inventory organization

7/31/2019 Inventory Organization

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PREPARED BY:

SUYOG SHEMBEKAR

CONSULTANT


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Definition & concept

Concept of Master Inventory Org.

Case

Detailed steps of definition of IO

Transactions (Sub-inventory and Inter-org)


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An organization for which you trackinventory transactions and balances, and/oran organization that manufactures ordistributes products.

Example: Manufacturing facilities,Warehouses, Distribution Centers, Salesoffices.

Applications which secure informationthrough IO: Inventory, BOM, WIP, MS/MRP,Capacity, Purchasing Receiving


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Business Group

Legal Entity

Operating Unit

Inventory Organization

Sub-Inventory


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Master IO

This IO is used for defining and assigning

Items (To other IO)

No transaction happened at this IO

Transacting IO

This organization is particularly used for

transacting Items

(By definition and nature both the

organizations are same)


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Master IO

in

Singapore

Manufacturing

Facility in China

Warehouse in India


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Milk & Packaged Vegetables Co. Ltd.

Milk Department Veg. Department


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Now we will start defining its other attributes,

we will start with defining accounting Option


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For locator control we have following fouroptions


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Further options can be defined as follows


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We will proceed to Costing Information tab of

Organization parameters.


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We use default Valuation accounts when we

define organization parameters. These accounts

default when we define sub-inventories and can

be overridden.


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Inter-org transfer can be of following type


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Other accounts which need to be defined


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Last thing is defining receiving options for the

inventory org. This completes our IO definition


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Now we will define two transacting IO i.e. Milk

Dept and Veg Dept

N ill h 2 b i t i i Milk


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Now we will have 2 sub inventories in MilkDept IO i.e. Milk and Paneer as Stores

S ill d f V d h ill h


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Same we will do for Veg dept here we will have

subinventories as Paneer and Packveg

W d fi th It Milk P d


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We define three Items as Milk, Paneer and

Packaged Veg

W h d t d th h d b l i ll


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We have updated the on-hand balance in all

Sub-inventories

Si il l f P


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Similarly for Paneer.


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And for Packaged veg.

N ill d b i t t f


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Now we will do sub-inventory transfer


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The updated on-hand balance is.


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Finally we will transfer the stock from MD to


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Finally we will transfer the stock from MD toVD i.e. Paneer (Item)


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The final sub-inventory transfer from Paneer to Pacveg


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The final sub inventory transfer from Paneer to PacvegThat completes our basic definition as well as basictransactions of IO and Sub-Inventories


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inventory organization

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