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Author's profile photo Sridhar Jayavarapu

Consignment Processing in SAP Retail

Hi Friends,

Recently I have configured Consignment processing in Retail.I would like share my experience with you.

Consignment process Overview :

Consignment processing in SAP Retail gives us flexibility when dealing with vendor consignment goods. It will allow us to transfer vendor consignment goods using stock transport orders with delivery, we can keep the same stock category, or we can convert the goods to our own stock, depending on the requirement of the receiving site and the result of stock determination. If we transfer vendor consignment goods and keep the consignment stock category, the goods remain the property of the external vendor until they are sold to customer or consumed the Stock.

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Configuration Requirements :

Activating Retail Consignment Processing

SPRO-Logistics – General-Retail Consignment Processing-Activate Retail Consignment Processing

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Define Strategies for Stock Determination

SPRO-Logistics – General-Retail Consignment Processing-Define Strategies for Stock Determination

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Stock Determination Group WCON

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Alternate Stock Determination Rules for Consignment Processing

SPRO-Logistics – General-Retail Consignment Processing-Define Alternate Stock Determination Rules for Consignment Processing

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Assign Stock Determination Rule in the Applications

SPRO-Logistics – General-Retail Consignment Processing-Assign Stock Determination Rule in the Applications-Inventory Management

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SPRO-Logistics – General-Retail Consignment Processing-Assign Stock Determination Rule in the Applications-Delivery

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Consignment Process Returns activation

SPRO-Logistics – General-Retail Consignment Processing-Activate Consignment Returns with Shipping Processing

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Article Master Settings :

Article :295

Distribution Centre: VZ03

Store :M004

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Stock Determination Group Assignment in RP/ Forecast data

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Store :M004 settings

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Stock Determination Group settings same as DC setting as shown in above screen .

Stock Status :

Article 295


Purchase Order Creation :

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Goods Receipt :

Transaction MIGO :

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After Goods Receipt stock Status at DC VZ03

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Now the Requirement is to transfer the consignment stock from DC to to Store.

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Note : In the STO Consignment Indicator ‘K’ is not displayed in Purchase Order.Only system determines consignment stock in  background.

Creation of Outbound Delivery VL10B

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Delivery PGI:

Transaction VL02N

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Document Flow :

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Display Goods Issue material Document

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Goods Receipt at Store Level

Transaction Migo :

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After Goods Receipt at Store level the Stock Status

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Hope this information useful to others

Thanks & Regards,


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      Author's profile photo Da Thang
      Da Thang

      thx for your share, it's very useful for us.

      Author's profile photo Sridhar Jayavarapu
      Sridhar Jayavarapu
      Blog Post Author

      Thanks for your feedback.

      Author's profile photo Former Member
      Former Member

      Your post has been very helpful. Performing configuration and testing on my system I happen to sap movement makes 411k and 411 converting to own the ítems, then sap make a 641 automatically.

      Please your help on this issue. Thank you. Excuse my english.


      Author's profile photo Sridhar Jayavarapu
      Sridhar Jayavarapu
      Blog Post Author

      Is there any custom process in your configuration to do automatic movement type .I think before goods issue the qty is automatically converted into Consignment to Own stock.Ideally it shouldn't happen.Can you please let me know what are the steps you did ?.

      I am very sorry for late reply.

      Author's profile photo Former Member
      Former Member

      Hi Sridhar, Thank you very much for your answer. I commented to you that even I could not solve this problem, sap still turning Consignment stock to own when posting goods issue. Tell me what information you need so you can make an analysis of my problem. Again thank you very much.

      Author's profile photo Po Kong Kevin Chan
      Po Kong Kevin Chan

      I encountered the same issue too and issue fixed. Just want to share with others the root cause and fixing.

      Firstly, ensure the article master value is correct (Sridhar already mentioned, just to recap).

      For supplying site, must set stock determination group (MARC-EPRIO).

      For receiving site, must set consignment control = 1 (MARC-CONS_PROCG).


      Secondly, ensure RackjobberFlag is set in MVKE table for the article. That means MVKE-RJART= 'X' for that article in STO.

      Lastly, you must complete above two before you create the STO. If the STO was created beforehand, it will always us "historical" config data in PGI (i.e. with 411 K!). This timing wasted me a lot of time in debug.


      Hope this helps.



