InterCompany Stock Transport Order (SAP) - LinkedIn

12/7/2017 (8) InterCompany Stock Transport Order (SAP) | LinkedIn
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Heru Winarto 80 15 6
InterCompany Stock Transport Order

(SAP)
Published on February 29, 2016
Does this sound familiar? Your company has two documents: the purchase order (used
for receiving) and the corresponding sales order (used for supply). Your company
ships against the sales order, creates a delivery against the sales order, and picks and
packs the goods against the delivery. Then the company issues the goods against the
delivery and creates a billing against the sales order because the item has been shipped.
Upon the receiving entities, the company posts the invoice receipt with reference to the
purchase order. Finally, the receiving entities to the goods receipt against the purchase
order. Whew!
It would be a great help to have a more streamlined process. Fortunately, you can with
an intercompany stock transport order (STO). Your company can use the process of the
intercompany STO to do intercompany processes. Usually intercompany processes
require both a purchase order and sales order, but setting up an intercompany STO helps
reduce the process to just the purchase order thus reducing your workflow. Furthermore,
compared to using the buy-sell process (purchase order – sales order), using an
intercompany STO as a single document for both supplying and receiving entities gives
your company more control in document flow and help reduce data administration.
Another option is to use plant-to-plant transfer (either 1-step or 2-step) to do the stock
transfer between plants that belong to different company codes. But by doing this, you
do not have the shipping capabilities to track the outgoing shipment from your entity,
and you cannot track the intercompany billing and invoice as well.
Most people know that setting up an STO can be very beneficial to their company.
However, in my experience, I have found many people don’t know exactly how to set
one up properly. I have seen them struggle to manage and monitor its execution, both in
the logistics and financial postings. I have helped companies set up intercompany STOs
and then streamlined the process. I documented everything we did, and the result is this
article. You can use the information I have outlined in this article as a guideline and for
documentation. My process applies to SAP R/3 4.6C and later.
Abstract
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intercompany stock transport order (STO).
Key Concept
An intercompany stock transport order (STO) is the movement of materials between

legal entities in which the financial records of both the supplying and receiving entity
must reflect the title to the goods. Intercompany STOs are actually purchase order
documents in materials management (MM) and include sales and distribution (SD)
deliveries and billing documents. They enable the monitoring of deliveries from the
shipping location and orders at the receiving location while recording all the appropriate
and accurate financial entries.
1.0 Overview & Detailed Scope
Overview
The design focuses on the “InterCompany Stock Transport Order” of materials between
legal entities where the title to goods transfer must be reflected in the financial records
of both the supplying and receiving entity.
It focuses on the standard SAP functionality of a purchase order, delivery and goods
issue, intercompany billing, intercompany invoice, and goods receipt.
The intercompany invoice is being created automatically using EDI/IDOC, which is

being generated from intercompany billing.
The “In-Transit Inventory” account is being used as the GR/IR clearing account in the
receiving company.
Detailed Scope Notes
This document addresses the following two main requirements:
1. Ability to provide appropriate financial recording related to intercompany A/R and

A/P.
Configure EDI/IDOC for automatically posting the intercompany invoice. The

EDI/IDOC is being generated from the intercompany billing as an output. This will
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at the same time.
2. Ability to provide appropriate financial recording related to in-transit.
Configure the automatic account determination and utilize a userexit to post the
GR/IR clearing into “In-Transit Inventory” account in the receiving company. This
in-transit account is being used to reflect the actual transfer of title, where the
invoice is being posted before the goods receipt.
The elements above provide for correct and detailed information being reported to FI
and CO/PA based on InterCompany Stock Transport Order material activities.
2.0 Detailed Business Requirements / Specification
Financial requirements:
Financial Account Recordings: Appropriate financial accounts should be posted to the

ledgers of both legal entities.
1. CO module recordings: Appropriate data must flow to the CO module to support

both account based PA (which feeds the data pool) and cost based PA, which
supports area based reporting.
2. Timing of transactions: At the time intercompany billing is issued by the supplying

