Diff. between Inter Co STO & Inter Co Sales

[Former Member]

Hi Friends,

Please guide me the Difference between Inter Company STO and Inter Company Sales Processing.

My client have two company codes.

INDIA: Company Code :1000 ; Plant: 1100(Supplying)

UK : Company Code: 2000 ; Plant: 2200(Ordering)

Always India Plant Supplies to UK Plant and Sometimes India Plant Supplies Directly to EndCustomer of UK Plant.

Whether it is Inter Co STO or Inter Co Sales or Both?

Please help me..

with regards

[former_member550050]

Hi

Yes in both places you have to do it

In both the places the entries has to be there

First in enterprise structure

The sales org of UK and Dist channel of UK has to be assigned to indian plant

Again Under billing also assign organizational units by plants you have to do the same thing

May be if you do it in Enterprise structurethe values may be automatically updated in the second place

You have to check and see

Values might flow down

But if you do it only under billing the values will not flow upwards

But in both the places the entries are must

There is no need for any confusion sir

You are assigning the delivering plant india which is in different company code to sales org and dist channel which is in a different company code to inform the system about intercompany sales

Then only system senses that there is intercompany sales

This you are doing it to enable us to do intercompany sales

For intercompany STO this is not reqd

Those settings are entirely different

Regards

raja

Edited by: ramanathan raja on Dec 8, 2008 10:23 PM

[Former Member]

Hi ,

In your case both scenarios are used, as Veterans said.

Stock transport is done between plants of same or diifferent company codes. here the material is first transfered to receiving plant from delivering plant and then to customer.

Intercompany sales processing as you mentioned, here the plant in india is made as if it can sell products through the sales area UK ( in Inter company Billing settings) and sold from plant in india through sales area of UK.

[former_member550050]

Hi

Try to interpret with terminology

STO is stock transfer order which will happen between plants only plants and not to customers

Sales means it will happen only to customers not to plants

Your scenario

If 1100 plant is supplying to 2200 it is intercompany STO

If 1100 plant is supplying to a end customer in UK directly then it is intercompany sales

Your scenario mainly (Always plant india supplies to plant UK) This is intercompany STO is happening and sometimes (Plant in india sells directly the end customer in UK) here it is intercompany sales happening

SAP has defined terminology wise very nicely

Only we have to understand it correctly

Regards

Raja

Edited by: ramanathan raja on Dec 8, 2008 8:32 PM

[Lakshmipathi]

Dear Azeez

We can say that if you despatch the material to a plant in another company code via MM route (TCode MB1B with movement type 301), we can call it as stock transfer. On the other hand, if you despatch the material from the plant (Company Code 1000) to another plant in company code 2000 via SD route with 601 movement type, then it can be called as Inter Company Sales. Of course, any plant that delivers the material directly to end customer in the market should also be treated as sales.

thanks

G. Lakshmipathi

[former_member204513]

Dear Azeez,

Difference between Inter Company STO and Inter Company Sales Processing

Inter Company STO means the Purchase document use in the Stock Transport Order process.

Inter Company Sales Processing means total businnes process involved in the Stock Transport Order from Purchase order For STO -->Replenishment Delivery --> Inter companty Billing.

Always India Plant Supplies to UK Plant

This is Inter company StockTransportOrder process or Inter company sales.

STO PO->Replenishment delivery->Inter company billing

Sometimes India Plant Supplies Directly to EndCustomer of UK Plant.

This is normal sales.

Sales order>Delivery to UK customer>Billing

I hope this will help you,

Regards,

Murali.

[Former Member]

Dear Azeez,

India Plant Supplies to UK Plant

Inter Company STO

India Plant Supplies Directly to EndCustomer of UK Plant

Inter Company Sale Processing

Best Regards,

Amit

Note:

[Inter Company Stock transfer|http://help.sap.com/saphelp_47x200/helpdata/en/4d/2b90dc43ad11d189410000e829fbbd/frameset.htm]

[Inter Company Sales Process|]

[Former Member]

Hi Friends,

Thanks to everybody.

I have gone through all the postings regarding Intercompnay sales...

But iam confused.Please clarify me clearly...

I have doubt in two areas...

1) In Enterprise structure:- Assign Sales Org-Dist.channel-Plant.

Here,Please guide me whether i have to assign supplying plant(in my case India plant) to Receiving Sales Org-Dist.Channel(in my case UK)

2) In IMG->SD->Billing->Intercompany Billing->Assign Organizational Units by Plant.

Here,Please guide me whether i have to assign supplying plant(in my case India plant) to Receiving Sales Area(in my case UK)

Please guide me...

with regards