Subcontracting Handling ByProducts

Question

Hi I created a BOM with two components and there is one component as negative qty which is generated as By Product.
When I am creating a subcontracting PO with Item Category "L" I am able to expolde the BOM with Two Components only
and the negative qty is not coming.
Also when I am doing GR against this PO the system is doing 101 movement for FG and 543 Movement for two subcomponents
but it is not creating the stock of by product at vendorend with 545 + 0 movement type.
Please advice am I doing something wrong,
Lekhrams
Edited by: Lekhram Sharma on Jan 2, 2008 2:37 PM

Answer 1

You can use subcontract orders to plan the receipt of by-products from subcontracting:
Similiar to production order processing, by-products are entered in the subcontract order as components with negative quantity.
In the provision of the components (with reference to the purchase order, for example), the system ignores the negative component items.
In the goods receipt for the purchase order, the system automatically posts the receipt of the by-products. In the material document, you can identify the by-product items from their movement type 544. Note that the by-products are posted to the "stock of material provided to vendor" (also referred to as "subcontracting stock").
The receipt can still be corrected using the Subsequent Adjustment function.
Due to the receipt of the by-products, the value of the manufactured material is reduced.
To transfer the by-products quantities from the "stock of material provided to vendor" (or subcontracting stock) to the unrestricted-use stock, you enter a transfer posting using movement type 542 (reversal of the provision of the components).