- SAP Managed Tags
Consignment stock management is a crucial aspect of warehouse operations, ensuring businesses can track and utilize stock owned by vendors efficiently. In SAP Extended Warehouse Management (EWM), Stock Determination Groups help optimize the removal and allocation of consignment stock during warehouse operations.
What is Stock Determination Groups
Stock Determination Groups in SAP EWM ensure efficient stock removal strategies by considering ownership and stock types during creation of Picking Warehouse task. During picking, EWM considers the warehouse no. stock characteristics Owner and Stock Type as defined by us. In doing so, it uses the stock removal sequence to check the existing stocks for the corresponding stock. The stock removal sequence arises from prioritizing individual stocks according to the valuation we define in Configuration.
Let's check out an example of picking an consignment stock to get a better handle on this! below I would explain you with required configuration, master data and testing steps.
Configuration
Follow these steps to set up a stock determination group specifically for consignment stock in SAP EWM:
- Define a Stock Determination Group under the below path in SPRO: SCWM Extended Warehouse Management > Extended Warehouse Management > Cross-Process Settings > Stock Determination > Maintain Stock Determination Groups. Create a new determination on group (e.g., CN-Consignment)).
- Configure Stock Determination under the below path in SPRO. SCWM Extended Warehouse Management > Extended Warehouse Management > Cross-Process Settings > Stock Determination > Configure Stock Determination.
Few tips:
- Stock owner has two types of values "Owner" and "Stock type". based on your requirement for picking you can maintain the value here.
- In the Permitted value, you can give some value of the owner (consignment supplier business partner) or a wild card "*" can be used, blank value does not give any result.
- Valuation in the above configuration determines the sequence of their usage, where the largest value is used first.
Master Data
- Assign the Stock Determination Group in Product master. In transaction /SCWM/MAT1, go to warehouse data view under Stock removal update the Stock determination group.
Testing Results
Test case 1: Lets first test a case where we DO NOT maintain the stock determination group in product master.
- Product master - do not update stock determination group.
- Current Available stock, you can see owner is different than disposal party and Usage is C-Consignment.
- Create an Outbound delivery with consignment product to be picked and Goods issued against any Production or Plant maintenance order.
- Try to create a Picking WT but system wont allow you as the Owner of the available stock and owner in the delivery are not matching. System will throw an error
Test case 2: Now lets maintain stock determination group and do Picking for the same delivery.
- Create Picking WT.
- Picking WT is created and Confirmed. Goods Issue also Completed.
- Later you can do the Goods Issue and complete the process.
Note: In above example, we picked and completed Goods Issue directly from the Vendors stock with usage as C-Consignment. Automatic transfer posting of vendor stock to our own stock and usage change from Consignment stock to unrestricted stock did not happened. You are even not required to do the below configuration in the destination Storage Type and as such their will be no posting with movement type 411(K) on S4 side.
Summary: Managing consignment stock in SAP EWM requires precise configuration to ensure seamless warehouse operations. By implementing Stock Determination Groups, businesses can optimize stock removal processes, enhance transparency, and improve inventory efficiency.
Would you like help setting up stock determination in your SAP system? 😊
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