: Create the Subcontractor' Location as a "non excisable-Plant " in SAP.( The subcontract vendor was supposed to maintain his own excise records)
2.PO for raw material /Component will be raised from Subcon Plant .
3.The Excise in the PO will have to be configured as a Condition similar to VAT Deductible(so that during MIRO it is sent to another GL account for tracking and further FI-debit note to recover from jobworker )
4. The Production of the Main FG can be shown by Subcontracting PO .
5. There has to be another Virtual Plant ( A RG23D registerd depot normally) which will depict your companys local office near the Subcontractors Location , as the Final SALES Invoice should be from your companys Name.
6. Goods will first be sent by a STO to this Virtual Plant , here in This STO you can also add the Excise Duty condition types for Inventorization purpose.
7. Create Sales Invoice (and if RD23D then Depot invoice) from your Virtual Plant .( Excise invoice will be created by the subcontracting vendor , against which your customer can claim Modvat)
I have mentioned the Process above , for config settings of each process you can check many threads here in SDN.

Interplant sub-contracting scenario

hi,
how to set-up inter-plant sub-contracting.
from plant-1 materials will be sent to plant 2.
In plant -2 processing will be done and send back the finished goods along with scrap if any to plant-1.
pl explain the scenario in detail - step by step (with T,codes) if u know the solution.
thanks
mohan

In plant A for material M1 (finish) define with special procurement key (stock transfer from plant B) in MRP2 view from plant B. (If it is MRP relevant)
I am sure you know the config of Stock transfer
Create the sub contracting PO as like out side vendor for plant B (make sure you have created the Plant B as vendor also and plant A is customer also and all config has been done for STO.) with second line item for the scrap if you are systematically do otherwise just receive with 501 movement
Then follow the same process as regular sub contracting process

Regarding Sub-contracting Scenario

Hi Experts,
I had scenario in Sub-contracting, Im purchasing the raw material from X vendor and send the same material to the sub-contracting vendor- Y for drilling the material. After receiving the Main Component (material) from the sub-contracting vendor- Y, we are doing the quality check. Now the material is in damaged, I want to send the damaged material to the X vendor (ie. To the purchasing vendor). How to do that?
Regards,
Sudhakar

Hi Sudhakar,
What's your opinion about this:
1.
You received materialB from vendor 'Y'. It is damaged > you can send back the goods via MVT 122 (component materialA that is purchased from vendor 'X' will go back by MVT 544 to vendor 'Y').
2.
Then you can book materialA in MB1B from vendor'Y' to your plant and then from your site you can make a return delivery (MVT 122 refering to the original PO / or MVT 161 w/o PO ref.) and send the goods to your vendor.
3.
Then you can get materialA of good quality from vendor 'X' and send it to vendor 'Y' and get materialB of good quality from vendor 'Y'
This process is when the damage is due to vendor 'X'. If the damage was made by vendor 'Y' you can apply process 1 and scrap materialA from the special stock of vendor 'Y' and ask them to pay for the damaged goods (you have to negotiate how to handle this issue).
What is the real physical process? We should know it to be able to give a good hint.
BR
Csaba

Sub-contracting scenario

Dear Gurus,
We have two manufacturing units,one is an EOU(Export oriented Unit) and the other NON EOU unit.
We get an export order (subcontracting order) for the EOU from a client in country X. Some of the processing is done in the EOU, and then sent to the Non-EOU.
How can I map the material movement between the two units?
Note: The material is maintained as a non-valuated material in both the plants. Since it is maintained as non-valuated, we cannot create a sub-contracting PO when sending the material from EOU to Non-EOU plant.
Regards
Ram

Hi,
I think you are speaking about two subconracting POs:
- one subcontracting PO was issued by your client to your company
- second subcontracting PO is becasue your company manages the production between the business units --> I think you are asking about this
Do the business units belong to the same company code (intra-company process)? If yes, there's no point in speaking about subcontracting.
Re: plant to plant subcontract
Even if it is inter-company (cross-company) process you shoul be able to send non valuated material (component) to special stock (OSS note 80267) via subcontracting PO or you can use STO (as in case of intra-company).
Please specify your question if my answer is not relevant.
Regards,
Csaba

Out and Out Sub Contracting scenario

the process is :
1) Create Standard PO for component material on Vendor A (in delivery address tab, entering Sub con vendor with tick)
2) Now doing GRN for the above PO, the material is received directly at vendor location.
3) Sub Con PO is created on the subcon vendor.
4) As the component material is already with sub contractor no transfer posting (541) is done .
5) Now we have to create sub contracting challan (J1IF01) which will go to subcontractor from the plant.
6) Now the issue is with what reference shall i create subcon challan in J1IF01.
System allows J1IF01 with ref to transfer posting doc only.
Please suggest.

As material is directly going to subcontractor from vendor, you don't need to create 57F4 challan for the same.
Challan needs to be generated if material is going from your premises.
If you want to provide the challan to your subcontractor, then you have to take the raw material into your premises first(MIGO), then MB1b-541 & then J1IF01.
Regards,
Piyush

Sub contracting scenario:- G/L accounts updation..........?

