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SAP Refurbishment Proacaess
SAP Refurbishment Proacaess
SAP Refurbishment Proacaess
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The SAP refurbishment process involves the repair of older or damaged equipment to
restore it to workable and efficient condition. In any production plant, refurbishing
damaged, high quality and repairable material is a core maintenance process.
Refurbishment saves costs over purchasing new components. As part of our free SAP
PM training, this tutorial introduces the flow and explains the steps of the refurbishment
process.
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The system prerequisites for the SAP refurbishment process are as follows:
To build upon the high-level description of the process provided above, let’s explore each step in detail throughout the
following sections.
Initiate Refurbishment
At this point, an equipment breakdown or defect has occurred. In this step, the replacement spare is procured and
exchanged with the defective repairable spare.
When a repairable spare breaks, there may or may not be a replacement spare in the warehouse. If there is not, the
procurement team must raise a purchase requisition (PR) from the maintenance plant to procure a replacement spare.
The PR follows the company’s normal procure to pay process and the replacement spare is received in the warehouse.
Next, the damaged equipment is uninstalled and physically moved to the warehouse. The material master and serial
number combination of that specific piece of equipment are used to post a goods movement to storage location, using
movement type 101.
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Likewise, the replacement spare is installed and a goods issue is completed, using movement type 261. The material
master and serial number combination of that specific piece of equipment are used to post the goods issue from the
storage location to the production department.
Order
Once the defective repairable spare has been received in the warehouse, the maintenance planner responsible creates
a refurbishment order. The timeline, labor, material and tools to complete the refurbishment process are planned and
recorded on the order. Once the planning activities are completed, the order is released. This signifies that the work
has been initiated.
Material Withdrawal
Next, the responsible technician withdraws the defective repairable spare and other materials required to complete the
refurbishment process.
Refurbishment
In this step, the refurbishment process is carried out as planned. The technician responsible for the refurbishment
process enters confirmations in the system to capture the actual labor, material and tools required to complete the
repair. Upon completion of refurbishment the state of material is changed from damaged to refurbished.
Return
The return of the refurbished repairable spare may be done all at once, or in smaller components if the equipment is
very large or complex. The following changes are made to the refurbishment order when the repairable spare is
returned to the warehouse:
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Stock against order updated with the value arising from the quantity delivered and the current price of the
refurbished material
Once the return is complete, a goods receipt is posted for the refurbished item. Now the repairable spare is functional
and can be used for further material planning or issue to production.
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Order Completion
Once all components of the repairable spare have been returned to the warehouse, the refurbishment order can be
completed. The status of order is set to TECO – technically completed.
Order Settlement
Finally, the settlement rule is created in the order. Thus, the cost incurred to complete the refurbishment process are
settled to the material.
Did you like this tutorial? Have any questions or comments? We would love to hear your feedback in the comments
section below. It’d be a big help for us, and hopefully it’s something we can address for you in improvement of our free
SAP PM tutorials.
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Sachin
July 11, 2017 at 10:15 am
varun
July 15, 2017 at 7:41 am
Sachin,
refurbishment for repaired goods in detail is been explained in next tutorial (SAP Refurbishment Order). Valuation
type needs to be map in material master.
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