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INITIALINTRANSIT Key Figure Calculation Logic

Initial In-transit Inventory (INITIALINTRANSIT)

The Lead time between DC1/DC2 and P1 is 1. The In-transit Stock Inventory added in the current period gets added to the Intransit Receipts of all the future time periods.

Is this the correct behavior of the KF?

My assumption is that the in-transit stock should get consumed in the next period or get added to the projected stock.

Thanks!

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1 Answer

  • Best Answer
    Sep 19, 2017 at 07:52 PM

    Hello Pallavi,

    When goods are transported from a ship-from location to a ship-to location, the quantity of goods is not reflected at either location during the transport. The in-transit quantities are subtracted from the inventory of the ship-from location in the period in which the transport begins. They are added to the inventory of the ship-to location in the period in which the transport ends (that is, the arrival period). During the transport, the goods “vanish” from the inventory key figures.

    To compute the In Transit Receipts of period 1 we start with the Initial In Transit, add the Transport Supply of period 1 and subtract the Transport Receipts of period 1, i.e.:
    In Transit Receipts[1] = Initial In Transit + Trans. Supply[1] – Trans. Receipts[1]

    The In Transit Receipts for all other periods are derived by:
    In Transit Receipts[t] = In Transit Receipts[t-1] + Trans. Supply[t] – Trans. Receipts[t] for t = 2, …, T

    You can find more information in the SAP Help Portal In Transit and in note 2238074, attachment '04E_InTransitInventory.pdf'.

    Best regards,
    Matheus

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