company, a corresponding intercompany invoice should occur on the receiving
company with recording into an in-transit inventory account and intercompany
accounts payable.
3. Clearing of in-transit inventory account: This account will be cleared against a

goods receipt on the receiving entity.
3.0 Conceptual SAP Design
3.1 Process in SAP Environment - Conceptual
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codes are set up as plants. Transfers between the shipping location and receiving
locationHeru
areWinarto
done with Stock Transport Orders. The design will include80Stock Transport
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Orders that include SD deliveries and billing documents. This will enable the
monitoring of deliveries from the shipping location and orders at the receiving location
while recording all of the appropriate, accurate financial entries.
The process as defined by current design is as follows:
Create a Purchase Requisition (manually) with the vendor being known on the
receiving plant.
Convert the Purchase Requisition to a Purchase Order (STO) at the receiving plant
Create a delivery by processing the delivery due list on the shipping location.
Pick and pack the goods at the shipping location.
Post goods issue at the shipping location.
Create and post intercompany billing at supplying location (through EDI/IDOC,

intercompany invoice is automatically created on receiving books). Invoice is in
blocked status.
Post goods receipt at the receiving location.
Invoice removed from blocked status and pulled into payment run on appropriate
date.
Complete FI monthly closing - balance intercompany receivables/payables, balance

in-transit inventory.
A more detailed explanation of the basic process for InterCompany Stock Transport
Order is as follow:
Issuance of purchase order by requesting entity in the requesting entity currency.
Delivery (Type NLCC) by the supplying entity
Pick and pack the goods at the supplying location.
Goods Issue (Movement type 643) by the supplying entity with debit to
intercompany cost of sales and credit to inventory.
Intercompany billing (Type IV) by the supplying entity in receiving entity currency
with debit to intercompany receivable and credit to intercompany sales.
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Intercompany Invoice posting automatically via EDI/IDOC in the receiving entity to Try Premium
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debit in-transit inventory account and credit intercompany payable.
Goods Receipt (Movement Type 101) by the receiving entity with debit to inventory
and credit to in-transit inventory account.
NOTE:
If the material is using standard price, any variances from transfer price and additional
cost will be posted to a price difference account.
3.2 SAP Configuration & Master Data Implications - Conceptual
The appropriate condition records need to be created as normal with pricing. These
include fixed transfer prices maintained at supplying plant, receiving company code
level.
Plants that are on the receiving end of the stock transfer transaction, must be set up
as a customer and will be referred to in this document as intercompany customers.
Intercompany customers will be defined for both the receiving company code and
receiving plant, and assigned to the appropriate sales organization.
The shipping plant will be set up as a vendor for the receiving customer plant.
Each shipping plant will be set up as a vendor in the purchasing organization and
company code for the receiving customer plant.
All the shipping plants within a company code/entity need to be tied back to a legal
vendor number, in order to manage the financial transactions (like A/P). In order for
that to be effected, each Plant vendor needs to be assigned a legal selling entity that
will issue the invoice.
Purchasing condition types and schemas are defined to facilitate pricing. Schema is
assigned to the vendor in the vendor master.
No pricing conditions on the info record should be used for the vendor in order to
avoid pricing conflicts between the info record and SD pricing. The pricing should
be coming from SD to make sure the consistency.
Appropriate stock, sales revenue, cost of sales, GR/IR clearing, vendor, customer,
and price difference accounts are set up.
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Mapping of cost components and conditions types to cost based PA80reporting.
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4.0 Detailed SAP Design
4.1 Process in SAP Environment - Detailed
In addition, the detailed human processes must be put in place and monitored to make
up for current design deficiencies. These processes must clarify and assign
responsibilities for:
Price agreement: Setting up, changing, keeping the transfer price in agreement
between supplying and receiving entity. Do not re-price the transfer price in the STO
after goods issue has been done in the supplying company. This will prevent the
price inconsistency within the whole process.
Intercompany Billing Processing: The supplying company must post the

