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Inter Company Billing

Former Member
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Hi All,

I am new to Inter Company Billing.

Q- why would we Assign Organizational Units by Plant

thanks in advance

Accepted Solutions (0)

Answers (3)

Answers (3)

Former Member
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Hi,

In INTER COMPANY, the transaction will happen between two diffeent company codes by means of the Plant.

in this process the customer places an order to one company code which does not have sufficient stock and hence the stock is fulfilled by the plant of another company code.

So we need to add the plant to the sales organization.

IV billing type will be used to settle the fulfilling company code

F2 billing is used to bill customer

regards,

santosh

Former Member
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thank u Vemuri,

But we already setup Sales Line (Ordering Sales Org - Ordering DC - Delivering Plant) for this purpose in enterprise structure (IMG - Ent.Structure - Assignment-SD - Assign-DC-Plant (tcode-OVX6)) again what is the use of maintaining Organization Units by Plant (under IMG-SD-Billing-Intercompany Billing-Assign Org Units by Plant) can u please explaint in detail

thanks and regards

charysd

former_member182378
Active Contributor
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I am new to Inter Company Billing.

Q- why would we Assign Organizational Units by Plant

Intercompany bill is when one company code (= B) sends bill to another company code (= A). This is due to *Plant Bp has manufactured some thing & that is then sold by Co Cd B to Co Cd A

*Plant is assigend to one Co Cd.

E.g. Plant Bp is assigned to Co Cd B.

In Sales order, Co Cd A has directed plant Bp to manufacture goods. This can only be possible if Sales Org Aso is linked to Plant Bp.

Therefore Org unit Plant Bp is assigned to Sales org Aso, Dis Channel Adc.

Or else in sales order you can NOT have Co Cd A and plant Bp.

Former Member
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thank u Typewriter,

But we already setup Sales Line (Ordering Sales Org - Ordering DC - Delivering Plant) for this purpose in enterprise structure (IMG - Ent.Structure - Assignment-SD - Assign-DC-Plant (tcode-OVX6)) again what is the use of maintaining Organization Units by Plant (under IMG-SD-Billing-Intercompany Billing-Assign Org Units by Plant) can u please explaint in detail

thanks and regards

charysd

former_member182378
Active Contributor
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This assignment of Sales area to Plant is needed to identify which Sales area is "responsible" for this manufacturing plant. In other words, which is the Delivering Sales area.

Also because of this assignment, the Sales area in the IV bill shall be populated.

The manufacturing plant is assigned to the Delivering Sales Area in this assignment step.

If you donot have any sales area assigned to the plant, you can not create a "interncompany" sales order.

But we already setup Sales Line (Ordering Sales Org - Ordering DC - Delivering Plant) for this purpose in enterprise structure (IMG - Ent.Structure - Assignment-SD - Assign-DC-Plant (tcode-OVX6)) again what is the use of maintaining Organization Units by Plant (under IMG-SD-Billing-Intercompany Billing-Assign Org Units by Plant) can u please explaint in detail

OVX6 is Sale OrgD chan --> Delivering plant for permitting plant to delivery for Sales OrgD chan.

This assignment is Sales Area --> Plant for interncompany sales process

Former Member
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thanks a lot typewriter

my problem has been solved

Regards

charysd

Former Member
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Hi,

In Inter Company billing, suppose plant 1 is not manufacturing the product however plant 2 does, then we use plant 2 for the order however the plant 2 has to be linked with the company code of the current plant 1.

Former Member
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thank u Abhishek,

But we already setup Sales Line (Ordering Sales Org - Ordering DC - Delivering Plant) for this purpose in enterprise structure (IMG - Ent.Structure - Assignment-SD - Assign-DC-Plant (tcode-OVX6)) again what is the use of maintaining Organization Units by Plant (under IMG-SD-Billing-Intercompany Billing-Assign Org Units by Plant) can u please explaint in detail

thanks and regards

charysd