Externally-owned stock in SAP Business ByDesign

[iris_zimmermann]

With this blog, I explain how you can work with externally-owned stock in SAP Business ByDesign.

Warehouse managers want sometimes to store products that are owned by another business partner, such as supplier or customer, for example to store products for demo purpose or for prototyping. The reason is they want to locate these products in the warehouse until they are returned or used.

Now, you can receive and withdraw externally-owned stock with a reference to the owning business partner, move it within the warehouse or change from restricted to un-restricted or set it in ‘inspection’ or the other way round.

With the help of the common task “New externally-owned stock adjustment” in the Physical Inventory Work Center, you can perform absolute quantity posting, receiving additional quantity, or issuing of externally-owned stock

New Externally-Owned Stock Adjustment

The resulting confirmation ID is also visible in the confirmation journal. It will not create a journal entry in finance since it is not in your ownership.

Furthermore, you can move the externally owned stock in the warehouse with the “Goods Movement” Common Task as well as change the restricted indicator or the “Change of Stock” Common Tasks in Internal Logistics Work Center. With selecting the check box ‘Externally-owned Stock’, the Owner ID field opens up.

Goods Movement enabled for externally-owned stock

Consequently, you can see in the stock overview the different owner. If there is no document ID tagged  – that reserves the externally-owned stock for Third-Party Order Returns or for repair – the above-mentioned activities can be processed.

Stock Overview with different owner (externally-owned stock)

 

Externally-owned stock is also available for externally-managed warehouses (Third-Party Logistics – 3PL). To use it manually with the “New Inventory Alignment of externally-managed location” Common Tasks, you need to enable the externally-owned stock indicator and the owner fields in personalization.

The externally-owned stock functionality

• is not transferred to finance, since it is not in your ownership


• is not considered in planning


• is not available for outbound delivery processing, neither in source logistics area determination nor for manual selection


• is not considered for physical inventory count

For a short system demo please have a look at this video.

 

 

[former_member709456]

Hi, iris.zimmermann

Is it possible to transfer the ownership of a warehouse Identified Stock ID to a customer or manufacture items directly to the ownership of a customer? We would like to execute production at the end of which the output product would be placed in our inventory, but under the ownership of a customer.

[iris_zimmermann]

Hello Kasper,

1st question: transfer ownership of a product with identified stock: You can do this in two steps a) reducing the warehouse stock with identified stock (evtl. with a sales order) and b) increasing the externally-owned stock per customer for the same product with identified stock.

2nd question: You need to process your production and confirm the finished product as usual. As a second step you can post it to externally-owned by a customer. In between you might want to process a sales order for the financials.

Hope this helps,

Best regards,

Iris

[former_member776725]

Hello

I'm quit new using SAP, We are not using any Third party process. Is it mandatory to create an entry?  For exemple, a supplier is just sending me a demo, nothing was done previously In SAP, where should I start?  Because, When I tried ''New externally owned stock adjustement, none of that was working and I got some message error.

Thanks for the help

[iris_zimmermann]

Hello Nancy,

I cannot reproduce your error in our systems. The error message indicates that the owner party is not valid. Please check the business partner you are using again.

In general, you do not have to use this externally-owned stock functionality. If your supplier is sending you a demo product, you can capture it now in the system if this is convenient for you.

Best regards,

Iris

[RamduttGirdonia]

Hello Iris,

We are trying to do the Delta GR for externally owned stock, the product is batch and serial activated. System is behaving differently many a time, after putting all the details when we are maintaining the serial numbers the Actual Quantity is not getting updated in many instances and we have to redo the whole process again. I do have a recording of the issue, can I send that recording to any email to get it reviewed by you?

Regards,

Ramdutt

[iris_zimmermann]

Hello Ramdut,

if you have these kind of issues, e.g. the actual quantity is not updated after maintaining the serial ID's, please create an incident to get it checked by support and development, since I could not reproduce the issue in my system.

Best regards,

Iris

[ereux]

Hello Iris,

 

Thanks for this helpful topic.

I Have a question .

What is the best way to perform an outbound delivery on a externally owned stock , entry into stock by a externally stock adjustement ?

We know that this is possible for an externally stock receive by a costumer return, but we dont know how to do it in this spécific case.

Regards

Etienne

[iris_zimmermann]

Hello Etienne,

in the outbound delivery, you can use the externally owned stock only in the context of a (customer return for) repair process. Meaning, you can send the repaired product back to the customer.

The enhancement we did and which is described above, refers to inventory management only. It is not included in the processes, neither inbound nor outbound.

Best regards,

Iris

 

[ereux]

Iris,

Thank you for this clarification, it is very clear.

Regards

Etienne

[hifraserjeff]

Hi Iris. Is it possible to add Extension fields to the Rows on New Externally Owned Stock (new columns in the Row) as invariably our customers require us to keep reference information about the items we are warehousing on their behalf. It would be helpful to at least have a Reference column, but Extension Fields with ability to have lists would be the best solution. These extension fields would need to be available in Reports as well as in Stock Overview.

This would also be required for the Goods Movement, as different references may be required for the customer

Regards, Jeff

[hifraserjeff]

Hi Iris. In the 2 images below you can see we have our own stock of a particular product (lines 1, 2 and 4 on stock overview) as well as one of these items we are stocking as customer owned (line 3). When I try and do a stock movement and tick the "externally owned" and add the customer, the batches available do not filter by externally owned and the customer. Is it possible to have these filters applied to the selection of identified stock in the Goods Movement

[iris_zimmermann]

Hello Jeff,

this request is similar to this influencing request 247890. You can vote for it to emphasize the importance.

Thanks and best regards,

Iris

[iris_zimmermann]

Hi Jeff,

the value help for the identified stock works the same way also for 'normal' goods movement.

If you want us to improve this, please could you use the influencing portal and create an influencing request. This is our tool to collect the requirement and helps us to prioritize.

For this specific request, please think of what you want to get:

a) do you expect item lines with the stock in the warehouse and you select a full line (with all the details) which is similar to the new inventory adjustment or

b) do you expect the value help only for the identified stock to be enhanced with additional filter e.g. owner or externally-managed indicator, maybe more such as the restricted, logistics area etc., and the user maintains it to get a better list. Or do you expect the defaulting automatically (as it is for the product). Here you need to consider that maybe some of the values are not maintained yet

Looking forward to receive your influencing request.

Best regards,

Iris