5.ES Inventory Management Integration (5)

5.ES Inventory Management Integration (5)

1. 1.Introducing Inventory Management

   • 1.asset in FI
   • 2.Why manage inventory
     • 1 profit, 2 loss of sales, cash stuck in inventory, prevent stock losses, ensure FI statements correct

2. 2.IM Org data/structure

   • 1.client 2.company code 3. plant 4.Storage location 5.Shipping point

3. 3.IM material Master Data

   • 1.Material master data with controls
     • maintained centrally, authorisation required can't be deleted
     • all changes visible
     • flag archived deletion process
   • 2. - 9 data views
   • 3. - 6 material master data modules
   • 4.stock types
     • 1 valuated stock 2 unrestricted -use stock 3.Stock in Quality inspection 4.Blocked stock 5.stock in transfer 6.stock in transit

4. 4.IM processes

   • 1.Stock transport orders
     • 1.PO of plant to plant of same company
     • 2.benefits over goods movement
       • 1.Purch req = PO/stock transport orders
         • 2.receipt planned at rec plant
           • 3.enter delivery costs and carrier to sto
             • 4.GR of transport order can be posted to 3 different stock types
               • 5.entire process monitored via PO history
   • 2.Goods Movement
     • 1.material and accounting document created
     • 2.update FI
       • scrappy of stock etc
       • non update - org to org data, gr for transport order and goods issue for transport order in same company code
     • 3.material update material master via quantity in store loc. and valuation of material
       • material valuation
         • moving price external procurement
         • standard price for in house
     • 4.Goods movement types
       • 1.GR from vendor/production
         • 2.GI to customer or production
           • org data to org data movement
             • stock to stock
   • 3.Stock counts
     • difference between stock count and book inventory is posted and material and accounting docs update system
     • is control
   • 4.Controls
     • 1.Inventory counts - segregation of duty
       • 2.differences posted need to be within tolerance set per user
     • 2.once post goods movement you can't delete it
       • to correct error - cancel the incorrect document and create new document
   • perpetual system
   • 0.Inventory risks
     • lost inventory
       • stolen or damaged
     • Incorrect goods receipting
       • 1not counting quantities accepted 2not checking quality accpeted 3accepting items not orderedd

5. 5.IM management and reporting

   • 4. can report for all erp data levels
   • 3.can report total quantity/val of stock for different master data
   • 2.doc lists - material docs, acc docs, cancelled mat docs, reason for movement
   • 1.important reports - low stock levels, slow/fast moving stock, lost stock