intercompany billing in a timely manner after the goods issue. And with the creation
of this intercompany billing, the intercompany invoice will be posted in the
receiving company almost at the same time through EDI/IDOC. This will make sure
that the in-transit goods is being recorded in both supplying company (as
intercompany A/R and intercompany sales) and receiving company (as in-transit
inventory and intercompany A/P).
EDI/IDOC: The failed EDI/IDOC needs to be checked on daily basis, and post the
Invoice by either re-processing the EDI/IDOC or manual Invoice Verification
transaction.
Receipt of materials: The quantity during goods receipt posting in the receiving
company must be the same as the quantity issued from the supplying company. This
will make sure that the in-transit inventory account is being cleared correctly. If
there is discrepancy in the quantity, then the receiving company will need to do
additional goods issue (custom movement types can be created if the G/L account
posted will need to be differentiated).
Periodic activities related to intercompany
Check SD “Billing Due” for intercompany goods issued but not invoiced.
Check EDI/IDOC for failed document. Re-process or post Invoice manually.
Check the balances between intercompany A/R and A/P.
Check in-transit inventory account for intercompany movements that have not been
cleared.
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A breakdown in any of these highly manpower dependent processes will
80 lead to15 6
significant out of balance conditions on intercompany accounts and/or unusual

purchase/inventory revaluation entries.
4.2 SAP Configuration & Master Data Implications - Detailed
4.2.1 Finance
Configuration Elements
IMG Entry
Detailed Instructions:
Trans. IMG/Short Configuration/Master Data description/Comments

Code description/name
Configuration assumes normal enterprise design/set up for

financial hierarchies (company codes, chart of accounts, etc.)
OBBH Configure FI Substitution needed in the company codes

related to intercompany transactions.
OB28 Configure Validation needed in the company codes related to

intercompany transactions.
Master Data Elements
Explanation of master data requirement:
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FS00 Display GL Verify that enterprise G/L accounts are maintained in the
account centrally company codes related to intercompany transactions.
4.2.2 Controlling
IMG Entry
Detailed Instructions:

Code description/name
CO-PA assumes adoption of enterprise design on cost

component layout.
OBYC Configure automatic Configure automatic account determination for all the
postings intercompany transaction.
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4.2.3 Sales and Distribution
Sales
There is no configuration for Sales documents processing since the initial transaction is
a purchase order.
Delivery type
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LOGISTICS EXECUTION --> SHIPPING --> DELIVERIES --> DEFINE DELIVERY Try Premium
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TYPES (OVLK)
Use existing delivery type NLCC (Replen.Cross-company).
The field for requirements routine for delivery item no referencing a sales document
is set to 202: Order w.indep.item.
Default order type set to DL (Order Type Sched).
Text determination procedure set to 02 (Delivery Header)
Output determination procedure set to V10000 (Header Output).
Output type set to LD00 (Delivery Note).
Delivery Item Category
LOGISTICS EXECUTION --> SHIPPING --> DELIVERIES --> DEFINE ITEM

CATEGORIES FOR DELIVERIES (OVLP)
Use existing delivery item category NLC (InterCo Stock Tr.Itm).
Text determination procedure set to 02.
Delivery Item Category Determination

Messaging
LOGISTICS EXECUTION --> SHIPPING --> DELIVERIES --> DEFINE ITEM

CATEGORY DETERMINATION IN DELIVERIES (0184)
Delivery TypeItem Category GroupUsageHigher Level Item Cat.Delvy Item Category
NLCC 0001 V NLC
NLCC NORM V NLC
NLCC VERP V NLC
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Delivery Winarto
Copy Control 80 15 6
LOGISTICS EXECUTION --> SHIPPING --> COPYING CONTROL --> SPECIFY

COPY CONTROL FOR DELIVERIES (VTLA)
Sales to Delivery
Existing copy control entry: target is NLCC, source is DL. The data transfer VBAK is
301 (Header w/o Order).
Existing copy control entry: target is NLCC, source is DL, item category NLC. The data
transfer VBAP is 302 (Item w/o Sales Order).
Billing Document
SALES AND DISTRIBUTION --> BILLING --> BILLING DOCUMENTS --

