transportation setting when Location Product Substitution is used

[former_member687629]

Hi experts,
I would like to ask question about the setting of transportation lane for substituting product when Location Product Substitution function is used.

For instance, let us assume that there is a plant that produces a certain product with original material and a storage that has a material substituting for the original material. In order for Location Product Substitution function to move the substituting material from the storage to the plant, how should I set the transportation lane? Should I do that by setting a record for SOUCELOCATION MDT as usual(as below)? I would like you to check if my assumption is right or not. Thx.

Best Regards,

Kenta Kono

[keyhani · Accepted solution]

Dear Kenta,

please check this help page.

If you do want the planning algorithms to substitute dependent location demand at the sending location, you need to set the TRANSPORTSUBSTPOLICY attribute in the S4LOCATIONPRODUCT master data type to 1, and you must also create master data as described in Configuring Location Product Substitution.

As far as I know, TRANSPORTSUBSTPOLICY is the only attribute you need to set.

The transport lane must be defined for the original material, because you want to substitute at the storage. After the substitution at the storage, the substitute material is "relabeled" and treated like the original material. The relabeled material is transported to the plant. At the plant, the relabeled material arrives (which is in fact the substitute material) and the plant does not know anything about the substitution.

A drawback of substituting dependent transport demands is that the material is substituted and then transported. At the target location you don't have a differentiation between the original and substitute products anymore. All inventory is treated as original product. Therefore, substituting dependent transport demands is not active per default and must be activated via TRANSPORTSUBSTPOLICY.

You could alternatively define the substitution rule at the plant. Production components are substituted per default. The substitution only happens when you produce at the plant (to fulfill the component demands). In this case, the transport lane must be defined for the substitute material. Because you transport the substitute material from the storage to the plant and do the substitution at the plant.

Kind regards,
Mohammad
SAP Optimization Engines