How to map the Scenario on SD ??

[Former Member]

Hi

Our customer is giving us some material and asking us to do processing on it. I mean us r selling services- (processing services) .how to carryout this scenario?

IN MM module we have a functionality called – subcontracting. Where we give materials to our vendors to process them and give them back to us in finished form.(some finished products).

But our current requirement is a reverse one. We have to take material from our customer and process them and give them back to our customer.

<b>Is there any functionality in SD to process this kind of orders?</b>

[Lakshmipathi · Accepted solution]

Dear Shesagiri

Yes I think this is certainly possible through SD.

Create material as "Service" and your UoM is going to be how you would like to bill (qty or based on hours)

Order, Delivery and Billing may be standard. Item Category DIEN.

Create a PO on whom the client would be procuring the material. While entering the plant, do MIGO and production confirmation process through PP for which routing should be configured.

Maintain VKOA with the combination of application / chart of accounts / sales organization / customer acct assignment / material acct assignment / account key

In V/08, maintain ONLY PR00 with account key ERL. No tax, no duty.

So now once stock is confirmed, you can crete a delivery against sale order and do billling in which, only PR00 value will be there.

Thanks

G. Lakshmipathi

[Former Member · Accepted solution]

for the material type DIEN can we do the delivery as the material type is service plz guide me am also facing the same scenario whether it can be done in sd or not

[Lakshmipathi · Accepted solution]

Dear Santhosh

I have not done it but I think it is possible.

Thanks

G. Lakshmipathi

[Former Member]

Hi,

First you have to received the customer material in 911 movement(Material type -Non valuated).

Then you can creat the sale order(Material type-Finished product) -> After completion of all process -> you can make the delvery .

Regards,

T.Murugu

[Former Member]

dear friend

can u plz let us know how u have mapped this scenario

will be thankful if u will share ur experience

regds

shailesh

[Former Member]

mr seshagiri

pl let us know how u r solved this problem, because this type of issues comes in pharma companies where my domine belongs to pharma

vijaya rajendra.g.

[Former Member]

solved

[Lakshmipathi]

Dear Shesagiri

Can you please let us know how you have arrived at a solution. I am very much interested to learn the same.

Thanks

G. Lakshmipathi

[ajith_kumar10]

Dear sheshagiri

i have the same scenerio at my client can you pl guide me how to fulfill the requirement

regarda

ajith

[Former Member]

Hi,

I think this can be possible through the integration of SD with PM. A refurbishment order needs to be generated through IW31, do the goods reciept through MIGO_GR, issue the materials used for refurbishing to the service order, confirm the labour, then sent back the refurbished material.

I am not sure whether this will meet your requirements, but I explained a scenario. Feel free to comment on this please...

Prase

[Former Member]

Hi,

U can use CS module to handle this kind of service orders,contracts..etc.

[Former Member]

Hi,

First u have to creat one non valuated material -> Then you can receive that material 911 movement in migo.

Then you have to creat sale order - > After completion of process you can creat delivery and billing.

Regards,

T.Murugu

[Lakshmipathi]

Dear Shesagiri

Just now I got an information from my friend that they are also having a requirement what you said above and gave the following procedures to be followed.

For information, this scenario is tested and found that accounting document is generated without any issue. So may you can also try this. Their process is inter plant and accordingly, it has been listed out.

Manufacturing Plant

1) Create a non valuated material code, say M1 with material type UNBW

2) Deliver the material to Servicing Plant against a PO raised from Servicing Plant

3) Do MIGO for inwarding the material from servicing plant

4) Do other operations if need be

5) Make sales through PGI and Billing

Servicing Plant

1) Extend the M1material in receiving plant with material type UNBW.

2) While doing MIGO, only stock quantity getting inwarded without any values

3) Create the BOM following regular process for the above, keeping M1 material as the 1st component

4) Confirm the service by one operation with material code M1A (material type HALB) through MFBF (Item Category Group NORM /

5) While doing PGI, stock at servicing plant will get reduced.

6) HALB being sold to manufacturing plant with no ED, Cess, Tax etc.

7) Raise an invoice (charging ONLY for service charges)

8) TDS not applicable due to plant to plant transaction

Thanks

G. Lakshmipathi

[former_member183879]

Hi

I know that it is done in PM module using Customer servicing by means of service orders, delivery and invoicing,

I advise you to explore that part. CS is also integrated with SD.

In CS, there are transactions to initiate a repair order, service order, delivery and invoicing. If you ask a PM consultant, he should be able to tell you further on this and the integration points with SD.

Hope this helps you