Shipment cost in collective shipment

[Former Member]

Hi,

Collective Shipment Includes:

1.Several Point of departure

2.Several Destinations

One Mode of Transport.

I have to configure above two scenarios.

Can shipment from manufacturing plant to depot and from depot to retailer come under collective shipment? ie STO and direct sale can be a part of collective shipment?

If yes pls. elaborate on how I can get shipment cost documents separately for STO and direct sale as single shipment doc will not be useful.

Pls. respond.

[Former Member · Accepted solution]

Hi,

You must be making a stock transfer order from manufacturing plant to depot, and then a sales order from depot to retailer.

If yes, then you can create 2 shipments, one against the stock transfer order and one against the sales order.

Then you can create 2 shipment cost documnets: one against shipment which is for STO and other against the shipment which is against sales order.

Shipment cost against STO will cover the cost of transferring goods from manufacturing plant to depot, and shipment against order will cover the cost of moving goods from depot to retailer..

We follow the same procedure in our case.

Hope u find it useful...

Regards,

Noopur

[Former Member · Accepted solution]

HI Noopur,

Thanks for your response. There are two cases.

1. AS per your case, Assume sto is for 25 tons(from manufacturing plant A) and sales order of 10 tons (from depot B). the truck of 25 tons starts from A goes to B unloads 15 tons and without unloading 10 tons, it goes directly to the the consignee of sales order. So will it be a case of collective shipment or individual, pls elaborate on shipment cost?

2.Assume STO is for 25 tons (from manufacturing plant A) and sales order of 10 tons (from manufacturing plant A). the truck of 35 tons starts from A goes to B unloads 25 tons and then goes to the the consignee of sales order and delivers 10 tons. So will it be a case of collective shipment or individual?

Pls. provide the std solutions which are possible as per your expertise.

In both the above cases client needs different shipment cost documents.

Thanks in Advance..

[Former Member]

hi,

generally it very difficult to ascetain the shipping cost for all possible combinations.

wat is suggested is that an anlysis of all real time shipping cost is done and a median figure is arrived at like from point a to b for a material its 200 rs. from b to c its 150. the median could be 175. various methods can be used to arrive at it like simple average or weighthed average which will take into consideration distances, entry taxes, sales potential etc.

once the shipping costs are arrive the same can be brought into the PP thru EK03 condition. records can be maintained for this cond and be used for futher pricing.

saurabh

[Former Member]

In that case, you create 2 shipment docs, 1 for STO and other for sales order, and hence 2 shipment cost docs 1 covering freight cost to move 25 tons from manufacturing plant to WSP and other covering the freight cost to move 10 tons from depot to retailer...

Hope it helps u.......

Regards,

Noopur

[Former Member]

Hi,

You mean to say that in the second case both STO and sales order are from the manufacturing plant.

Okay in that case tell me who is gonna bear the fright cost when the stocks are moving from A to B and when from B to C...

Regards,

Noopur

[Former Member]

A to B client

B to C also client

they need different shipment cost for both.

and planning for both will start at manufacturing plant.

Message was edited by:

Abhilash Nandeshwar

[Former Member]

Hi Abhilash,

In both the cases you mentioned the a single truck will start from manufacturing location A and will serve both the depot and the consignee.

Both the cases can be handled in a same manner, but my ques is in first case against the STO of 25 tons, will the depot be receiving 15 tons only or he'll receive whole 25 tons and then issue 10 tons out of it for the sales order, coz sales order is from depot so the manufacturing plant can not serve the consignee.

See in my opinion, in both the case you'll create 1 shipment against the STO of 25 tons and the shipment cost against it will cover the freight cost of moving the stocks from manufacturing location to the depot, and the other shipment will be against the sales order of 10 tons, and the shipment cost against it will cover the freight cost for moving the stocks from depot to the consignee.

reward, if helpful.

Regards,

Noopur

[Former Member]

Thanks Noopur,

See the problem is that in second case where the STO(B) and factory sale(C) is from manufacturing plant (A). The consignee is suppose just 10 kms from the depot, so the same truck will be used for both deliveries. ie A to B(600kms) then B to C(10 kms).

As client uses the same truck and charges on per Km and per ton basis to the transporter.

A to B 35 tons 600kms

B to C 10 tons 10 kms.

I am confused that will this be under collective shipment or shld i consider it as 2 individual shipments? If possible pls provide ur opinion on how to configure such scenario with taking frieght into consideration.

Thyanks