BOM EXPLOSION IN SUBCONTRACTING SCENERIO

[former_member1150623]

Hi,

To all Experts,

This is regarding the bom explosion in subcontracting P.O(scenerio).Scenerio prob. is explained as follows -

1) I have an assembly which includes the semifinish & raw materials.

2) By cs11 it explpodes whole BOm

3) When i made P.O. for job work order(subcon.), in mateial data view it displys only the semifinish components(i.e. component or explode bom) ,but not the raw,which we want to send to vendor.

so due to above,how we can determine, what the material we are sending to vendor?

In short i want to explode the bom in po,in which it displys the semifinish as well as its raw.

So please suggest a propper solution for above query.

Hoping suggestion quickly

Thanks in advance

Manish

[former_member1150623]

in the progress.

[csaba_szommer]

Hi Manish,

Your problem is interesting.

As I understand you have a multi level BOM that has SFGs in it, and this causes problem to you since SAP wants to use these SFGs as component for subcontracting.

I do not know what is the exact solution for this, but I'm writing down my ideas:

- you can create an alternative BOM for the F-30 material where the SFG componets are defined (only in the BOM, not in material master) as phantom assies (CS01/CS02 > menu > Goto > Item - on basic data tab you can define it).

- other solution might be to create an alternative BOM where the parent material is the F-30 material, and the children are the raw materials to be provided to your sc-vendor.

You can create a production version for this alternative BOM and you can assign it (production version) to the purchasing info record. So, SAP will use this alternative BOM for external procurement.

http://help.sap.com/saphelp_47x200/helpdata/en/b2/fa1ed4d51d11d1a69e0000e83235d4/frameset.htm

Regards,

Csaba

Edited by: Csaba Szommer on Sep 17, 2008 8:06 AM

[former_member1150623]

HI,

This is manish.Thanks for ur suggestion,my problem got solved something.but can u tell that is there any effect on stock of that phantom assembly materials? Will the stock count of that phantom assembly in storage location or not?

Up to my knowledge, i think that ,the phantom assembly (material)stock not placed in storage i.e not showed in storage locations.

Please suggest if possible

Thanks in advance

Manish

[csaba_szommer]

Hi,

As for phantom assies you don't have to worry because if you maintain this special procurement type in BOM and not in material master.

This means you can use SFG in your own production and you can have stock from them as normally, there will be no change.

The special procurement key (phantom assy) will be applicable only in the alternative BOM (it overrides material master setting) - if you really provide lowest level raw materials to your sc-vendor, I think this scenario should work.

Csaba

[former_member1150623]

Hi,

Your solution helped me to solved that problem & finally it get solved. Thanks once again.

Now I am here with the new query, & I will hope you will help me again.

Now this scenario is again of subcontracting. The scenario is as follows - -

1)I have a material which is set for subcontracting.It have its own bom which includes raw material.

2)Suppose price of that semifin. Material is10 /- & ration with raw matrl. Is 3:2 I.e

3 kg of raw = 2kg finish & remain 1kg. is scrap.

3)So I made a BOM in which I maintained 3 kg raw & 1kg scrap (in minus I.e -1 kg.)

4)now I made P.O of semifin. Material in Kg. for jobwork to for XYZ vendor (I.e raw material will issue in kg & also return material I.e semif. Material is also in kg.)suppose raw I sending to vendor is of 200 kg. Means semifin. Will of 133.33kg & remain 66.67 kg. Will scrap.

5)It means if I will send 200 kg raw then it will returns as 133.33kg of semifinsh.

6)Then I made transfer posting to vendor by mb1b in which I send 200 kg of raw & create a challan.

7)Note : the material both at while sending & receiving it weighted on weighing bridge,as it contains small diff. In weight.(because even u purchase the ms plate12 mm for a weight of 706kg. Standard,U will never get as exact as 706 kg.,there will some diff. in weight may it will be more or less)

8)Then I got the material from vendor after some days as semifin. Material with bill.

9)But as I told earlier u will never get exact material as expect. i.e if send 200kg u will never get 133.33 kg semifin. There will be some difference of 5-10kg.

10) Suppose I received semifin. @ 125 kg instead of 133.33 kg as mentioned in bill.

11) So when I will take G.R it will deficit by 8.33 kg.

