Describing STO Collaboration using the OEM to CM Scenario

Objective

After completing this lesson, you will be able to Describe STO Collaboration using the OEM to CM Scenario.

The OEM to CM Scenario

In the OEM to CM scenario, the stock is to be moved from a plant of the OEM to the CM. If we compare the Stock Transport Order to a Purchase Order, the OEM would be the Supplier and the CM would be the Buyer. In this scenario, stock is transferred from the Supplier to the Buyer. It is important to remember that when we are dealing with STO Collaboration, the stock is already owned by the OEM (or Buyer). We are not transferring ownership. We are moving the OEM owned stock from one location to another.

OEM to CM Use Case

Consider a case where the OEM has some work for the CM to do. We will use the example of a bicycle manufacturer (the OEM). The bicycle manufacturer wants to deliver some bicycle components to the CM with instructions to assemble the bicycles. The OEM to CM scenario for Stock Transport Order Collaboration demonstrates the OEM initiating a transfer of components from the OEM’s plant to the CM’s facility.

Process Flow for the OEM to CM Scenario

  1. The OEM creates the Stock Transport Order

    The Supplying Plant (OEM) creates a Stock Transport Order (STO) in the SAP ERP system with the order type Stock Transport Order and the item category U (stock transfer).

  2. The Stock Transport Order is sent to the CM on the SAP Business Network

    The Receiving Plant (CM) receives the STO request in the SAP Business Network.

  3. The Outbound Delivery is created by the OEM

    The OEM manually creates the Outbound Delivery.

  4. The Goods Issue is posted and the OEM ships the goods to the CM

    The Goods Issue is created and posted automatically as a result of the Outbound Delivery.

  5. The Inbound Delivery is created

    The Inbound Delivery is created automatically as a result of the Goods Issue being posted, if the SPED Output Type is configured.

  6. The CM receives the stock

    The stock is transferred to the CM.

  7. The CM creates and sends the Component Receipt to the OEM.

    The CM creates a Component Receipt against the Component Ship Notice and sends it to the OEM.

  8. The OEM receives the Component Receipt and creates a Goods Receipt with input from the Inbound Delivery

    When the Component Receipt is received by the OEM it triggers the creation of the Goods Receipt with input from the Inbound Delivery.

Illustrating the OEM to CM Scenario

The following video is a visual illustration of the OEM to CM scenario.

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