VMI and reduce Stock in Transit - what are the right methods?

[Former Member]

Hi Gurus,

We are using APO system to implement VMI functionality to replenish stock at customer location. We need to build stock in transit at customer location after PGI happens in ECC.

Now, stock in transit is show up in 'Stock in transit' key figure, but the question is how to reduce stock in transit once it is received at customer location.

SAP recommends following four methods to reduce:

http://help.sap.com/saphelp_scm2007/helpdata/en/f1/f69a3dcbcfac53e10000000a114084/frameset.htm

1. Goods receipt information is not sent from the customer to the vendor

2. The open purchase order quantity is sent from the customer to the vendor

3. A proof of delivery is sent from the customer

4. The stock in transit quantity is sent from the customer to the vendor

Out of these 1 and 2 methods are feasible in our scenario.

Please share your experience if you have used any of these methods, I want to hear from someone who implemented any of these methods before deciding on a method.

Thanks in advance,

Niranjan

[Former Member · Accepted solution]

Dear Niranjan,

I have implemented SCM-APO VMI using Past Releases of SCM (version 4.1) for upto 300 Customer Sites & 500-1000 Products.

In my experience ... this is a Big Custom Development using EDI - IDOCs / ALE wherein you Receive from Customer the Data either as "Open Orders" or "Goods Receipt" of VMI Order at Customer Store or "In-transits" as they view it. There is a Facility to receive them in the PROACT IDOC but you have to write IDOC FUnction Modules to post the Data to the

VMI Planning Area as well as at Product-Location you have to Daily Delete the In-transit Order (Category EI or AH for ASN) and Upload Intransit Quantity directly into Live-Cache as a Order. The Development is also complex as you need to Map the VMI Customer Product to the Vendor/Manufacturer's Product COdes in SCM-APO.

I have experience implementing VMI like this several years ago ... and I am not sure if SAP SCM-APO built anything Standard for the Interface over the years. If you are not sure get a ALE/IDOC & ABAP Consultant or XI Consultant to work with you on the Project.

You can Delete In-transit Quantities by using RLCDEL Transaction for Category EI or AH (if ASNs are used). You need a IDOC/ALE Development to Calculate and Upload In-Transits and Update into the VMI Planning Area as well as Download to a FILE which you can use via another ABAP Development to Upload In-transits at the Product-Location (Customer) in SCM-APO.

Hope this helps.

Regards,

Ambrish Mathur