PIPELINE CYCLE PROCESS STEP BY STEP
By – Ritesh Kumar Madhukar
PIPELINE CYCLE – PROCESS FLOW
A pipeline material is a material that enters the production process directly from a pipeline (for example, oil), from a pipe (for example, mains water), or via a cable (for example, electricity), and can be consumed. Pipeline materials are represented by the material type PIPE.
- There is no PO, No Goods Receipt, No stock for these materials.
- In this we need not create a PO or keep the material in stock. We only record the consumption and pay accordingly.
- We only record the consumption. In MIGO transaction, special stock type is “P”
- All the rate and tax info is stored in info records. Info record category for this is Pipeline
STEP 1: INFO RECORD
T Code – ME11, Material – Petrol – ZEE, Vendor – Test Vendor.
- Info record with Info Category Pipeline will be created.
INFO RECORD – GENERAL DATA
INFO RECORD – PURCH ORG DATA
All rate and tax information must exist in info record or else it will give error in settlement.
STEP 2: RECORD CONSUMPTION
- There is no PO or stock for the pipeline material.
- We can issue / consume material even when it is not there in stock. This is the characteristic of pipeline material.
- Consumption of pipeline material is recorded in MIGO. Special stock type is ‘P’.
- For the example given in the below screen, it is issue to cost center and special stock type is ‘P’.
- Enter the material, quantity, plant, vendor, cost center etc and post the document.
STEP 3: PIPELINE SETTLEMENT
- Pipeline deliveries are settled with the transaction MRKO. Same as consignment material.
- In this transaction select pipeline and give other selection criteria and post the document.
Please revert for any clarification or Doubt.
Ritesh Kumar Madhukar