Scrapping process

[Former Member]

Dear All,

We have a below scenario.

MAT1 is issued to cost center using 201 against reservation (Qty 10 Pcs) and is having a value of 100 INR. Out of which 2 Pcs were got damaged & now we want to scrap these 2 Pcs.

What i am planning is

1. first return the goods to stores using 202, so that cost centre consumption acc will be with actual consn. Then do a transfer posting using 309 from MAT1 to SCR1. Is this right way ?

2. If we do 551 after receiving to storage location, what will happen ?

which is the right way to follow ?

Regds,

CB

[ajitkumar · Accepted solution]

basically yes, if you want the scrapped material in the inventory ( phaps to be sold as scrap later ). if you copy 309 to another movement type, it is possible to specify a modifier for AUM so that another GL can be specified to denote scrap

when 551 it get consumed

[former_member182379]

Hi,

  As you are first issuing the material with 201 and then yuo want to scrap 2 PC,  so it is better first take 2 PC in stock with 202 movement and then scrap with 551 same material code MAT1  this will reduce your actual inventory and srap account will get updated,  if you follow the procedure which you have mention  first 2 PC in stock with 202  then 309 fro  MAT1  to SCR1   this will not reduce your inventory the stock will be in material SCR1 only.  then agin at the ned you have to do 551   for SCR1.

so as per you company finance requirement you can follow any procedure both are ok.

regards,

zafar

[Former Member]

Hi

MB1A--> Movement type = 551. Enter material, qty, Plant, Sloc and a Cost Centre or GL Account.

Once the document is posted, you can see that the stock is deducted from MMBE.

Additional info:

The process of scraping material either you does not want GR in Unrestricated stock then you can change the mvt type 551 instead of 101 then all GR goods is to be scraped

use t.code MB1A

551     E     Withdrawal for scrapping from unrestricted sales order stock

551     K     Withdrawal for scrapping from consignment stores

551     O     Withdrawal for scrapping from unrestr.- use SC stock

551     Q     Withdrawal for scrapping from unrestricted project

551     V     Withdrawal for scrapping from unrestr.-use empties at cust.

551     W     Withdrawal for scrapping from unrestr.-use customer consgmt

[kailas_ugale]

Hi,

2. If we do 551 after receiving to storage location, what will happen ?

I think this is correct one for scarp normally

A material document and an accounting document will be generated to record below results in the system.

• the relevant stock is reduced
• the value of the scrapped material is posted from the stock account to a scrap account

309 is for Material to Material transfer

Kailas Ugale

[former_member331858]

Hi CB,

Your method seems to be OK, You can go ahead.

Thanks

Vijay

[BijayKumarBarik]

Hi,

You return back 2pc of material MAT1 with 202 movement type and do a transfer posting using 309 from MAT1 to SCR1?

Is unit of measurement of both material codes MAT1 and SCR1  are same or different?

Is material type of both material code MAT1 and SCR1 are same or different?

If unit of measurement of both material code is same and material type of both material codes MAT1 and SCR1 ( SCR1 created with scrap material type) are different, then you can carry out transaction with 309 movement type, where resulting   account entries  as Raw material Inventory A/C- Cr and Scarp Inventory A/C- Dr

If  unit of measurement of both material codes are  different, better perform transaction with 551 movement

type, where resulting   account entries  as Raw material Inventory A/C- Cr and Scarp A/C- Dr

More check link:

http://scn.sap.com/thread/1502823

Regards,

Biju K