MRP planning for Stock Transport Orders on Storage location level

[bjongen]

Dear,

We have a scenario in which we have one Plant, with two Storage locations: ZHUB which is a hub in Holland Europe from which materials are shipped to European customers (via SD Scheduling agreements) and one is ZSHP from which the local (US/Mexico) customers are shipped. Sometimes (in case of stock shortages in ZHUB), the customers in Europe are directly shipped from ZSHP.

Now finished goods are transferred from ZSHP to ZHUB via Stock Transport Orders on Storage location level, that scenario is up and running.

My question is: I want to set up MRP so that ZHUB is being replenished from ZSHP using Purchase requisitions of category U, that are converted into Stock Transport Orders, I know this works between Plants using Special Procurement Keys but we have a scenario here with STO's between Storage locations, not between Plants. How can I set up that for example a SD Scheduling Agreement using Storage location ZHUB, in case ZHUB has not enough stock, it automatically creates Purchase Requisitions for STO's from ZSHP?

I looked through a lot of threads, we don't want to use MRP Areas.

Is this only possible if you use STO's between Plants? E.g. should we create ZHUB as a separate Plant?

Thanks in advance for meaningful clues

Best Regards, Bart

[JL23]

You may want to explain why you do not want to use MRP areas especially as creating an extra plant would create a lot of extra work and master data.

[Anupam1143]

Hi Bart,

You need to configure the special procurement key for Stock transfer from Plant to Sloc MRP area Plant and assign MRP area level settings in Material master.

Regards,

Anupam Sharma

[Former Member]

Hello Caetano,

Thank you for your reply. Since the setting is on Client level and affects all Plants, MRP Areas are not desired by our organization, but I agree with you: as for S/4 HANA, so I learned too, it is the way to go forward.

Now, I have activated MRP Areas and created one for each Storage location in a sandbox system; I see the requirements/stocks/MRP proposals are now displayed separately. My main problem however remains: how do requirements in MRP Area ZHUB create Purchase requisitions for Stock Transport Orders (item category U) in MRP Area ZSHP?

Thanks again for any clues, Bart

[Caetano]

Hello

You can try to do it using a storage location planned separately, but I don't recommend that, since it is a very limited functionality, which only allows you to use a reorder point MRP without external requirements. In addition, this functionality is no longer supported in S/4 HANA, so you would have a problem in a future upgrade.

The MRP area functionality was created exactly with the purpose of planning a storage location (or subcontractor) independently and it replaces the storage location planned separately in S/4 HANA. I think that creating a new plant for your storage location would be much more difficult than to implement MRP areas.

What is your concern against this solution?

Regards,
Caetano