Describing Stock Transport Order Collaboration

Objectives

After completing this lesson, you will be able to:

  • Explain Virtual Plants that represent Contract Manufacturers.
  • Describe Stock Transport Order Collaboration.
  • Describe the Supported Stock Transport Order Scenarios.

Virtual Plants that Represent External Entities

Stock Transport Orders were originally designed to work between plants in the same enterprise. Stock Transport Order Collaboration is designed to work between a plant in the Buyer’s enterprise and a business partner. Businesses often have scenarios where stock they own needs to be transported to a business partner. Or, stock they own that is currently located at a business partner needs to be transported back to one of their own plants.

For example, when a business is involved in Subcontracting, it is common that stock owned by the business is located at the Subcontractor’s plant or location. In cases like this, Stock Transport Order Collaboration can be used to transport stock between a business’s plant and a business partner.

In order to take advantage of the feature of moving stock between business partners, we will need to create a Plant in our SAP System that represents the business partner. We call this a Virtual Plant. The Virtual Plant exists in the SAP System but it represents the business partner. When a business creates a Stock Transport Order that involves a Virtual Plant, they are able to transport stock to or from the business partner and even between two external business partners.

Watch the following video to learn more about Virtual Plants.

Stock Transport Order Collaboration Overview

Stock Transport Order Collaboration

Stock Transport Orders in SAP are designed to transport stock between two plants. Those plants can be in the same company or different companies, but they must be in the same enterprise or SAP System.

With Stock Transport Order Collaboration we are able to transport stock between different entities—not necessarily in the same enterprise. For example, in Contract Manufacturing (also known as Subcontracting) it is not uncommon for stock to be transported between the Original Equipment Manufacturer and a Contract Manufacturer. Furthermore, sometimes multiple Contract Manufacturers are involved in the supply chain and stock needs to be transported from one Contract Manufacturer to another.

Stock Transport Order Collaboration Scenarios

Stock Transport Order Collaboration Scenarios

In a previous lesson you learned about virtual plants and how they are involved in Stock Transport Order Collaboration. Virtual plants are a key part of Stock Transport Order Collaboration and will be used whenever we want to move stock that involves a business partner.

There are three common scenarios for Stock Transport Order Collaboration:

  1. Transport stock from a Contract Manufacturer to the Original Equipment Manufacturer (CM to OEM)
  2. Transport stock from the Original Equipment Manufacturer to a Contract Manufacturer (OEM to CM)
  3. Transport stock from one Contract Manufacturer to another Contract Manufacturer (CM to CM)

In each of these cases, the OEM refers to the organization that runs SAP and initiates the Stock Transport Order. The CM is a business partner for which stock is being transported to or from.

CM to OEM Scenario

The objective of the CM to OEM scenario is to transport stock from the Contract Manufacturer to the Original Equipment Manufacturer. In this example, the stock is transported from Business Partner A to Plant 1.

The Landscape

The landscape is the SAP System and a Business Partner. The SAP System represents the Original Equipment Manufacturer (OEM) and the Business Partner represents the Contract Manufacturer (CM).

SAP System showing Plant 1 and Plant 2 along with a picture of a business partner A

The Virtual Plant

In order to collaborate with a Business Partner we need a Virtual Plant defined in our SAP system that represents the Business Partner. In this example, Virtual Plant A represents Business Partner A.

Picture showing adding in virtual plant A

The Supplying and Receiving Plants

Plant A is the Supplying Plant and Plant 1 is the Receiving Plant.

process flow of purchasing plan and supplying plant

The Stock Transport Order is Created

The Stock Transport Order is created by the OEM (in the SAP system) and specifies Plant A as the Supplying Plant and Plant 1 as the Receiving Plant.

Stock transport order flow as described above

The STO is sent to the Supplying Plant

The Supplying Plant is a Virtual Plant. When the STO is saved, the STO is sent to Business Partner A over the SAP Business Network.

picture showing the process flow as described above

Business Partner A Prepares the Stock for Transport

Business Partner A prepares the stock for transport according to the STO received.

