RE:[sap-log-mm] How is 'in transit' inventory handled in standard SAP?

Posted by ha_tran (Senior SAP Supply Chain Business Analyst)
on Jul 26 at 6:23 PM
Hi,

The first three options are technically viable as far as standard functionality of SAP is concerned to cater for business requirement. Alternatively, you can consider implementing the so-called ASN (Advanced Shipping Notification) where the logistics inbound delivery will be automatically generated as soon as the shipping notification is sent from vendor indicating that the delivery is ready to be shipped.

Cheers,
HT

---------------Original Message---------------
From: Bo Gustavsson
Sent: Tuesday, July 26, 2011 9:53 AM
Subject: How is 'in transit' inventory handled in standard SAP?

The business scenario is: US company buy goods from Asia (can be different ports etc.)the terms are that ownership of the goods are at port so goods are in transit on ship and/or otherwise until they arrive in the US warehouse (several weeks).

Question: How is the 'in transit' inventory captured in standard SAP?
A) Use of GR into block stock in US plant.
B) Use of storage location within US plant to capture 'in transit' stock.
C) Setup a separate plant for the in transit inventory then GR at port and use stock transfer from port plant to US plant.
D) In transit inventory is not reflected in MM other than by the invoice receipt, no need for MM inventory.
E) none of the above, please advice

Please advice which would be the right standard SAP solution.Thanks

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