What's the Cross-docking process effect on inventory valuation at controlling and accounting?

[Lydia]

Hi,

We have a customer who wants to use cross docking. With this, the customer wishes that the inventory does not have to be valuated for the delivered goods. Currently we assume that the customer should use opportunistic cross docking in combination with an embedded EWM. Is the inventory managed as unvalued after posting the goods receipt? What happens to the inventory on the accounting and controlling side during Cross-Docking?

Many thanks for a quick reply.

Lydia

[Lydia]

@juergen.pitz: Can you help me with my question please? I got no reply and need to have it quiet soon. Many thanks.

[Neeraj_Jain · Accepted solution]

Hello meins011,

As per standard system if any material is being transferred between same plant i.e. storage location to storage location, one bin to other bin etc. then in this case no stock valuation will be carried out or we can say no accounting entry will be generated but yes if plant is different in the case of intra and inter company then system will valuated the transferred goods and post the inventory values in both plants.

Process wise refer below SAP thread:

https://answers.sap.com/questions/2999720/cross-docking.html

Regards,

Neeraj Jain

[Neeraj_Jain · Accepted solution]

Hello meins011,

It's not feasible "NOT have to evaluate the stock while it is in the warehouse for dock crossing purpose".

The solution/workaround is that if specific materials are only for dock crossing purpose then business needs to create a another material type with non-valuated option and transact those materials for dock crossing purpose. Previously such type of solution had implemented in a organization for job work purpose. In this customer needs that material should not be valuated if they receive the stock for job work.

Hope it's clarifies your query.

Regards,

Neeraj Jain

[Lydia]

Hello neeraj.jain16,

Thanks for your answer. For me it is not that clear at the moment. Let me explain the customer expactations a bit more precise.

Is inventory valuation performed in the system when using cross docking with goods receipt? The customer only wants to use Cross Docking to NOT have to evaluate the stock while it is in the warehouse. Does cross docking meet this requirement?

Lydia