Hai every body,
Q) can any body tell me which G/L accounts get updated in subcontracting scenario?during Goods receipt, goods issue, Invoice.
Points will be rewarded.
Rgds,
K.Praveen

hi,
There are basically 6 accounts hit in a SC scenario.
1.     BSX- Inventory Posting of Finished Products Debit
2.     WRX- GR/IR Account Credit
3.     BSV/GBB/VBR- Inventory Change WIP Account Credit
4.     FRL- Purchased Services (Vendor Account) Debit
5.     BSX- Inventory Posting Raw Material Credit
6.             BSV/GBB- Raw Material Consumption Account Debit
Reward if useful.

Problem during sub-contracting

Dear Experts,
My client is making a finished product after 9 Operations, In which first and last 3 operations are in-house operations.
Middle 3 operations are performed in sub-contractor's place at 3 different work centers.
The client wants to track the "qty after each operation" at the sub-contractor's place. They also want to do the capacity planning of the sub-contractor's work centers, to make the further processes smooth.
Thanks in Advance.
Regards
Balamurugan.VP

Dear all,
Thanks for your replies.
Dear prasobh, 1. can u please explain me how to create the subcontract entity as Plant,
2. there are 3 operations performed at sub-contractor's place, so should i need to create 4 different materials and production orders respectively?
3.For 4 type of materials, i will have to create 4 routings, in the routing i need to put PP02 as the control key, so for everytime if i enter it is asking the subcontractor details,
I will send the material once and get it after the 3 operations, can anyone please tell me the detailed process.
Thanks & regards
Balamurugan.VP

Sub Contracting Problem.....

Hi.....
I have a problem in sub-contracting process. If the Row material quality is poor and issued to subcontractor then how I can exchange the issued material from the sub-contractor to row material vendor. please guide me what steps used for that..........
Thanks.

Do you use ME application for which this forum is tailored?

Issues in sub-contracting

in subcontarcting scenario i have one issue
issue 1:
Materials (both excisable and non excisable) are supplied to
subcontracting vendor.
At this time in 57Fc challan only excisable items are maintained.
But in sap while creating the sub contracting challan it is showing all
excisable items and non-excisable items.
But as per client requirement non-excisable items only should be displayed
while creating /reconciling/completing the sub contracting challan.
issue 2:
when semi finished material is returned back to client by sub contractor
some raw material is still with the vendor.
while raising sub contracting order to the vendor against the same
material ,system should pop up how much raw material left with that
subcontracting vendor .
Kindly give me solution for this scenario.

Hello,
All the materials which are declared for excise have to be maintained against the respective chapter ID's. Please refer the settings in excise rate maintenance.i.e j1id.
If only the non excisable items have to be appeared then only maintain the same.
Please check if it helps. As I suppose you will get the help in J1id.
Regarding issue 2:
Is it the scrap that is produced at the the subcontractors level or the main parent raw material which is left??
If scrap is left then that has to be mentioned along with the components provided at the sub contractors level.
If the parent material is left then it has to be checked at the stocks at the subcontractor level and brought back by GR against 101 mvt type.
The BOM has to be defined accordingly. If semi finish of 1 is to be produced by supplying 2 parts of raw material then mentioned only the one which is required. Do not supply additional extra Quantity.
Regards,
Prasanna.

COPA Document for Sub-contracting Expenses

Hi,
We have executed the Sub Contracting Scenario. But we are not getting COPA document for Sub contracting Expenses. We are getting only Accounting & Controlling Documents..
What is the problem? why we are not getting the COPA document for this.. Please help us
Thanks
KC

HI
If you are talking of the processing charges GL account, it is assigned in the FRL key of OBYC
Check if you have assigned this GL in OKB9 or by some other way you have specified any default cost object to it in KA02
As far as I know, you cant specify cost object during MIGO for this... Check as mentioned above and get back if not resolved
In OKB9, tick "Prf Seg" if you wish to take this to COPA
Regards
Ajay M

Multi-level sub-contracting involving multiple vendors

I need complete process to understand for following sub-contracting scenarios.
Customer is purchaseing materials from vendor1 with an instruction to supply it to vendor2 for further processinng. Vendor2 returns the materials to customer. Customer needs to create PO to vendor1 and subcontracting PO to vendor2 so that their payment can be settled through IR from vendors.

->1-> Your Plant will raise Raw material PO on vendor V1 . This PO must have "SC vendor" ticked along with the V2 vendor specified in the Delivery Address tab in PO item .
-> 2: Your Plant will raise a Subcontracting PO -item category L , to Vendor V2 . (this PO will have the Parent component which the V2 vendor is going to give back to you. ) . the BOM of the Parent component will have the Chile specified as the Raw material you buy from V1.
->3-> When V1 delivers material to V2, you(or someone at V2 location with system access) will do MIGO against the Raw material PO . this will generate a material document with movement type 101-O , and the raw materials will be avaiable at "Suncontractors stock " with special stock "O" which can be seen in MBLB .
-> Create jobwork challan against the 101-O material document in J1IF01.
->4-> when the V2 processes the components and sends you the Parent material , you will do MIGO against the subcontracting PO .
->5-> Reconcile Jobwork challan in j1IFQ against above MIGO Doc number.

Reconcilation problem in sub-contracting scenario

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