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Scrap During producion

neeraj_ahuja3
Participant
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Dear Experts

How we can treat the Scrap which is generated during handling process and what would be the legal entitiy for the material in all aspects.

pl suggest

Thanks & Rgds

Pankaj Agarwal

Accepted Solutions (0)

Answers (3)

Answers (3)

neeraj_ahuja3
Participant
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ok thanks

Former Member
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Hi pankaj

In SAP you cannot declare scrap. Only you forcast scrap in particular component or in assembly, and the factor of safety can be build in order while planning. This can be done in BOM or Mat master by adding the % in respective cells.

One way to handle scrap is explained below.

At the the time of GR for production MB 31 do full quantity ( without scrap ). Create a seperate storage location for scrap. Then from unrestricted stock move it to the Scrap storage location what ever the quantity you want by movement type 411. From there you can sell scrap by raising invoice.

Regards

J . Saravan

neeraj_ahuja3
Participant
0 Kudos

Dear J.sarvan

As per u r concern we think about the legal entity also.

u know we r genrating the Scrap and then we r selling it Then th accounting entry from the managemtn side ..... u know ..

so i m talking about the scrap which is generate through handing and i want to reverse it to the concern department and wht would be the procedure , as far as my concern i think material goes to cost center of related department.

is it right..

Rgds

Pankaj Agarwal

Former Member
0 Kudos

What type of scrap youn are taking about?

In SAP, if you scrap it..it will be removed from the system and cannot be invetrised.

pl coem back what type of scrap?

neeraj_ahuja3
Participant
0 Kudos

Dear Rajesha

scrap through handling process .supose single material in one kit material is fall down and its one side of part is damaged ,and cant prepare again . then what would be the legal entry for that material.

is there any process for the MRN . material reverse Note & also rejection reverse note.

rgds

pankaj agarwal