Compare Advance Return Management (LO-ARM) and Sales Return Component

[tuan_manh]

Dear Gurus,

I'm searching about Return solution for sales and found Advance Return Management (LO-ARM) and Sales Return Component. They are quite different to each other so I'm confusing which is pros and cons and which Industry needs to be applied.

If anyone knows about those function, please help me to make it clear.

Thank you so much.

[Former Member · Accepted solution]

Hi Manh,

The Normal Sales Returns process across the industries:

Customer will sends the material after informing the sales representative.

Once the goods reaches the company the return sales order followed by return delivery (PGR)/Quality inspection(Rework or scrap the material after inspection) & credit note for returns will be issued to the customer.

Advance Returns management is specific to some industries only:

SAP has come up with this functionality for improving the efficiency of returns process which helps to cut down the costs down & improves the level of service.

In this case RMA (Return material authorization) return order will be prepared first.

The quality team goes to the customer site then record the results.

Then decision will be taken whether to take the material back to the factory or scrap at customer end only etc. When the material comes back to the factory it should possess RMA which is not required in normal case.

Decision for logistic follow up will be taken.

The return refunds will be given to the customer by creating a credit note.

Other functions are also provided by SAP in advance returns management.

Advanced Returns Management - Business Functions (SAP Enhancement Package 5 for SAP ERP 6.0) - SAP L...

ARM will be used with specific to business requirements only.

Hope its clear now.

Regards,

S.Himavanth.

[tuan_manh · Accepted solution]

Dear Himavanth,

Thank you for your quickly respond.

I now have to research about ARM. If you have document, please kindly share to me.

Thank you so much.

[Lakshmipathi · Accepted solution]

Being an old member of the SCN, you should be knowing SCN rules where it has been very clearly indicated that before posting, one should make some efforts to search.  From your post, it is very evident that you have not made any efforts to find out solution to your requirement.  Please avoid this practice and ensure that you adhere to SCN rules.

G. Lakshmipathi