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Vendor consignment warehouse

Petepall
Contributor
0 Kudos

Hi All,

I wonder if you can give me some tips on how to handle the following requirement.

My company wants to put in place a consignment warehouse for one vendor. This vendor is now delivering components directly to 5 different plants (1 SAP & 4 legacy) as non consignment materials. Now a deal was negotiated to put the stock into consignment but in the deal is that there is only 1 order going to the vendor and that the delivery is done into one central consignment warehouse.

The location where this consignment warehouse will be set-up is near to a plant that is still on a legacy system. Since we are moving the plants off the legacy system we would like to set this up directly in SAP.

Can we set this up without creating a separate plant for this consignment warehouse?

The actual requirements are:

The consignment plant needs to receive the forecasts from the 5 manufacturing plants. From the consignment plant the consolidated order is sent to the vendor. The vendor then delivers into the consignment warehouse and based on short term call-off's material from the consignment warehouse is send to the manufacturing plants.

Preferably the business would like that the vendor is sending the invoices of the consumption directly to the manufacturing site that used the materials.

So the consignment warehouse is only:

  • receiving plant requirements

  • Send a consolidated release

  • Receive the consignment materials

  • Pull materials out of consignment and distribute the materials

Any suggestions on how to handle this?

Accepted Solutions (0)

Answers (1)

Answers (1)

former_member197616
Active Contributor
0 Kudos

Hi,

It is easy to create a warehouse or storage location assigned to a plant in sap.the quesion here is how you send or distribute to other non sap locations.

Regards,

Petepall
Contributor
0 Kudos

Yes creating the warehouse or storage location in an existing plant is no issue. The main issue here is as you described the distribution but here even more important that the place where the materials are stored is near to a plant that is not yet on SAP and the plant that is on SAP is 1000 miles from the place where the stock is sitting and does not have the distribution routes to handle the distribution to the other plants.

So it seems that we would need to go for a dummy consignment plant.