12)Now if I reconcile the challan it will give status as u201Cassignedu201D I.e partial reconcile means it shows there will 8.33kg. Of material still at vendor side,whereas practically it is completely delivered by vendor to us.

13)The scrap generated in material will at vendor, he will sale it & we will include the rate of it in the material price.

So finally as with reference with above scenario, is there is any chance to correct the system?

As I know if u want to make it complete u will have to take separate GR. of scrap &/or to to take GR of semi matrl. As complete receive even if there is diff in weight.

So is there any tolerances or process so we can put & make challan as complete reconcile?

Please suggest appropriate solution.

Thanks in advance,

Manish.

[csaba_szommer]

Hi Manish,

I do not know how 'challan' works, I guess this a speciality in India - there are excelent forum memebers from India, they can and I'm sure they are willing to help you in this issue.

To get their help, you'd better close this thread if it is solved and post a new one addressed to all forum memebers, you are very likely to get help and answer.

My remarks are the following (concerning the process):

1.

subcon BOM

header (F-30): 2 kg

component: 3 kg

scrap: -1 kg

You said that the scrap is sold by the sc-vendor and it is considered in the subcontracting fee. If it is so, you shouldn't maintain the scrap qty in the BOM of F-30 material.

However, maybe the process should be reconsidered from business point of view. I mean that if the scrap is considered in the subcontracting fee as a fix rate, your sc-vendor can get extra profit if it produces more scrap material than it is defined in the BOM.

That's why maybe you should handle it (scrap) separately. Maintaining the scrap in the BOM (as you are doing) and sell it to the subcontractor (both physically and in SAP) - this case the scrap won't be considered in the subcon fee.

Of course, if this scrap material is very cheep or not important, you shouldn't invest much energy in it - you are who knows the real situation.

2.

You said that at every point (sending and receiving) goods are weighted. So you know:

- how much raw material is sent to your sc-vendor

- how much F-30 material you receive

- knowing the weight of the raw material that was sent out and knowing the weight of the F-30 material that was received you also know the weight of the scrap. And your sc-vendor can report you about scrap, additionally.

(there shouldn't be differences between weight measured by you and your sc-vendor - if still there are differences, scales should be repaired...or operators trained...)

So, you can have a very accurate inventory because:

- you can book the real weight of the raw material when sending it out via MB1B + 541

- you can also book the exact weights (mvt 101 for F-30, mvt 543 for raw material, mvt 545 for scrap) when doing GR in MIGO, because you can book as much F-30 material as you received and modifying the component list of the PO or doing subsequent adjustment you can set the exact qty of raw material consumption and scrap qty.

Regards,

Csaba

[former_member1150623]

Hi, sir,

With reference to your last post, iam closing this thread & posting a new one.

Thanks for your help

Manish

[deiva]

hai,

1.Check the BOM for Finished product in CS02. It should contain both Semifinished product & raw material.

2.The item category L has to be maintained for both the components.

3.Check the validity period also in the BOM.

[Former Member]

Hi,

R u sending a the materials for finished product, in BOM u have to enter the deatils which u have to send to SC vendor.

it may be one SFG, 2 RM, 1 PM materisls, so u have to enter all the materials in BOM list.

Pandari

[former_member1150623]

HI,

Ya sir ur answer was quite satisfactory to me, but bom is multilevel, atleast 2-3 levels are there

ex- 1)fini1

- semi fin1

- semi fin1-2

- raw 1 (for semi fin 1-2)

like wise....

[former_member1150623]

HI,

Ya sir ur answer was quite satisfactory to me, but bom is multilevel, atleast 2-3 levels are there

ex- 1)fini1

- semi fin1

- semi fin1-2

- raw 1 (for semi fin 1-2)

like wise....

[Former Member]

Hi Mahesh,

Create BOM for SFG in CS01, and add SFG only in Final BOM which you are exploding in SC PO. The SFG's are considered here as Phantom items.

Isuue the the goods to vendor and you can see RM is also issued from your stock.

Thank you,

Anand K

[former_member1150623]

Hi,

Well this is manish,Sir what u said it is correct,materail & all things will go right,but when we see po(bom component)it only shows the semifinish assembly of main component,where as it is made from raw one.

[Former Member]

Hi,

Did you carry out the planning using MD02 or MD03....

You cant view the materials from within a PO if its single item - multi level.........

Reg,

Deepak.