How to Return or Cancel the Picked Stock in Outbou...

Leelamohan

In warehouse operations, outbound deliveries often go through picking and transfer order (TO) confirmations before goods issue. But what happens when a mistake occurs after the pick is confirmed - such as product damage during packing or picking from the wrong bin?

Let’s consider a business scenario:

A warehouse associate confirms a Transfer Order (TO) for outbound delivery. However, the goods are later found to be damaged or misplaced. The warehouse supervisor now needs to return the picked stock to the storage bin and restart the picking process.

SAP provides a standard functionality for such cases using Transaction Code LT0G (Return Delivery to Stock). This blog explains step-by-step how to handle this real-time challenge efficiently within the Warehouse Management (WM) module.

Step-by-Step Process to Reverse or Cancel Picked Stock in Outbound Delivery:

Step 1: Create Sales Order (Transaction: VA01)

Step 2: Create Outbound Delivery (App: Create Outbound Delivery/Transaction: VL01NO)

You can create the outbound delivery:

With reference to a Sales Order (e.g., SO 145), or
Without order reference (manually via VL01NO).

✅ After saving the delivery, observe that the WM status will be A, A (Not yet started).

Outbound Delivery Created 80000165

Step 3: Create Transfer Order (TO) (Transaction: LT03)

From the outbound delivery screen, navigate to Create Transfer Order.

Use the Stock Removal Foreground to manually choose the source bin.

Step 4: Confirm Transfer Order (Transaction: LT12)

Use Tcode: LT12 or the relevant menu path to confirm the TO.
🔒 Note: Once TO is confirmed, cancellation is not allowed directly.

Step 5: Check Document Flow (Transaction: VA03)

After confirmation, WM status changes to C, C (Completed).

Stock Check in tcode LS26

Note: As stated once TO is created and confirmed, it cannot be cancelled/reversed, but here let us assume that the product was damaged after packing and the WM user wants to cancel this picking process. Here comes the SAP standard functionality Return Delivery to Stock (Tcode: LT0G)

Step 6: Handle Reversal (Transaction: LT0G)

Use LT0G when goods need to be returned after TO confirmation.

Enter:

Warehouse Number
Delivery Number
Movement Type: 999

Choose the Return option

Putaway Forward – manually pick the bin
Putaway Background – system determines the bin
Return to Stock – sends stock back to the source bin

Once posted, stock will be updated under Pick qty and TO will be created awaiting for confirmation.

Step 7: Confirm the Reversal TO

After executing LT0G, a new TO is created for reversal.

Use Tcode: LT12 again to confirm this new TO.
The stock will now be moved back into the storage bin.

Once confirmed, the picked quantity will be moved back to the source storage bin.

After confirmation, WM status changes to A, A (Not Yet Picked, WM TO Required).

Step 8: Restart the Picking Process

Repeat the picking process by referring to steps 3 and 4.
You may now select a different bin depending on the scenario.

Once picking process is completed, the WM status changes to C, C (Completed)

Step 9: Perform post Goods Issue (PGI) (Transaction: VA02)

Open the outbound delivery in change mode (VL02N).
Execute Post Goods Issue.

📦 Once PGI is done:

Stock is removed from the storage bin.
Goods movement status updates to C.

Step 10: Check Document Flow (Transaction: VA03)

Use Tcode: VL03N to review document flow for:

Delivery creation
TO confirmation
LT0G reversal
PGI completion

If you found this guide helpful, don’t miss my other SAP MM blogs covering real-world automation, configuration tips, and best practices for procurement and inventory management.

Click to view other SAP MM Blogs - SAP Community

Regards,

Leelamohan