Scrap Sales

[Former Member]

Dear All,

I am processing a scrap sales process where i need to create sales order, deliver the goods and then invoice the customer.

The situation is like this.

Material laying in the stock in warehouse got rusted and needs to be scraped.

Thus the value of the stock at warehouse which got rusted should be made Zero.

Also the inventory should be zero. We have used the movement type 551 to remove the stock from unrestricted use. Thus the inventory and the stock value becomes zero.

Then we create a scrap material master data where in material master accounting field of moving avrage price is zero.

Plus their is no stock uploading of the newly created scrap material master data.

I can create sales order without any problem as the availablity check is KP.

But while I do the delivery a error is coming saying that

" sales order stock 18900 00010 does not exists."

Need your help to resolve this process.

Ram

Edited by: suhas.ram on Nov 28, 2011 5:43 AM

[Former Member]

Hi ram,

If possible you can use separate document type, in that you maintain 100% discount condition. So your material value become zero and stock also reduce.

Stock for Scrap Sale:There are 2 options -

1. Scrap material can be identified as regular material at the point of sale. If yes, then we can use the same material in Sales Order.

2. Scrap material cannot be identified as regular material at the point of sale. For Eg: A Automotive seat manufacturing company purchases different grades of foam, but has a single scrap yard for foams. Now at the point of sale it may not be possible to differentiate. But we require a material & stock to sell scrap. We can create a dummy material say 'scrapfoam' & as concerned for stock, we can generate stock as per requirement through T.Code: MB1A, using movement type 502.

regards,

Kiran

Edited by: kiran35086 on Nov 28, 2011 1:17 PM

[Lakshmipathi]

Material laying in the stock in warehouse

Here what do you mean by warehouse and against which movement type, the unrestricted stock were moved to warehouse. If the warehouse is treated as a Depot, then you have to follow the Depot returns process. If you want to scrap directly from warehouse and dont want to make any receipt at parent plant, then I would recommend movement type 292. Of course, couple of other options are also there but all depends on how you want to address this requirement.

G. Lakshmipathi

[Former Member]

"Here what do you mean by warehouse and against which movement type, the unrestricted stock were moved to warehouse"

First of all thanks for the reply.

secondly Sorry if i have used words which are not standard in SAP.

I am refining my Question as below

A salable stock (MM01) is availabale in unrestricted use in a plant. After some time the stock is rusted and management decided to sell the stock.

Two Problems arises which are as follows:

1. The stock MM01 is available in unrestrictred use. The quantity needs to be mada as zero.

2. The stock cost (i.e. Moving avarage price) for the stock to be made zero.

How above two problem can be solved and what will be the accounting implecations when we devaluate the stock cost to zero.

Thanks

Ram

[ramanathan_r2]

Hello Mr. Lakshmi,

I have a similar scenario here. I need to create a Sales Process where the scrap materials should be sold. There should be no Storage Location or Warehouse maintained for it. Things will be kept in a corner and should be sold. There is no return process or goods movement too.

Kindly advise if you have any suggestions.

Regards,

Ram

[former_member182378]

Ramanathan,

Create a new thread, so that your question gets more visibility and more replies.

If you use the standard OTC process (OR>LF>F2) you can handle this requirement. WTO and picking can be deactivated for your process, by configuration setup.

TW

[jpfriends079]

Few you need to consider here,

- The material used should be Trading Goods

- Use movement type 552.

Also refer following SAP notes:

- 202345 - Reposting of sales order stock without sales doc

- 370101 - Update quantities in SD document

For scrap sales, also consider following SAP notes:

1168591 Tax collected at Source (TCS) u/s 206C for sales in India

1224778 Challan process - TCS u/s 206C for sales in India.

1223591 Quaterly Returns - TCS u/s 206C for sales in India.

Regards

JP

[Former Member]

Hi,

I hope you have maintained all configurations required for scrap sales including Item category for the scrap material as u201CSCRPu201D. Further please ref. to the following links, for better information.

http://wiki.sdn.sap.com/wiki/display/ERPLO/ScrapSalesOrder+Cycle

Please check your configurations and try again.

Regards

DSR

[Former Member]

Initially I had tried with scrp item categeory but it's not working as we have to sell the scrap as well.

Pricing is not possibel in the item cat SCRP because of which i had drop that idea.

I am using a item cat which is very similar to TAN other then cost field iand credit memo arennot activated.

Please let me know if any other item cat is avaialble in for Scrap sales.

Thanks and regards

Ram