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Re: [sap-other] What Advantages Are There Between a Plant and a Location

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Reply from hovering_yogi on Apr 23 at 10:30 AM
Use a vendor and customer for the subcontractor and send the stock using proper subcontracting process. It's not hard to configure and there are config guides if you search for subcontracting as a process. Stock then exists in your plant but within a stock segment at the subcontractor location similar to consignment.

Mobile at the moment so not convenient to find the links for you but you shouldn't struggle via google

---------------Original Message---------------
From: SAP_Learner
Sent: Tuesday, April 23, 2013 9:37 AM
Subject: What Advantages Are There Between a Plant and a Location

Thank you for the replies they were very helpful. I am trying to determine what is a better method to represent a subcontractor, Presently, they are noted as a location in Plant but I see problems with this. Firstly, I would like to recognize inventory that is being transferred to the SubCx, a location just moves it from one location to another without regard to transit time. I may also want to recognize conversions costs to toll the material, I do not think a location will provide this capability. I have been informed that perhaps additionall plants results in more work for the Accountants at closing.... Not sure why? I would think it easy to manage inventory at a Plant level than a storage location, maybe some entries to adjust inventories, but I'm not treating plants a profit centers, so I am wondering, how much additional work do accountants contend with when I add a Plant to track conversion of material at a subcontractor? I would like to see the material tranformed at the SubCx, they send 870s to recognize the transformation of material from RM to WIP, with quality information. They also send 856s to other SubCx or to the end customer on our behalf. Like to associate the Work Order to the SubCx PO, and in the future actually incorporate the SubContractor as a workcenter for planning. Using a location seems to be restrictive but I simply do not know. I'm trying to find some means to determine this.

 
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