Managing Stocks by Serial Numbers

[leon_laikan]

Hi, everybody

I am trying to adapt the idea of managing stocks by serial numbers to suit my company's business. But I am adapting it in a very strange way. So, I would like to know if the idea is feasible or not.

I could do tests on SAP myself to get my answers, but unfortunately I do not have a test database at the moment, and will have to wait some time for my SAP Partner to install it. So, if you could help me evaluate my idea meanwhile, I would be very happy.

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My Problem

My company buys and sells goods on demand for export. In theory, our clients can order practically anything you can imagine, and we try our best to buy these goods for them on the local market. We do not stock any goods.

When we have obtained all the goods ordered (this could be a very long list), we deliver them to the client, and bill him.

Because of the special nature of my company's business, it would be impossible to code all the stock items that we deal with. I have obtained workable suggestions on the SAP forum in the past.

But I have a new idea: I am thinking of a codeless system, using serial numbers as substitute for Item Codes. I wish to know if this could work.

The idea of codeless stock system, using serial numbers to manage stock:

1. Create only one stock item code for each client (who may order hundreds of different stock items).

For simplicity, I use the same code for both the client and the stock item code:

e.g. AA125, which is the BP Code of the client and

AA125 which is the Stock Item Code which will house all items ordered by the client.

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2. All the different items ordered by the client will be regarded as the different serial numbers of the same Stock Item (AA125).

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3. So, suppose we receive goods (GRPO) for the client. All these goods have the same item code (AA125), but they have different "Serial Numbers" as follows:

AA125 - Eggs (here, "Eggs" acts as a serial number)

AA125 - Computer Monitor LCD Viewsonics 20" (here Computer Monitor...acts as another serial number. You get the idea?)

AA125 - Washing Powder Mr. Propre 3kg

etc

etc

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4. We are using the SAP Document flow model, i.e all transactions are traced from start to finish (Sales Order, Purchase Order, GRPO, Purchase Invoice, Delivery, Sales Invoice), each document being copied to the succeeding one.

My Questions:

or rather sub-questions 🙂

(a) Would it be possible to insert the "serial numbers" (which are actually item descriptions) right at the beginning (i.e. at the Sales Order Stage), instead of at the GRPO stage as in my example above?

I am asking this question because when you purchase, say watches, you only know the Serial Numbers (1111, 1112, 1113, etc) at the time of the GRPO.

But for my idea to work, I need to have the "serial numbers" (actually: item descriptions) right at the beginning.

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(b) Would it be possible for a client to order, say 10 units of Washing Powder Mr. Propre 3kg.?

I am asking this question because I think there can be only one unit with a given serial number (for. ex. only 1 watch Seiko with serial number 123456). My idea will only work if we can put any quantity, not just 1.

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(c) Are there any problems with my idea?

............

Thanks for any help.

Leon Lai

[former_member211473 · Accepted solution]

Hi

For your option b, you need to use batch in order to deal with more that one quantity. yes serial number refers to only one quantity. your each batch can represent one specif item and the quantity of each batch represent the quantity of each specific item. with batch you can also set other properties.

for option a, batch and serial no show effect when there is any quantity involved in transaction, means either goods are coming in or going out or if there is any inventory transaction. i don't think you can enter batch details in your sales order.

for option c, it might work your way,

Cheers !!!

Thank You

[leon_laikan · Accepted solution]

Hi, Ranu

Thanks for your reply.

I also think like you do (that serial no. refers to only one quantity).

However, at a conference on SAP, I saw a SAP expert demonstrate how serial numbers could be used to simulate descriptions. I saw he put a figure greater than 1. But he worked so rapidly on his laptop that very soon, I could not follow.

I heard him say he used "serialisation". I think he was using serial numbers to manage SAP.

Any idea how he did his magic?

Best Regards,

Leon

[Abdul]

Dear

Serial number works for one quantity only and batch number works for group of quantity, As per you business process i recommend to use unique item code for each item like Itemcode1 = Soap, ItemCode2 = Washing Machine. Use serial numbers for electronic items like mobile or laptops. Like Iphone 4 will have one item code and serial number will be IMEI number of each mobile phone.

To track batter fuser proper item codes if you have difficulty in opening many item codes in system use import item master data from system, set a template and share with your client tell him to fill it for required new items them import the same file in system to create item master data. For batter analysis purpose i recommend to use item code for each item and serial number for relevant items only

[leon_laikan]

Hi, Abdul

Thanks for your reply.

Maybe batch management can work as per your suggestion.

I wish to know if we could put a description in the batch field instead of the expiry date. See my reply to Ranu.

To use your illustration, if we receive 'Palmolive soap' could we receive it under 'Itemcode1' = SOAP, then type 'Palmolive' as batch?

If yes this could work for me!

Best Regards

Leon

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[former_member211473]

Hi

what I know is if you make 10 laptops, give unique serial no to each piece or use a batch to identify a group of 10.

I don't know about serialisation or managing same serial no for more than 1 quantity. I think the system also takes unique serial number every time.

And what is the issue for you using batch instead of serial ?

Also I am sure I am not as good as SAP expert demonstrating things in a seminar. 🤔

Thanks

[leon_laikan]

Hi, Raju and Abdul

I took good note of your comments, and these helped me enormously to find my own solution.

I shall use Stock Management by BATCHES as you both pointed out, not Serial Numbers.

I shall create a SINGLE Stock Item Code for each client, who may order several dozens of different items (which we do not stock, but must buy on demand).

I do not want to create several dozens of different codes, one for each item ordered.

So, I use Batches to set up a system which does not require coding each item.

How?

Suppose the client's code is AA125. So, I create a single Stock Item Code also called AA125

On the Sales Order:

In the 1st row, I type: AA125 Potatoes 50 kg

In the 2nd row, I type : AA125 Corn Flakes 20 Packs 250g

In the 3rd row, I type: AA125 Frozen Fish 75 kg

etc

I can then follow the supply chain (P.Order, GRPO, etc)

At the GRPO stage, suppose I receive the 50 Kg Potatoes. I will treat it as a batch within the item code AA125, and I will name the batch "Potatoes"- same as on the Sales Order. I can continue my supply chain using this batch.

Similar for the other items ordered by the client.

This system will permit me manage my supply chain without creating any Item Codes at all!

So thanks again. You both have been of immense help to trigger my subconscious mind.

Unfortunately, I can only mark one answer as Accept!

Best Regards,

Leon