Shipping

Shipping Sales & Distribution

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Topics 1. Shipping 2. Picking 3. Packing 4. Goods Issue

Shipping  Shipping Shipping component in system begins from Outbound delivery creation and supports a lot of functions. The important one’s are:   

Picking Packing deliveries Processing Goods Issue

Following graphic illustrates shipping activities.

Picking  Picking 

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Picking process involves taking goods from physical storage location and transferring to picking area based on the pick list information, where it would be further processed for packing. Picking information on exact quantity is then fed back in system on delivery. Picking would be relevant for all materials except materials which are created for services. Material is stored in plant in a storage location. In a delivery, to pick the material, storage location should get determined. Storage location determination – Rules are defined so that different criteria can be used.

Picking  Picking location determination rules 

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MALA – Based on Plant and Shipping point. Storage condition can be additional criterion. Storage condition specifies requirements like refrigeration or high value materials requiring safe storage location. RETA – Based on Plant and situation. This is used in Retail scenario MALA is mostly used as storage location determination rule

• Picking from storage location can be done using MMWM, warehouse management function or can be done manually in the delivery

Packing  Packing Packing is integral part of shipping. When delivery is being processed, delivery items can be selected for packing and assigned to handling units. 

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This functionality enables provision of packing information of delivery items to customer & helps in unloading. This also helps in updating information on stock of packaging materials for organization, also allows for representation of multiple levels of packaging. Like items packed in box, which is loaded on pallets and then on to truck.

Packing  Packing  Items are packed into ‘Handling Units’ (HU’s). Initially empty handling units are created in packing screen of delivery into which the materials are packed and information on weights and volumes are fed into it. 

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In Standard system material type for packaging materials is “VERP’. The packaging materials can be added in delivery as an additional item created w/o reference to sales order. Provisions are also made in standard system settings to process returnable packaging materials to cater to industry requirements.

Goods Issue  Goods Issue Immediately after goods leave company, goods issue for the materials needs to be posted in system. Goods issue has following effect in system:  

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Warehouse stock of material is reduced by delivery quantity. Value changes are posted to Balance sheet account in inventory management. Requirements are reduced by equivalent of delivery quantity. Serial number is updated. Goods Issue posting is recorded in document flow. Updates Billing due index for further creation of billing documents.

Goods Issue  Goods Issue Graphical representation of Goods Issue effect of material in delivery on system.

Goods Issue  Goods Issue Goods issue is processed using following options:  

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Goods Issue posting for Individual outbound deliveries Collective goods issue processing for multiple outbound deliveries in foreground mode. Collective goods issue processing for multiple outbound deliveries in background mode.

 Integration exists between the MM and FI modules to automatically post to relevant balance sheet accounts based on the movement type and transaction. 

For standard outbound delivery processing movement type ‘601’ is used.