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MRKO settlement only after stock consumption

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Dear All,

We have the below scenario:

1. Consignment stocks are received in a central plant.

2. The stocks will be converted to own stock. (Line item for MRKO settlement liability is created automatically)

3. The own stock from central plant will then be moved against reservations/orders created in other plants via STOs automatically.

4. The stocks will then be consumed in the plants against the orders/reservations.

Now for the above step, MRKO settlement liability is created immediately in 2nd step. Is there any way MRKO settlement liability will be triggered only after stock consumption in 4th step.

Any ideas.

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Answers (2)

Answers (2)

former_member335961
Active Participant

Hello Mohammed,

I don´t see this possible. Overall, the system would not be able to determine which stock consumed in step 4 came from a consignment scenario and which came from a procurement scenario. Therefore the liability is triggered in 2nd step.

BR,

Oscar.

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Dear Oscar,

We use only consignment stocks and don't have any procurement scenario. The problem is we don't want to pay consignment vendor until the stock is consumed in the required reservation/orders.

Is there any way to block payment till the stock is consumed.

Thanks

BijayKumarBarik
Active Contributor
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Consignment process designed for a specific purpose(material received and materiel consumed upon issuing) but in your case material received and immediately converted to own stock- Better follow material standard procurement and use separate payment method to block vendor payment - only payment made after invoice is released(MRBR)