The flow in a picture of what Is described above

The Stock is Transported

The stock is transported from Business Partner A to Plant 1.

A picture of the stock being transported

OEM to CM Scenario

The objective of the OEM to CM scenario is to transport stock from the Original Equipment Manufacturer to the Contract Manufacturer. In this example, the stock is transported from Plant 1 to Business Partner A .

The Landscape

The landscape is the SAP System and a Business Partner. The SAP System represents the Original Equipment Manufacturer (OEM) and the Business Partner represents the Contract Manufacturer (CM).

Landscape SAP System and Partner A

The Virtual Plant

In order to collaborate with a Business Partner we need a Virtual Plant defined in our SAP system that represents the Business Partner. In this example, Virtual Plant A represents Business Partner A.

SAP System and Partner A

The Supplying and Receiving Plants

Plant 1 is the Supplying Plant and Business Partner A is the Receiving Plant.

Virtual Plant A to Receiving Plant

The Stock Transport Order is Created

The Stock Transport Order is created by the OEM (in the SAP system) and specifies Plant 1 as the Supplying Plant and Plant A as the Receiving Plant.

Showing the STO to CM flow

The STO is sent to the Receiving Plant

The Receiving Plant is a Virtual Plant. When the STO is saved, the STO is sent to Business Partner A over the SAP Business Network.

Showing the STO to CM Plant

Plant 1 Prepares the Stock for Transport

Plant 1 prepares the stock for transport according to the STO.

Plant 1 preparing to send stock to receiving plant in a picture

The Stock is Transported

The stock is transported from Plant 1 to Business Partner A.

Stock being transported

CM to CM Scenario

The objective of the CM to CM scenario is to transport stock from Contract Manufacturer 1 to Contract Manufacturer 2. In this example, the stock is transported from Business Partner A to Business Partner B.

The Landscape

The landscape is the SAP System and two Business Partners. The SAP System represents the Original Equipment Manufacturer (OEM) and each Business Partner represents a Contract Manufacturer (CM).

The landscape is the SAP System and two Business Partners. The SAP System represents the Original Equipment Manufacturer (OEM) and each Business Partner represents a Contract Manufacturer (CM).

The Virtual Plants

In order to collaborate with a Business Partner we need a Virtual Plant defined in our SAP system that represents the Business Partner. In this example, Virtual Plant A represents Business Partner A, and Virtual Plant B represents Business Partner B.

SAP system that represents the Business Partner. In this example, Virtual Plant A represents Business Partner A, and Virtual Plant B represents Business Partner B.

The Supplying and Receiving Plants

Plant A is the Supplying Plant and Plant B is the Receiving Plant.

Plant A is the Supplying Plant and Plant B is the Receiving Plant.

The Stock Transport Order is created

The STO is created by the OEM (in the SAP system) and specifies Plant A as the Supplying Plant and Plant B as the Receiving Plant. This triggers the STO to be sent to Business Partner A and Business Partner B via the SAP Business Network.

The STO is created by the OEM (in the SAP system) and specifies Plant A as the Supplying Plant and Plant B as the Receiving Plant. This triggers the STO to be sent to Business Partner A and Business Partner B via the SAP Business Network.

The STO is sent to the Supplying and Receiving Plants

The Supplying and Receiving plants are both Virtual Plants. When the STO is saved, the STO is sent to Business Partner A and B over the SAP Business Network.

The Supplying and Receiving plants are both Virtual Plants. When the STO is saved, the STO is sent to Business Partner A and B over the SAP Business Network

Business Partner A Prepares the Stock

Business Partner A prepares the stock to be transported to Business Partner B.

Business Partner A prepares the stock to be transported to Business Partner B.

The Stock is Transported

Business Partner A transports the stock. The stock is received by Business Partner B

Business Partner A transports the stock. The stock is received by Business Partner B

Log in to track your progress & complete quizzes