> DEFINE BILLING TYPES (VOFA)
Existing intercompany billing document type IV (Intercompany Billing), and IG

(Internal Credit Memo) as the reversal of IV.
Billing Copy Control
SALES AND DISTRIBUTION --> BILLING --> BILLING DOCUMENTS --

> MAINTAIN COPYING CONTROL FOR BILLING DOCUMENTS
Copying control: Billing document to billing document (VTFF):
Existing copy control entry: target is IG, source is IV. Set copying requirement to 005
(Cancellation header).
Existing copy control entry: target is IG, source is IV, item category NLC. Set copying
requirement to 006 (Cancellation item). Set pricing type to D.
Copying control: delivery document to billing document (VTFL):
Existing copy control entry: target is IV, source is delivery NLCC. Set copying
requirement to 014 (Hdr dlv.rel.IC bill.)
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Existing copy control entry: target is IV, source is delivery NLCC, item category NLC. Try Premium
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Set copying requirement to 018 (DlvReltdItemW/oOrdIB). Set billing quantity to B.
Heru type
Set pricing Winarto
to B. 80 15 6
Pricing
SALES AND DISTRIBUTION --> BASIC FUNCTIONS --> PRICING --> PRICING
CONTROL
SD Condition Tables (V/04):
If necessary, new condition tables can be created (to be used by access sequence PI01
and condition type PI01 for Transfer Price).
SD Access Sequence (V/07):
Use existing access sequence PI01, to be used by condition type PI01 for Transfer Price.
Includes the custom condition tables created in the previous step.
Table 55: Sales Org./Order/Plant/Material
(komk-vkorgau, komp-werks, komp-matnr)
SD Condition Type (V/06):
Use existing condition type PI01 (Inter-company Price) to represent Transfer Price.
Access sequence PI01.
Condition class B for prices.
Calculation type C for quantity dependent.
Condition category I for Price for intercompany billing.
Item level condition flagged.
Manual entry should be D for not possible to process manually.
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Use existing condition type PI02 (Inter-company %) to represent Transfer Price Try Premium
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percentage.
Access sequence PI02.
Condition class B for prices.
Calculation type A for percentage.
Condition category I for Price for intercompany billing.
Item level condition flagged.
Manual entry should be D for not possible to process manually.
Price Procedure (V/08):
Create a new pricing procedure. Condition types PI01 and PI02 are included in this
pricing procedure.
Define customer pricing procedure:
Create a new customer pricing procedure P (Intercompany).
Define document pricing procedure:
Create a new document pricing procedure P (Intercompany).
Assign document pricing procedures to billing types:
Assign document pricing procedure P (Intercompany) to billing type IV and IG.
Define Pricing Procedure Determination:
Assign the new pricing procedure to every combination of sales organization,

distribution channel, and division with customer and document pricing procedure P.
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Intercompany Billing 80 15 6
SALES AND DISTRIBUTION --> BILLING --> INTERCOMPANY BILLING
Assign organizational units by plants (OVV9):
For each plant that could be a supplying plant for a intercompany transaction, fill in the
sales area that will be issuing the intercompany invoice.
Sales organization: represents the organization which owns the plant.
Distribution channel.
Division
Define internal customer number by sales organization (OVVA):
This implies that the intercompany customer has already been created in the system. At
least the General Data views so that the customer number can be established.
For each sales organization, assign the intercompany customer number related to the
owning company code of that organization.
Customer
LOGISTICS --> SALES AND DISTRIBUTION --> MASTER DATA --> BUSINESS
PARTNER --> CUSTOMER --> CREATE --> COMPLETE (XD01)
Plants on the receiving end of an intercompany transaction must be defined as

customers, using an internal number assignment. These customers have specific
information required. These data are:
New account group can be created if necessary.
The reconciliation acct on the Account Management screen is required and it

should be the intercompany reconciliation account.
The currency on the Sales view should reflect the currency of the requesting plant.
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The customer pricing procedure field must be set to P (Intercompany) Try Premium
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SD Pricing Condition Records (for SD Billing document)
LOGISTICS --> SALES AND DISTRIBUTION --> MASTER DATA --

