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KANBAN with SD
Delivery 
Usually you supply your own production via KANBAN. Now you have the possibility to deliver a kanban directly to your customer via an SD scheduling agreement.
In this process you receive a KANBAN call from your customer. First of all you procure the desired material via KANBAN from your goods issue storage location for example, and then you deliver it to your customer.
● You have created an SD scheduling agreement with a delivery block for the delivery due list (in the standard system SAP uses 08 'KANBAN delivery').
● You have created a status sequence in which the IN USE status is a required status.
● You have created a replenishment strategy in Customizing for KANBAN that plans the process via KANBAN with SD.

You can use this process for all replenishment strategies (external procurement, in-house production and stock transfer).
● You have created a KANBAN control cycle for this material with the above mentioned replenishment strategy and entered the scheduling agreement number and item in the control cycle under Sequential Control.
...
1. You receive a KANBAN call from the customer (by fax for example).
2. From the KANBAN menu you choose Control ® Kanban signal ® KANBAN call. In addition enter the requested quantity. Save your entries.

If you receive the message via EDI, then the system automatically determines the scheduling agreement and processes the requested quantity.
3. The system sets the kanban to EMPTY.
4. In this way the usual KANBAN process begins and the requested quantity is procured, depending on the replenishment strategy.
5. You set the kanban to FULL as soon as the kanban quantity has been procured.
6. The system posts the kanban quantity to the supply area, which you have entered in your control cycle and which serves, in this case, as a goods issue warehouse.
7. a) If you have selected indicator 1, then the system creates a delivery when the kanban is set to FULL. As soon as the kanban has the status IN USE, the system posts the goods issue.
b) If you have set the indicator 2, then the system only creates delivery if the kanban is IN USE. The goods issue must be posted manually.
The following graphic describes this process:

