Knowledge Management

Question:
How or where can I make 1 material into 2 or more materials?
I am in a non-manufacturing environment (distribution center) and we have a pretty unique situation here (at least for us) where we purchased and placed into inventory this item that we normally sell as a whole, but sales has decided this time they want us to break it up into 3 viable items and sell individually.
So, what movement type or transaction can I use to deplete the inventory for the 1 main item and create inventory for the 3 new items? I would assume that SAP would probably break up the cost evenly between the 3 items, and that is ok.
Any help would be greatly appreciated.
Answer:
hi,
if possible create one internal order and then issue the base material to this order using 261 mvt type.
Then from this order receive 3 different materials using mvt type 531 or similar mvt type
this should take care of inventory depletion and creation entries also
Answer:
You can also use a 309 mvmt.
Take the one material you want to split up and a number of dummy materials with a zero value and transfer it to the split material.
The number of dummy materials is the number of split materials minus the number of the 'whole' material.
Advantages:
Link between 'whole' and split materials.
No loss of value.
Disadvantages:
No mark up of split material.
Only one receiving split material (if different materials, additional 309 mvmt necessary).
No cancellation possible: one way only.
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Answer:
You can use trasaction code MB1B trasfer posting with movement type 309.
First you create the materials code in materials master to which you want to transfer stock.
Ensure the price is properly distributed. That is when you calculate the total material value should be equal to the original / main item value.
Then using MB1B and movement type 309 for transfer from material to material.
this should solve your problem.
Shasank
Answer:
This is interesting
Can you help clarify?
If my original material is worth 12 pounds and I need to split this into 2 materials...how can I assign the value so that the first "new" material is worth £7 and the second is worth £5?
Would I not be forced to go with whatever the MAV was on the new materials?
Thanks,
Roos
Answer:
But in MB1B with Mvt. Type 309, you can only do one material to another single material. I need to break up 1 material into 2 or more materials. Unless your version (4.6B) or configuration is different, then I am running into a road block.
Answer:
Hi,
I faced similiar issue and worked as under.
I use to get assembeled item and want to sale in different 3 sub items.
Use transaction mb1a with movement type 551 ( scrap ) assembeled item.
( This reduces inventory of assembeled item )
Again use transaction mb1a with movement type 552 with 3 sub items.
( This increases inventory of sub items and effect of above will be nullified.
Hope this will help you.
Please test and let me know if you have any issue.
Regards,
Jaya
Answer:
i don't understand something. when you are doing a 309 mvt from the first material into the three materials which you want to sell, the price from the original material will be copied to the second , third an fourth material, don't you think?
and if i have one piece in material A and i want to obtain one piece in material B and one in material C (that's my understanding of the request) how can you do it thru mb1b? i can transfer the single piece either into material B or into material C, but not in both.
so, i really didn't get the 309 solution....
asp's solution is very corect in my opinion, but a bit to much of trouble for a one time operation.
what i'll do in a case like this.. a 561 mvt with the three materials i want to obtain and a 562 mvt with the material i want to break apart.
it's true that i loose the connection between the original material and the rezulted pieces, but this enables me to obtain my desired price and also quantities.
very important is to check the accounting documents afterwards in order to see if there is a perfect match.
hope this helps.
_________________
such is life
Answer:
hi,
i see one pitfall in 561-562 solution....the accounts affected will be initial balance entry accounts which may not be desirable in all cases.
To assign the value to the receiving products as per the requirement and not necessarily MAP of the receiving material you can enter the value of the receiving material during 531 movement type.
Hence you get the flexibility for value assignment as well as you can receive multiple materials from one material unlike 309 movment and also you have the linkage and other cost data for the entire break up transaction.
cheers
Answer:
hi
asp, as i've said before, your solution is better, but more complex.
for instance, you must create one internal order and this can prove to be a difficult task for someone who hasn't done it before.
depending on client requirments, you can go either your way or my way.
since this is not a common operation in the bussines process (this is what i've understood), you can probably get away with my 561-562 solution.
your pointing out that the affected accounts may not be desirable is very accurate, but, after all, nothing remains in that account and both entries are clearing each other. exactly that's why i've suggested checking out accounting documents afterwards.
but if this still represents a problem, it can be solved using 291-292 movements instead of 561-562. the accounting effect will be identical with the one suggested by you, but with less pain.
so, is up to mnm to decide which solution is the best for his specific problem, since both are working fine (unlike 309 thing).
hope this helps.
_________________
such is life
Answer:
You have to use Subcontracting concept to get this done. Create new material code for the two items which you want to keep seperately.
Create a subcontracting purchase order seperately for those two items . In each order you attach the the existing item as your component.(1:2) ratio. First do inventory transaction( Mvt type 541) for the component. then make GR(101) during which you will see that component gets consumed ( MVT 542) and the order item gets updated in inventory.
regards
Answer:
Wow, a lot of great ideas to work off of.
Thanks for everyones input.