> CONDITIONS --> SELECT USING CONDITION TYPE --> CREATE (VK11)
(1) Transfer Price – condition type PI01:
Condition type PI01 is mandatory, which represents Transfer Price. Each Billing
document must contain condition type PI01. This condition type is assigned access
sequence PI01. Each business should build condition records for PI01 as appropriate.
(2) Output tax:
Even though output tax condition is not mandatory, each Billing document in supplying
company must have it in order the EDI/IDOC to be able to find the corresponding input
tax in Invoice document in receiving company.
(3) Other condition types:
In addition to transfer price and output tax, the business may elect to incorporate other
condition types in their pricing procedure.
4.2.4 Materials Management
Purchasing Document Type
MATERIALS MANAGEMENT --> PURCHASING --> PURCHASE ORDER --

> DEFINE DOCUMENT TYPES
Create a new document type for intercompany stock transport order if needed. The
allowed item category is only ‘standard’. And it can be linked to purchase requisition
with document type NB and ‘standard’ item category.
Set up Stock Transport Order
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MATERIALS MANAGEMENT --> PURCHASING --> PURCHASE ORDER --> SET Try Premium
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UP STOCK TRANSPORT ORDER
Define shipping data for plants:
Assign the following data to each intercompany plant:
Customer number plant
Sales organization
Distribution channel
Division
Assign delivery type and checking rule:
Assign delivery type NLCC to checking rule for each intercompany plant for the new
purchasing document type.
Pricing
MATERIALS MANAGEMENT --> PURCHASING --> CONDITIONS --> DEFINE

PRICE DETERMINATION PROCESS
Define calculation schema (M/08):
Create a new pricing procedure. Condition types PI01 and PI02 are included in this
pricing procedure. New pricing routine should be created and assigned to condition
types PI01 and PI02 in ‘Alternative formula for condition base value’ so that it can pick
up the pricing from SD. In this way, the pricing will be consistent between MM and SD,
and less master data maintenance since no purchasing info record will be needed.
Schema Groups: Vendor:
Create a new schema group for vendor 02 (STO Vendor (Supplying plant).).
Schema Groups for Purchasing Organizations:
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Create a new schema group for purchasing organization 0002 (STO.8 Receiving plant.). Try Premium
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Assignment of Schema Group to Purchasing Organization:
Assign schema group for purchasing organization 0002 to every intercompany STO
purchasing organization.
Determine Calculation Schema for Standard Purchase Orders (OMFO):
Assign the new pricing procedure to combination of schema group for purchasing
organization 0002 and schema group for vendor 02.
Movement type
MATERIALS MANAGEMENT --> INVENTORY MANAGEMENT AND

PHYSICAL INVENTORY --> MOVEMENT TYPES --> COPY, CHANGE
MOVEMENT TYPES
Create new movement types if necessary to adjust the received quantity in case any
difference from the shipped quantity. Maintain new account modification for
transaction/event key GBB. This then will be used to assign G/L account in automatic
account determination.
Vendor
LOGISTICS --> MATERIALS MANAGEMENT --> PURCHASING --> MASTER

DATA --> VENDOR --> CENTRAL --> CREATE (XK01)
Shipping plants on the supplying end of an intercompany transaction must be defined as

vendors, using an internal number assignment. These vendors have specific information
required. These data are:
New account group can be created if necessary.
The reconciliation acct on the Account Management screen is required and it

should be the intercompany reconciliation account.
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plant.
The schema group for vendor field must be set to 02 (STO Vendor (Supplying
plant).).
The GR-based invoice verification field must not be flagged. This enables an
invoice to be created prior to the goods receipt being done.
Assign the vendor to the plant in Extras à Additional purchasing data.
4.2.5 EDI
Automatic Posting to Vendor Account
SALES AND DISTRIBUTION --> BILLING --> INTERCOMPANY BILLING --

