Vendors

Vendors

Changing Vendor on Purchase Order

One PO can not have different vendors. Its logical as one PO goes to one vendor with address.

You cannot change the Vendor once you have saved the Purchase Order. SAP treats the Purchase Order as a legal document. Therefore, once the Purchase Order is saved, it will not let you change the vendor.

You have to delete all the line items and then create another Purchase Order. However, if you are using Enjoy Purchase Order, you can "Hold" the Purchase Order rather than save it after you have create it, then you can change the vendor.

Of course, this means that you don't have any output yet. Therefore, you are not bounds by a legal document as you have not given it to a specific supplier yet.

Logically, you cannot change an important field after creating a document. It defeats the RDBMS principle, but you can change vendor while doing Invoice Verification.

No, you cannot change vendor in released PO, because vendor registration carries some vital configuration information which decides pricing procedure for the items of the PO, logically due to this reasons system doen't allow to change vendor name once PO is released.

Normal practise to come out for this routine problem in purchasing is solved by, simply delete this PO (By changing delivery as completed in PO) and make a new PO for these items.

Eventually, you have only two options:

1. You can do the entire transaction with that wrong vendor number and after MIRO you can transfer post the vendor liability to correct vendor through FI route. BUT THIS IS A WRONG PRACTICE.

2. You need to cancel the PO which has wrong vendor number and create it again with correct vendor code.

One Time Vendors

One time vendors can only be used for specific vendor account groups. Their is a flag for each account group in configuation for this. If one does not exist you will have to create a new vendor account group.

To create a One Time Vendor use XK01 and select the OTV account group.

When creating say a PO use your OTV account the transaction will prompt you for name, address etc (unlike a normal vendor).

You experienced a problem with OTV's whereby users couldn't be bothered to create permanent vendors and just used the OTV account, so beware of that

Sub Contracting Cycle

(1) You have a material that can be procured externally, and you have maintained BOM with components. Any waste generated and received during subcontracting process can be maintained as component with negative quantity.

(2) You create a subcontracting PO (PO with Item Category L). You can also maintain Purchase Info Record for Subcontract category for material and subcontractor.

(3) You make a transfer posting to issue components for SC PO. Material is sent to subcontractor. As material remains under your ownership, system does not make any value entry. But quantity is shown as "Material Provided to Vendor"

(4) You receive finished material against SC-PO. You also specify components consumed in manufacturing of finished goods. Additionally, if you have negative components in BOM, now you'll also receive subcontracting by-products. There are three events, so three accounting entries are generated:

DR FG Stock/ SC By-Product Stock
CR Change in Stock (FG/ SC By-Product )
(for finished goods received)

DR Subcontracting Charges
CR GR/IR Clg
(for moneys payable to Subcontractor)

DR Consumption (Components)
CR Change in Stock (FG/ SC By-Product )
(material provided to Vendor is now charged to expense)

(5) You do the IV for SC Invoice, and the process is complete.

Subcontracting - Key Points

Special Procurement Process.

Item category: L
Order type: NB

In info record vendor should be maintained as subcontractor.

Vendor (Subcontractor) receives the components used to manufacture a finished product directly from your company or through third party.

Your company should place a purchase order for the finished product. In this manually you can enter the required individual components or it can be determined via the explosion of BOM (if exists).

Stock check at vendor level: ME2O

Company stock check: MMBE

GR for individual components through movement type: 501 or 561 (if with out PO or without reference).

GI to subcontracting vendor: through movement type 541.

GR from sub contracting vendor: through movement type: 101
Movement type 543 is displayed to cancel the material cost account.

If the subcontracting order has to be generated through materials planning,the special procurement key has to be set in MRP 2 screen.

Procedure for Setting Partner Functions

The procedure for setting partner functions:

Step 1
Vendor Account Group
IMG->LOGISTICS GENERAL->BUSINESS PARTNER->VENDOR->CONTROL ->DEFINE
ACCOUNT GROUPS AND FIELD SELECTION

Step 2
Defining Partner Schemas
IMG->MATERIALS MANAGEMENT->PURCHASING->PARTNER -> DETERMINATION -
>PARNER SETTINGS IN VENDOR MASTER RECORD
->DEFINE PARTNER SCHEMAS

Step 3
Assign Partner Schema
IMG->MATERIAL MANAGEMENT->PURCHASING->PARTNER DETERMINATION->PARTNER
SETTINGS IN VENDOR MASTER RECORD->DEFINE PARTNER SCHEMA
�� THEN ASSIGN PARTNER SCHEMA

Step 4
Define Permissible Partner Role Per Account Group
IMG->MATERIAL MANAGEMENT->PURCHASING->PARTNER DETERMINATION -
>PARTNER ROLES ->DEFINE PERMISSION PARTNER ROLES

If you want a partner schema for your own document type then define your partner schema and assign to document type using the below mentioned path.

IMG->MATERIAL MANAGEMENT->PURCHASING->PARTNER ->DETERMINATION -
>PARTNER SETTINGS IN PURCHASING DOCUMENTS ->DEFINE PERMISSION
PARTNER SCHEMAS

And then
ASSIGN PARTNER SCHEMAS TO DOCUMENT TYPE

Once you have this configuration then you change your vendor in easy access menu (XK02-select partner function) define the partner roles

What is Vendor Consignment?

Consignment is a functionality in MM-PUR wherein you purchase materials from the vendor on a consignment-basis. When the delivery comes, the materials, though will be stored in your warehouse, are still legally owned by the vendor until they are consumed, i.e. GI posting (this is the only time you will be liable to the vendor).

You just have to make sure, you set up the following to run this function perfectly:

1. Maintain account determination

KNO G/L acct: GR/IR Clearing
AKO G/L acct: Inventory account

2. Check field status compatibility at G/L account, posting keys in the IMG or run SE38/RM07CUFA to display fields compatibilities.

3. Set up output condition type KONS.

4. On the material master record, set special procurement indicator to 10 (consignment) at MRP2 view.

5. Create Info record for the consigned material and vendor-consignor. Be sure the info category is Consignment.