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Product Allocation

Former Member
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Hi,

Could somebody explain how product allocation works?

Thanks,

JP

Accepted Solutions (0)

Answers (5)

Answers (5)

Former Member
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Hi JP,

It's ok.I too do not know how you can give points in such a situation.I hope someone in the forum can let us know if there is a way.

thanks

kiran.

Former Member
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A precise planning and controlling mechanism is of the utmost importance for the execution of competitive order processing with guaranteed efficient and timely delivery to the customer of the required order quantity. Unforseen problems, such as production deficits or increased demand can have critical consequences for order processing and must be brought under control as soon as possible.

Product allocation is a function provided by the R/3 system for carrying out these control options intended to help your company to avoid critical requirement and procurement situations. This should enable you to keep production to a minimum at the same time as allowing you to react quickly to bottlenecks and changing market situations.

For more details and example refer to the link <a href="http://help.sap.com/saphelp_47x200/helpdata/en/93/744d12546011d1a7020000e829fd11/content.htm">Product Allocation</a>

Regards,

Gauravjit.

Reward points if the solution is helpful

Former Member
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helpful document: W40 - Order to Cash

Link: http://help.sap.com/bp_blv1500/BL_India/index.htm

Regards,

Rajesh Banka

Reward points if helpful.

Former Member
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Hi JP,

Product Allocation enables the customer to purchase specific stock up to the amount allocated to him in the planning structure for that specific time period.

This happens like this.A structure is created allocating the quantity of specific stock the customer is allowed to order for a specific time period.When a sales order is created,the system updates this structure with the used quantity.

If the order quantity exceeds the allowed quantity,the system then determines the remaining amount to be called off and prompts the user to change his order quantity to match the available amount.

Award me points if i am clear.

regards

kiran.

Former Member
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Hi Kiran,

Thanks for the reply. This is what I was looking for.

Forgive me for my ignorance but I am not able to mark this thread as answered and give you points. I just dont see the option anywhere. I think this is b/c I just might have not posted this thread as a question. what could I do in this case. Is tehre any way to award you points. I am truly sorry for this but I really do appreciate your helping me out. Thanks Again

~JP

Former Member
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Former Member
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No. This is the configuration.

I just wanted to know what it is used for. I mean in which scenario would we need product allocation.

Thanks for your quick response