> AUTOMATIC POSTING TO VENDOR ACCOUNT (SAP-EDI)
Maintain output types (V/40):
Create a new output type if necessary.
Access sequence 0005 (SalesOrg/Customer/Billing Type).
Dispatch time 4 (send immediately (when saving the application)).
Transmission medium 6 (EDI).
Partner function BP (Bill-to party).
Assign vendor (WEL1):
A vendor must be assigned per company code and customer for intercompany billing.
Create logical address (supplying company code and customer) for every destination
(receiving company code and vendor). The logical address must contain 14 digits. If the
company code does not contain 4 digits, space must be put after it. If the customer
number does not contain 10 digits, zeros must be put before it.
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MATERIALS MANAGEMENT --> LOGISTICS INVOICE VERIFICATION
80 --> EDI 6-
15
-> ENTER PROGRAM PARAMETERS
Maintained the control parameters for posting EDI invoice receipts for every
intercompany vendor in the receiving company code.
Set the invoice and credit memo document type to a newly created custom one.
And if necessary, set the processing type to 1 (Unclarified error: park invoice) to have
the invoice parked when there are variances between the data in the EDI invoice and the
data the system expects to receive (from the purchase order and purchase order history).
Assign Company Code
MATERIALS MANAGEMENT --> LOGISTICS INVOICE VERIFICATION --> EDI -

-> ASSIGN COMPANY CODE
Assigned the company name that will be used by the EDI partner in invoices for the
defined company code. The “Company Code Name in the Invoice” must exactly the
same as the corresponding Customer Name.
Assign Tax Codes
MATERIALS MANAGEMENT --> LOGISTICS INVOICE VERIFICATION --> EDI -

-> ASSIGN TAX CODES
Assigned the output tax codes transmitted by the EDI partner to the corresponding input
tax codes.
Output Type
LOGISTICS --> SALES AND DISTRIBUTION --> MASTER DATA --> OUTPUT --
> BILLING DOCUMENT --> CREATE (W31)
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Organization/Billing Type’ for every intercompany sales organization and billing type
IV and Heru
IG. Winarto 80 15 6
Set the partner function to BP. Set the transmission medium to 6. Set the dispatch time
to 4.
Maintain Partner Profile Manually (WE20)
The partners must be defined with inbound or outbound parameters.
Customer:
For every intercompany customer, maintain the outbound parameters.
Partner type KU (Customer).
Partner function BP (Bill-to Party).
Message type INVOIC.
Message code MM.
Outbound options tab: set basic type to INVOIC01.
Message control tab: created a new entry with application V3, message type ZSTO,
process code SD08.
Vendor:
For every intercompany vendor, maintain the inbound parameters.
Partner type LI (Vendor).
Message type INVOIC.
Message code MM.
Inbound options tab: set process code to INVL.
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4.2.6 ABAP (User exit) 80 15 6
The following User exits are being used:
Enhancement LMR1M002 function module EXIT_SAPLKONT_011
This is being used in automatic account determination for in-transit inventory.
Enhancement LVEDF001 function module EXIT_SAPLVEDF_002
Change the customer name into capital letter, which is then being used for
determining the company name in invoice document.
Determine the default input tax code for certain countries based on certain criteria
(if necessary).
Enhancement MRMH0002 function module EXIT_SAPLMRMH_015
Assign certain default value, e.g.: State Central Bank (SCB) indicator E
(Wareneinfuhr), etc. in invoice document for certain company code.
Enhancement LVEDF001 function module EXIT_SAPLVEDF_001
This user exit is needed for the case of batch split in Delivery, in order to move
and/or totalize the batch split sub-items into the higher-level main item.
5.0 Integration Points
The InterCompany Stock Transport Order transactions can only be configured and
executed with a high degree of integration between purchasing, logistics, sales, and
accounting.
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SAJU JOSEPH 8 2w
SAP MM Consultant at CCS Technologies Pvt.Ltd
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Good information
Like Reply
Shane Trammel 1w
SCM Solution Manager at HCL AXON
Do you have a similar document for an Intracompany STO process. Same company code,
diﬀerent plants.
Like Reply 1 Reply
Heru Winarto 1w
IT Executive, PMP, ERP Professional
Unfortunately not at the moment...But the configuration is relatively simpler and

