sales delivery from Subcontractor Location

[Former Member]

Dear Experts,

I have scenario

we will send our semi finished goods to subcontrator and do make some changes then we will treat the stock as finished goods. we need to deliver the goods from subcontrator location itself to customer. how will be the process?

duties and taxes are also applicabe?

as an sd consultant how we can tackle the situation?

Regards

Shibu

[Lakshmipathi · Accepted solution]

Couple of questions comes to my mind

1. In order to send the HALB material to sub-contractor, whether you create a sub-contract PO ?
2. If so, system will show stock against that vendor.  How are you going to adjust this ?

I feel, it would be better, let your client receives the material via MIGO from that vendor and do SD process with a different material code.  By doing so, the above two queries would be addressed.

G. Lakshmipathi

[Former Member]

Dear Shibu C

You can do some research on Consignment Sale Process, for the same fallow the below link:

http://help.sap.com/saphelp_erp2004/helpdata/en/dd/55ffe4545a11d1a7020000e829fd11/content.htm

and when the goods have been moved from the consignment stock to real customer for A/R.

And later when the 1st Customer demands for the Modification Changes and all, you can handle it through Service PO (as he is he doing services for you) and you can claim the bill through MIRO and later make the payments.

Thanking you!

Ashish Mishra

[former_member182378]

Ashish,

Thanks for your post!

Your post contains multiple concepts (e.g. consignment process, Service PO + miro + payment to vendor).

In consignment warehouse both "semi-finished" and "finished" goods shall be stored. How would the end-user know the number of finished and semi-finished goods? (as both are created under that same MMR).

That is why I like the idea of having two different MMRs given by G Lakshmipathi.

Furthermore, in Consignment process, we give a single Ship To party. But this process would be physical goods movement from:

company >> sub-contractor >> end customer (SH)

That is why you mentioned the point of "some research needs to be done on the consignment sale process"

Thanks again for the creative ideas!

[Former Member]

Hi Shibu ,

From SD Side, you can use the Third Party Item Category (TAS) to handle it. But check with the MM Consultant whether Third Party PO can handle Subcontracting?

Regards

Vinu

[Former Member]

Sir,

Kindly go through the below stated the scenario, please suggest whether it is workable or not

we will create third party sales order VA01

purchase requistion will be created and Purchase order will be created based on PR,  ME21N

MIGO and MIRO will be done

then we will create order realted billing to customer VF01

Regards

Shibu