WALK AWAY FROM THIS SESSION WITH AN UNDERSTANDING OF RECORDING STOCK-IN-TRANSIT IN ACCOUNTING AND LOGISTICS TRANSACTIONS
Stock-in-Transit can occur when goods transferred between two entities have left the sending entity, but ownership has not yet been transferred to the receiving entity. In traditional SAP the Stock-in-Transit of Inventory can be identified in Inventory Management reports, but this is not reflected in Accounting. With the Business Function LOG_MM_SIT, which is available in ECC (from Enhancement Pack 5) and also in S/4HANA (switched on by default), you can reflect the Stock-in-Transit in dedicated G/L Accounts.This live
Webcast was presented by FI/CO expert Paul Ovigele to learn:
The different scenarios that are available for Stock-in-Transit, such as intercompany sales, intracompany transfers, external sales to customers, external purchases from vendors, returns, and so on.
The setup of Stock-in-Transit functionality in Logistics and Accounting
An example of how the Stock-in-Transit process works, and how it is recorded in Accounting
How Stock-in-Transit Accounts can help resolve “Ship-not-billed” situations
Additional Functionality that is available with LOG_MM_SIT and Material Ledger, such as the recording of Intercompany Profit in Inventory and Actual Costing across company codes
Watch the Recorded Webcast:
Q&A:
Q: If we have multiple systems means sender is in one ecc box and receiver in another ecc then how to configure according to logistic side for intercompany flows.
A: It will not work if sender and receiver are in different clients because all companies involved need to belong to the same Controlling Area.
Q: Same situation as above but receiver want to see the receiver SIT , then next movement goes to Stock account.
A: Same answer as above.
Q: Can you deactivate the Stock-in-Transit business function?
A: No you cannot.
Q: How long does a Stock-in-Transit project take?
A: It depends, on how much of the functionality is used. A minimum of 3 months is normal.
Q: Does Stock-in-Transit functionality work retrospectively?
A: No it does not. It only works for items posted after it has been implemented.
Q: Does Stock-in-Transit work with intercompany returns?
A: Yes it does. There are specific Movement Types associated with returns, but the process is basically the same.
Q: How Does Stock-in-Transit work with CO-PA? SIT is not connected with CO-PA.
A: However, a good side effect, is that, since the COGS is not posted with the PGI (instead it goes to an SIT account) it means that Cost Based CO-PA and the G/L will update COGS at the same time during billing, hence eliminating on of the major reconciliation issue between CO-PA and the G/L.