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Former Member
Feb 15, 2011 at 11:33 PM

Need suggestion for stock transfer

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Hello everyone

I have a situation in our Business where I need some input from you guys.

In our business there are 2 company codes which are 2 small sub units of the bigger brand.

Company code Sales Org Distribution Div Plant Storage Loc

0001 0001 01 00 ABCD 0010

0002 0002 01 01 & 02 WXYZ 0020 & 0030

Stor. Location 0010 & 0020 are the Picking locations for the Orders placed for the respective plants..

Now Business unit 0001 has decided to take over the Sales of all items in division 01 of unit 0002. These items henceforth will not be sold by the unit 0002 once 0001 starts selling it.

The Orders for such items will still be fulfilled from plant WXYZ physically. Now physically a small part of the current storage location 0020 is designated as a temporary storage place for the above decided items by unit 0001.

( Now does is sound apt to thus create another storage location 0040 which would hold the inventory of these items owned by unit 0001? )

Now the procurement of these Items will however still be done by the Sub-unit 0002 & hence the ownership of these procured items will remain with 0002 initially. They will be kept in storage location 0030 at this point.

Now 0001 will start accepting orders for these new items which will be fulfilled from say location 0040 of plant WXYZ. The location 0040 will not store any material stock .. its like a temporary halt for the materials which are stored in 0030.

Only an apt quantity of the material stock for these items will be moved from location 0030 to 0040 on a daily basis.

This apt quantity is nothing but the quantity required to fulfill all the order due to be Shipped from the Plant on that particular day.

Once it is in 0040, these Orders can be fulfilled.

Now when we move the stock of these materials from 0030 to 0040 should the ownership of the goods from unit 0002 to 0001.

So finally my main question is what options do I have to carry out this stock transfer which also changes ownership ?

Based on my initial assessment, sounds like Stock Transport Order seems might serve the purpose.

Also as mentioned on the forums, Stock Transport Order is used only when transferring inventory between 2 plants belonging to two different Company Codes.

In our case it is the same Plant with transfer happening between 2 different location.

So from a system stand point I am concerned about how would the change in the ownership take place in our case of Stock Transport Order.

Any help will be appreciated.

Thanks

Vin