more straightforward since it does not involve A/P and A/R postings.
Like Reply
Heru Winarto
IT Executive, PMP, ERP Professional
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12/7/2017 (8) InterCompany Stock Transport Order (SAP) | LinkedIn

InterCompany Stock Transport Order

An intercompany stock transport order (STO) is the movement of materials between

1.0 Overview & Detailed Scope

The intercompany invoice is being created automatically using EDI/IDOC, which is

Detailed Scope Notes

This document addresses the following two main requirements:

1. Ability to provide appropriate financial recording related to intercompany A/R and

Configure EDI/IDOC for automatically posting the intercompany invoice. The

2. Ability to provide appropriate financial recording related to in-transit.

2.0 Detailed Business Requirements / Specification

Financial Account Recordings: Appropriate financial accounts should be posted to the

1. CO module recordings: Appropriate data must flow to the CO module to support

2. Timing of transactions: At the time intercompany billing is issued by the supplying

3. Clearing of in-transit inventory account: This account will be cleared against a

3.0 Conceptual SAP Design

3.1 Process in SAP Environment - Conceptual

The process as defined by current design is as follows:

Pick and pack the goods at the shipping location.

Post goods issue at the shipping location.

Create and post intercompany billing at supplying location (through EDI/IDOC,

Post goods receipt at the receiving location.

Complete FI monthly closing - balance intercompany receivables/payables, balance

Issuance of purchase order by requesting entity in the requesting entity currency.

Delivery (Type NLCC) by the supplying entity

Pick and pack the goods at the supplying location.

3.2 SAP Configuration & Master Data Implications - Conceptual

4.0 Detailed SAP Design

4.1 Process in SAP Environment - Detailed

Intercompany Billing Processing: The supplying company must post the

Periodic activities related to intercompany

Check EDI/IDOC for failed document. Re-process or post Invoice manually.

Check the balances between intercompany A/R and A/P.

significant out of balance conditions on intercompany accounts and/or unusual

4.2 SAP Configuration & Master Data Implications - Detailed

Trans. IMG/Short Configuration/Master Data description/Comments

Configuration assumes normal enterprise design/set up for

OBBH Configure FI Substitution needed in the company codes

OB28 Configure Validation needed in the company codes related to

Master Data Elements

Explanation of master data requirement:

Trans. IMG/Short Configuration/Master Data description/Comments

Trans. IMG/Short Configuration/Master Data description/Comments

CO-PA assumes adoption of enterprise design on cost

Follow Write an articl

Use existing delivery type NLCC (Replen.Cross-company).

Default order type set to DL (Order Type Sched).

Text determination procedure set to 02 (Delivery Header)

Output determination procedure set to V10000 (Header Output).

Output type set to LD00 (Delivery Note).

Delivery Item Category

LOGISTICS EXECUTION --> SHIPPING --> DELIVERIES --> DEFINE ITEM

Use existing delivery item category NLC (InterCo Stock Tr.Itm).

Text determination procedure set to 02.

Delivery Item Category Determination

LOGISTICS EXECUTION --> SHIPPING --> DELIVERIES --> DEFINE ITEM

Delivery TypeItem Category GroupUsageHigher Level Item Cat.Delvy Item Category

NLCC 0001 V NLC

NLCC NORM V NLC

NLCC VERP V NLC

LOGISTICS EXECUTION --> SHIPPING --> COPYING CONTROL --> SPECIFY

SALES AND DISTRIBUTION --> BILLING --> BILLING DOCUMENTS --