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Former Member
May 06, 2011 at 11:34 AM

Configuration Query

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Hello Experts,

I have following qery.

A manufacturing plant procures a raw material ( say xyz) . The Material is stored in the storage location which is inside the plant as well as in a Cold Storage which is far away from the Plant. The Material has some losses after a certain period ( Storage loss) . The cold storage is hired on rent for some period and it is not fixed for that plant. (one cold storage can be closed and another can be hired.) Whenever there is a production requirement the material will be brought to the factory by arranging the vehicle, hence the frieght cost is involved.

So the qery is whether the Cold storage will be configured as seperate Plant or as Storage location for maufacturing plant in the system considering the material valuation and the implications of it in FI & CO point of view.

Please Guide

Thanks & Regards

Sandeep