Entering content frameProcess documentation Merchandise Distribution: Reference Scenario Locate the document in its SAP Library structure

Purpose

The following describes a simplified version of the typical procedure involved in Merchandise Distribution using SAP functions. The Merchandise Distribution functions offer you a high level of flexibility as you can either place the goods in storage, or optimize their movement through the distribution center by using cross-docking or flow-through. Cross-docking and flow-through enable you to process the merchandise in just a few steps.

Merchandise Distribution involves two phases, namely planning and processing. Procurement documents are assigned to issue documents in the planning phase. The assignment of procurement documents to issue documents helps you avoid incorrect distribution.

Prerequisites

To use the Merchandise Distribution functions for a distribution center, you must be able to create a link between the procurement and issue documents in the planning phase.

Process Flow

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When you plan merchandise distribution using allocation tables, you are able to plan distribution of existing warehouse stocks and direct delivery of merchandise to the recipient by the vendor. In these cases, the goods do not pass through the distribution center, and the process described here does not apply.

If merchandise distribution involves goods passing through the distribution center, the procedure is as follows:

  1. Planning

    2. Merchandise distribution is planned using an allocation table or a collective purchase order. The distribution data that is used to create the link between the procurement and issue documents is updated in the planning phase.

  2. Adjustments to merchandise distribution

    3. At goods receipt, the distribution data is adjusted to correspond with the quantities actually delivered.

  3. Subsequent Processing

Various processing methods are used to distribute the goods to the recipients or place them in storage. The stock is posted to a separate storage location for each processing method.

The goods are posted to a cross-docking storage location. Deliveries are then generated. Picking is not required.
    1. The goods are posted to a storage location for merchandise-driven flow-through. Distribution orders are then generated and are used to distribute the goods to the recipients. A delivery is generated for each complete handling unit (for example, pallet) for a recipient.
    2. The goods are posted to a storage location for recipient-driven flow-through. Deliveries are then generated, and the merchandise is picked.
    3. The goods are posted to a putaway storage location. Deliveries are then generated, and these are used at a later date when goods are removed from storage.

If you use an optimizing process, a goods receipt item can be distributed over two storage locations.

For more information about this, see Processing Method.
  1. You move the merchandise to the goods issue zone.
  2. You post the goods issue.
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