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Author's profile photo Isabel Sanchez

Vendor Consignment Process S/4HANA 2020

 

 

As a brief introduction, Consignment Process in SAP for a vendor is used when a vendor provides the company materials on loan.

The materials of the company are kept in the warehouse until you withdraw the said materials for processing. So then, liability is created for the vendor and payment is done on agreed intervals, for example, weekly or monthly.

 

Graphically, the steps are the following:

 

The transactions used are these:

PURCHASING Info record ME11
Purchase order ME21N
INVENTORY MANAGEMENT Goods receipt of consignment material MIGO/MIGO_TR
Withdrawal MIGO/MIGO_GR
INVOICE VERIFICATION Settlement of consignment liabilities MRKO

 

in Fiori, the relevant tiles are under Purchases and Inventory Management.

 

Videos:

Purchasing: https://youtu.be/fxAcED3SWCk

Inventory management: https://youtu.be/kBs2OtxMisw

Invoice verification: https://youtu.be/A07gMIlaEws

 

For reference, here is the video for SIT Fortaleza, where I explained the topic:

https://youtu.be/SRJdKC-xLVU

 

The document for the presrntation can be downloaded here: https://www.linkedin.com/posts/isabel-s%C3%A1nchez-405812b4_sap-consignment-process-sit-fortaleza-2021-activity-6862161391818813440-GuPq

Kind regards,

 

Isabel

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      3 Comments
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      Author's profile photo Manuel Robalinho
      Manuel Robalinho

      Excellent

      Author's profile photo Riti Misra
      Riti Misra

      Hi Isabel,
      Thanks for the excellent content.
      Are you aware of any regulation mandates for this special procurement process in automotive industry in India ? If possible please share the relevant articles.

      Author's profile photo Riti Misra
      Riti Misra

      Hi Isabel,
      thanks for the great content.
      Are you aware of any legal regulation mandates that prohibits automotive industries in India to use this procurement process ?
      Kindly share if you find any articles on this.

      Regards,
      Riti.