      Author's profile photo Former Member
      Former Member

      You have consignment info record at supplying plant but you do not have it at receiving plant.

      Author's profile photo Kai Xu
      Kai Xu

      Hi, Sridhar Jayavarapu

      I learned a lot from your post ' consignment process in retail industry'. And I do have a doubts in alternate stock determination rule 'WCON'.

      The consignment stock determination rule WCON has been assigned to movement type 641, why shall we define an alternate stock determination rule in the configuration steps?

      would you mind to help to explain the usage of 'Alternate stock determination' in business process, when and where it will be triggered out?

      Best Regards from China.

                         Kai Xu.(Kevin)

      Author's profile photo Sridhar Jayavarapu
      Sridhar Jayavarapu
      Blog Post Author

      Hi Kai Xu,

      This is used to to give priority which stock you need to pick it stock your stock while sell or issue .

      For example if you see  WCON in my screen shots I have given First priority to pick Consignment stock then in case no consignment stock  it will pick Unrestricted stock.This is configuration one .You can choose which one you want to pick first .



      Author's profile photo Kai Xu
      Kai Xu

      Thank you for your kind answer.

      The basic function of stock determination is quite clear for me. But I don't understand why we define a relationship between rule 0001 and WCON.

      Each stock determination rule was assigned to related site. I think each site has its determination rule, why we define an alternate one.

      I feel so confused.

      Best Regards.

      Author's profile photo Sridhar Jayavarapu
      Sridhar Jayavarapu
      Blog Post Author

      Each site has their own stock determination rule.Some sites they can give priority to use own stock  then consignment stock.Other sites may use stock determination first consignment then own stock.It is depending on stock availability ,Business requirements and total price  of the article.

      Author's profile photo Former Member
      Former Member

      Hi Sridhar,

      Great posting. 🙂

      Have you tried another scenario using inter-company vendor as the vendor of consignment process ?

      The supplying process goes well with the same setting like yours. I'm using item category NKN for fill-up and NKR for pick-up with movement type 635 & 636.

      But when i try to do return from store to inter-company DC the shipping tabulation in the PO is missing. So i can't generate the DO pick-up because of that.

      Thanks before, i hope i can share some experience with you.

      Happy New Year 2015 from Indonesia. 🙂

      Best Regards,


      Author's profile photo Sergio Suarez
      Sergio Suarez

      Hi all,

      Is it possible for SAP to split the posting of an outbound delivery between own stock and vendor consignment stock in an stock transfer order? (movement 641 and 641k)?

      Thank you, regards.


      Author's profile photo Former Member
      Former Member

      Hi Sergio,

      Yes, it is. That's depend on material master that you use inside outbound delivery.



      Author's profile photo P. Ligtvoet
      P. Ligtvoet

      Hi Sridhar.

      Thank you for your post. For a customer we have configured vendor consignment exactly as stated in your explanation. No problems there. We can receive vendor consignment stock and transfer it to stores using STO's. We do run into one problem however. When we  want to replenish our stores using transaction WRP1 the supplier in the STO is the real supplier of the consignment article where we would expect (and need) our own DC as we replenish our stores from DC to store (plant to plant)

      Any ideas what we might have missed in our configuration?

      Thank you, best regards


      Author's profile photo Palani Paramasivan
      Palani Paramasivan

      Hi Peter,

      Did you maintain supply source as 2 ( STO)  in the Logistic store view, if the values are not maintained in article master, WRP1 by default will try to create a Purchase order even for the stores.

      Thanks & Regards

      Palani Paramasivan

      Author's profile photo Former Member
      Former Member

      Hi Sridhar,

      At first, I must thank you for the in-detail and crystal clear explanation on the topic, covering all aspects required to configure and use vendor consignment in retail environment.

      Referring to the article master settings, I understood from the screenshots that consignment control field is required to be maintained as 1 in both, store and DC views.

      In our system here, we do not have the fields displayed in both the views.

      Can you please share more information on the config settings required so that the field is available in article master?

      Thanking you,

      Best Regards, Nihar

      Author's profile photo Former Member
      Former Member

      hi Sridhar
      you share is very helpful.

      I have a questtion :how to configure pos sales inbound to retail use consignment stock. inbound pos profiles have configue consignment,but move type 251,252 is not use  K stock.


      Author's profile photo Bruce King
      Bruce King

      good info How would you return vendor consignment stock that is in EWM?