Consignment in Real Business
As a business deal you have an agreement with a vendor to source a particular number of
consignment material to your organization. The consignment material value is
still retained by the vendor until you take out it from the consignment inventory
or post it to own valuated stock. You take possession of the material when you
issue to a cost centre or handover it into your own stock. You settle your
consignment liabilities with the vendor monthly. As a SAP MM consultant you
want to set up this scenario in SAP system.
Special Procurement Vendor Consignment
Vendor Consignment in Material Management
As described above in first paragraph, consignment means
that material made accessible to you by a vendor is stored in your company but truly
valued to the vendor. A liability to the vendor only rises when you pull out
material from the consignment stocks. The following section roughly outlines
the entire vendor consignment process Details on the individual steps are
covered in the further sections.
To manage material in the consignment stock. you need the
following master data:
