Consumption to Prod Order

[Former Member]

Mat "X" is procured against WBS1.1 and taken into Project stock. Where as the Production Order is generated at WBS2.1, which wil consume Mat "X". The problem is we are unable to issue the Mat "X' from Project stock to Prod Order.

It seems stock as to be transfered from WBS1.1 to WBS2.1 to issue the Mat to Production order.

My question is Why stock transfer is required?

[Former Member]

Answered

[Former Member]

Hi JJ Singh,

Each WBS Element has it's own stock and can be issues to that WBSE or activities assigned to that WBSE only. Production Order was created under the Acc.Assignment of WBSE WBS2.1, So, you need to transfer material X from WBS1.1 to WBS2.1 with Movement type 412 Q then issue to production order. If you want to maintain the stock of all components and needs to be issues to different project activities, you can group the requirements using WBS Grouping functionality and can be issues to any wbse in that project.

Hope this helps you.

Br,

Hari

[Former Member]

We dont want to grp the requirement at level1 WBS. Under WBS1.1 there are child WBS element to take of different material procurement. Also those requirement can be grouped at WBS1.1.

Another question is what happens if the Prodution Order is created at plant level then what is impact on Project Costing? Can the project stock is consumed against production order.

[Former Member]

Hi

If the production order is created at plant level, Finished material is planned in project at activity level with procurement type - "reservation for network" and cost of finish material becomes planned cost in project based on the quantity structure at network level. This requirement is considered while MRP run carried out for this finish material at plant level. depending the the requirements type maintained in the MRP3 for all raw materials issued to production order will be used to consume the stock of raw materials either from plant stock or project stock. Once production order is confirmed, finish material is issued to network activity against reservation number.

Hope this clears you !!

Br,

Hari.

[Former Member]

Hi

Another question is what happens if the Prodution Order is created at plant level then what is impact on Project Costing? Can the project stock is consumed against production order.

The production order cost will calculated and setteled to the WBS 1.1 . The project stock which is there under the WBS 1. 1 will consumed by the production order.

[Former Member]

Hi

The production order reservation is created against the WBS2.1, so you need to issue the material from this WBS only.While issuing material you are issuing against the reservation only.The material is accounted under this WBS2.1 only so you need to transfer the material from WBS1.1.

Thanks

S.Murali