customer return when Issueing plant is closed?

[former_member182339]

How do we issue credit note when We have an issue here Origin plant is Closed and with no inventory and all the materials are marked for deletion, we do not want to activate the materials again in Closed Plant plant ( Plant A).

Instead we want to receive the  goods returns in another plant ( Plant B) and issue credit note to customer. we don't want to do the STO as it requires to re activate the materials in original plant A ( which has been closed).

I have gone through these threads

http://scn.sap.com/thread/1864737

http://scn.sap.com/thread/1942686

https://scn.sap.com/thread/1820565

If Anyone else faced with the same problem before?

What is the implication when we receive return in another plants?

  What are the best practice?

Best Regards

Hrusikesh

[Lakshmipathi · Accepted solution]

First of all, you need to address the issue from statutory point of view. There should not be any deviation from Sales Tax or Excise, if the plant was operating from India.   Coming to SAP, ideally the material code should be unique in all plants if the manufacturing process is same.  Having different material codes for the same process is logically wrong.

As already suggested, three options are there

1. Take the rejected goods in parent plant, transfer to new plant
2. Take the rejected goods directly into new plant
3. Make FI adjustment by generating credit note

Of the above three, since you are not willing to follow the first option, you cannot adjust the inventory in old plant.  So you have to choose either the second option if you want to address via SD route or third option if you want to address via FI route but if you choose the second option, then obviously, in the new plant, inventory would be increased which your client has to give confirmation as to how this should be handled.

G. Lakshmipathi

[former_member182339 · Accepted solution]

Mr G Lakshmipathi,

Thank You for replying can you elaborate more on scenario 2. The plant is not based in India but it is based out in USA, yes the material codes are not unique or plant specific as manufacturing process is same across plants.

what is the appropriate way to manage inventory in case of this scenario 2.

Best regards

Hrusikesh

[Lakshmipathi · Accepted solution]

what is the appropriate way to manage inventory in case of this scenario 2.

To answer this query, you need to update here what is your client's direction in this regard.  Addressing this scenario in SAP by increasing the inventory in either plant is not an issue but it is very important, how are you going to handle from Business point of view. 

G. Lakshmipathi

[former_member182378 · Accepted solution]

Hrusikesh,

Having a different plant in the return process, than the plant in the sale process is possible in SAP. In the return order, in VA02, user can change the plant.

The movement type, in the schedule line category determines if the stock sits in unrestircted or quality etc. (of the receiving plant)

The moment the plant is changed in the return order, the prices, the shipping point etc. shall get redetermined.

If the client is ok with it, you can test this in your test client. If there are no issues, then user can do the same in the Production system too.

[Former Member]

with your indication of receiving this material in another plant, we presume that the material is replaced in another plant at the master level, if so you can create a without reference credit memo request with a new material code or change the material's plant for the same old material code & provide a credit note, this will be more easy as the customer is not worried about the processing plants from his end.

Else in simple terms do a manual posting in FI which will give him a credit, but this will not assist in material movements against the materials that are going to be returned.

Regards

Ilango

[former_member182339]

Can you elaborate more how do we do that,I am worried about material movement. How do we change old material code while receiving it in New plant.

Best Regards

Hrusikesh