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Serialized Inventory or HU Managed Inventory?

This is a question which can defy a clear cut answer. Each type has its own Pros & Cons and become easier to select one over the other provided legal considerations are there. Given legal consideration are there which always takes primacy, the decision will always be serialization as it is legally mandated for example, the Chemical & Pharma industry. But in industry segments where there is no such legal mandate, it becomes ticklish to decide on one over the other between serialized inventory & HU managed inventory.

Also there can be businesses with supply chains where-in one segment of the chain HU managed inventory is preferable while in other segment of the supply chain serialized inventory is preferred. Will SAP support such a mixed supply chain scenario?

From my perspective an inventory management scenario which involves few materials but inventory tracking requirement at each item/piece level should always have Serialized inventory immaterial of whether there is a legal mandate or not. But I have always seen decision to go for serialization always hinges on legal requirement, if there is no legal requirement despite many other factors favouring serialized inventory, business tend not to go for it as Serialized inventory as it is considered too cumbersome to practice at the ground level.

Handling Unit management is basically for inventory processes involving kitting, even in non-kitting involved inventory process HU managed inventory is preferred by businesses but the effect of this is in making the supporting IT system complex and in a way error prone.

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