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Subcontracting Issue - Issued from Plant 1 and GRN in Plant 2

Loan licensing(LL) plants to do manufacturing for my Company because existing manufacturing capacity is less to meet the requirement.

LL Plant is an Offline plant hence we need to follow subcontracting process.

We have 2 plants for our Company.

1. Plant 1 - where only the manufacturing of BFG will occur.

2. Plant 2 - where the manufacturing of BFG will occur and also its packing.

So, all the materials manufactured in plant 1 has to go to plant 2 for packing purpose.

Either the Company will procure the raw materials and send it to LL plant for Manufacturing or the LL plant will directly procure the raw materials, do the manufacturing and send the BFG back to Plant 2 for packing. Raw materials can be transferred from both Plant 1 and Plant 2 to the LL plant, but the Goods should always be received at Plant 2.

My concern here is if the raw material is sent from Plant 1 to LL plant and the BFG is received in plant 2 for packing, I am not sure how should we reflect it in the SAP system. Also, one more requirement is that the material has to be in Quarantine status when transferring it to LL plant.


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2 Answers

  • Posted on Aug 13, 2018 at 06:04 AM

    Hi Gaurav

    By this time you might have solved this issue. If not, then you can build and test the following in your sandbox.

    So in essence, you have 3 plants> plant 1, plant 2 & LL.

    Master data setup:

    -Maintain the MM* for BFG at plant 2 .

    -Maintain MM*+ BOM for BFG at LL(i.e.manufacturing plant).

    -In MM* of BFG > MRP 2 view > special procurement type key = 80(production in alt. plant).

    -In MM* of components maintained at LL > MRP 2 view > special pro. key = 70(withdrawal from alt plant) set issuing plant as plant 1

    Run MRP on BFG at Plant 2 to create planned orders. You didn't mention if you have S4 HANA or ECC instance. Since you haven't mentioned i would consider ECC, in that case, run MRP again at LL on BFG and it should explode BOM and create reservations for dependent components.

    When order is finished, during GR the stock at plant 2 will be elevated.

    MM*= Material master record (MM01)

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  • Posted on Aug 14, 2018 at 08:33 AM

    Gaurav Misri

    You Can map your requirement by Production Planning in a cross plant set-up.

    Your Production Plant : LL ; Raw material Supplying Plant: Plant1 ; Dispatching/Packaging Plant/Planning Plant for FG: Plant 2

    You can test scenario by creating 1 SFG in plant LL with Raw material stk in Plant1;

    After that Creating FG in plant 2 which has SFG assigned to it which we mfg from plant LL.

    For master data setup required & whole process of Production Planning in a cross plant set-up follow steps in below useful link

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