Handling Unpacked Dangerous Goods in Intra and Intercompany STOs in S/4 HANA Product Compliance

[adude]

Hi SAP Community,

I need some guidance on handling unpacked dangerous goods in purchasing scenarios, specifically for intra-company stock transfer orders (STOs) and intercompany STOs, using the S/4 HANA Product Compliance application on premises.

Context:

• Dangerous goods checks can only be processed successfully for products with a released dangerous goods assessment for packaged products.
• The item on the purchase order must be a packaged product.

Question: How should we handle the transfer of unpacked dangerous goods between plants within the same company or between different companies? Are there any best practices or configurations to ensure compliance and safety during such transfers?

Any insights or experiences would be greatly appreciated.

Thanks in advance!

Best regards,

Ajit Dude

[christoph_bergemann · Accepted solution]

Hello

let us focus on EHS Classic first and then Product Compliance

Question:

 How should we handle the transfer of unpacked dangerous goods between plants within the same company or between different companies? 

You need to understand first the "plant" definition and the "company definition" especially: the location of the plant and the transport mode.

E.g. you might have a "big site". For this you have generated one company code and two plants. Both plant are at "one site". UNder such conditions. Must companies consider DG only to be on the safe side.

BUT if you really transport something outside (the goods is really moved e.g. via truck from location 1 to 2) you should (not to say must) consider the DG part

The movement is based on this story (most of the cases): Stock transfer based on a purchase order.

Therefore: based on the stock transfer you need a outbound delivery and here you can perform DG checks.

Now looking on Product Compliance (will now use the term PC). The legal rules are the same. The data model not.

Let us define first "what is a unpacked good". Most of the EHS experts define this as a "bulk transport" which can happen via train, truck, ship (e.g. river) and to use this is "best practise".

Now with Product Compliance you define a CCI and you can define the "packed" part and "unpacked" part

More or less: we discuss in most cases two different material numbers (one "packed good and an unpacked good). My experience in DG part of PC is currently limited. But you should be able to define the DG data for the "unpacked" part. Regarding DG Check etc. Please check online help etc.

I propose: Check 1.) online help and 2.) learning hub.

Especially in the learning hub the available documents regardin PC solution are a "must to read" from my point of view

With best wishes

C.B.

[adude · Accepted solution]

Hi Christoph, Thank you for your detailed response. I would like to provide additional context and seek further guidance based on my understanding and the specific scenario I am dealing with. Context: I am dealing with stock transfers within the same company but between plants located in different cities (Intracompany). This requires transportation and thus involves dangerous goods (DG) checks during the process. Specific Scenario: Unpackaged goods, such as a battery (semifinished goods or parts material type), need to be transferred from one plant to another within the same company. These batteries are handled with different material numbers. Packaged goods, such as chainsaws (finished material type), are handled with different material numbers. Challenges: According to the online documents and Learning Hub for S/4 HANA Product complinace, dangerous goods checks can only be successfully processed for products that are packaged. This means that the item on the purchase order must be a packaged product for the DG checks to be performed successfully. Question: Is there a specific configuration or best practice in Product Compliance to handle such scenarios where unpackaged goods like batteries need to be transported safely? Your guidance on these points would be greatly appreciated. Thank you for your assistance and insights. Best regards, Ajit

[adude · Accepted solution]

Hi Christopher, Thank you for the explanation regarding the transfer of unpacked dangerous goods. I will check the online help and Learning Hub for further details. Best regards, Ajit

[christoph_bergemann · Accepted solution]

Hello

regarding:

"Product Compliance to handle such scenarios where unpackaged goods like batteries need to be transported safely? "

The topic of a "battery" is special. My understanding would be: you must define the maetrial number of battery as "packed".

This is a "special" case. Normally you have a "drum" and inside the "chemical".. Now a battery contans "complex" chemistry.  So the battery as such is "packed"

It is hard to understand the "Pack" part in the new "Product Compliance"

To make it more complex.... e.g. if you "transport "a chemistry via "pipeline" a similar "special" case (you do not "reall" transport it: you "pump" it through the pipeline.

Hope this helps

C.B

PS: https://community.sap.com/t5/supply-chain-management-blogs-by-sap/dangerous-goods-check-for-transpor...

could be of interest for you as well

[christoph_bergemann]

Hello

regarding

"Hi Christoph, Thank you for your detailed response. I would like to provide additional context and seek further guidance based on my understanding and the specific scenario I am dealing with. Context: I am dealing with stock transfers within the same company but between plants located in different cities (Intracompany). This requires transportation and thus involves dangerous goods (DG) checks during the process. Specific Scenario: Unpackaged goods, such as a battery (semifinished goods or parts material type), need to be transferred from one plant to another within the same company. These batteries are handled with different material numbers. Packaged goods, such as chainsaws (finished material type), are handled with different material numbers. Challenges: According to the online documents and Learning Hub for S/4 HANA Product complinace, dangerous goods checks can only be successfully processed for products that are packaged. This means that the item on the purchase order must be a packaged product for the DG checks to be performed successfully. Question: Is there a specific configuration or best practice in Product Compliance to handle such scenarios where unpackaged goods like batteries need to be transported safely? Your guidance on these points would be greatly appreciated. Thank you for your assistance and insights. Best regards, Ajit"

I will try my very best (based on best knowledge) to provide an answer.

To start with Product Compliance you will ALWAYS generate a CCI (implicit type "unpacked").

But the CCI is useless in logistic process. Now you have to understand the material concept.

By "material type" (or other conditions) you can define a "product compliance relevance"

If this relevance exist: you must assign the material to a CCI to integrate the Product Compliance processes to the logistic processes.

Now we have the "strange" fact that in CCI we have two options to do so. We can define the material as "packed" and "unpacked" (and assign the material to the CC).

And yes: I believe you are right. If you would like to use the "Dangerous goods" part of PC: the material ist "per see" packed EVEN if you have a bulk.

This is strange (from user perspective) and will give discussion in your company... but this is fact (according to best knowledge).

Let us now focus on:

"battery (semifinished goods or parts material type),"

Let us make it primitive: the battery is described by a material number having a material type.

As explained (by you): the battery is relevant (for DG). So we need a CCI. BUT may be not all materials of type "semifinished ggod" and "parts" are relevant. 

And this is the "trick".. you need a good concept to define: what is relevant or not.

Same is true for this part;

"Packaged goods, such as chainsaws (finished material type), are handled with different material numbers."

So the chain saw has a different material number and you use the finished material type

So a "chainsaw" is really not "DG" relevant (in most of the cases i know).

Overall: the new concepts in Product Compliance are not easy to understand. I would assume thay many companies need to learn here and prepare goods concepts how they would like to use Product Compliance

From my point of view: the move from R/3 => S/4 is may be "easy" but the move from EHS classic to Product Compliance not. There are many goods reasons to check and validate any Businesss Process and to have good Blue Prints  before you start to use Product Compliance

If you need more help: the best is to get on touch with SAP direct. Product Compliance is a new software (still on track to grow the next years).

Wtih best wishes

C.B.