Material Procurement for a Project

[Former Member]

Hi All,

I would like to know how the material procurement is done for a Project material?

Presently we are creating PR from ME51N with Acct Assgn as WBS Element. When the GRR is done material is shown in inventory at its storage location. Then we give a reservation and the material is consummed in the concerned Project.

It will be beneficial for us if the material gets consummed at GRR stage itself. Or if it is possible to create a reservation in back ground when a PR is created.

Materials which we procure for Projects are Stock Items, these are spares. Equipment Materials are very few.

I hope the scenario is clear.

Regards,

Sachin S. Kundap

Message was edited by: Mohamed Rafi - Basic question - Read SAP Help and search forum.

[Former Member]

Hi

Material Module :-

You can create the PR -

1. Mannually with Q as account assignment  (Q - Proj. make-to-order) and assign the respective WBS to the concern Item in account assignment tab of Purchase requisition.

2. You can create a Purchase Requistion from Network also (Transaction code CN21) where you have the option to select the reservation against WBS. While entering the material in the network In case if you select 'N' as item category i.e. for non-stock item then during GRN Cost will get booked and no inventory will get updated.

Financial

Option 1

During GRN  the Inventory will get updated as Project stock and GR/IR will be created as accrued liability.

You can view the stock in report as project stock.

When the issue will takes place then the cost will get booked on the same WBS at which GRN was made.

Option 2

As during GRN cost is directly get booked due to non stock item and GR/IR will be created as accrued liabilty. The said cost will get booked against WBS only.

Thanks & Regards

Mahesh

[former_member326603]

Hi Sachin,

While creating PR, please check what acct. assignment category you are giving. Give acct assignment category as P if you wish to have direct consumption on project.

If you want to create reservation against WBS while creating PR, you will have to create PR through projects and use procurement indicator 'Preq+Reservation' but that will generate project stock.

Hope your query is resolved,

With Regards.

Mahendra