Summary of "CONCEPT 61: SAP SD- TWO STEP STOCK TRANSFER ORDER (STO) BETWEEN 2 PLANTS || SAP FORMULA ||"

Summary of Video: CONCEPT 61: SAP SD - TWO STEP STOCK TRANSFER ORDER (STO) BETWEEN 2 PLANTS || SAP FORMULA

Main Ideas and Concepts

Stock Transfer Order (STO) is used when a company with multiple plants transfers stock (raw materials, semi-finished goods, or finished goods) between plants within the same company code.
STO integrates SAP SD (Sales and Distribution) and SAP MM (Materials Management) modules.
There are two types of STO processes:
- Two-Step STO Process: Goods Issue (GI) and Goods Receipt (GR) occur separately, showing stock in transit.
- One-Step STO Process: GI and GR happen simultaneously, with no stock in transit.

Detailed Explanation of Two-Step STO Process

Scenario Setup:
- Two plants under the same company code:
  - Supplying Plant (e.g., ZZ01)
  - Receiving Plant (e.g., ZZ02)
- Receiving plant raises a Purchase Order (PO) to the supplying plant for the required quantity.
- Supplying plant creates Delivery against the PO.
- Stock is reduced in the supplying plant and shown as “Stock in Transit” in the receiving plant.
- When goods physically arrive at the receiving plant, the receiving plant performs Goods Receipt (MIGO), converting stock in transit into actual stock.
Key Transactions:
- ME21N: Create Purchase Order (PO)
- VL10D / V1D: Create Delivery against PO
- MIGO: Post Goods Receipt (GR)
- VF01: Create Proforma Invoice (optional)
Stock Movement:
- Delivery reduces stock in the supplying plant.
- Stock appears as stock in transit in the receiving plant.
- MIGO converts stock in transit to available stock in the receiving plant.
Movement Types:
- 641: Movement type for two-step STO.
- 647: Movement type for one-step STO.

Step-by-Step STO Process

Receiving plant creates a PO to the supplying plant.
Supplying plant creates delivery against the PO.
Upon physical receipt of goods, receiving plant performs MIGO (Goods Receipt).
Optional: Supplying plant may raise a proforma invoice for the transfer.

Configuration Steps for STO Process

Master Data Setup:
- Create the receiving plant as a customer in the supplying plant’s sales area (transaction XD01).
- Maintain the material master data in both supplying and receiving plants (transaction MM02).
Configuration in SAP:
- Define shipping data for plants:
  - Assign customer number to receiving plant.
  - Assign supplying sales area to supplying plant.
- Assign delivery type and checking rule:
  - PO type for STO is UB.
  - Delivery type assigned is NL.
  - Checking rule is B.
- Assign document type for one-step procedure under delivery tolerance:
  - Define allowed STO between supplying and receiving plants.
  - Controls whether STO is one-step or two-step (checkbox determines process type).
Pricing Configuration:
- Create pricing condition type (e.g., PBXX) in both MM and SD.
- Create a pricing procedure specifically for STO.
- Assign pricing procedure to the supplying plant and distribution channel.
- Ensures correct price copying from PO to invoice.

Important Notes

The Shipping Tab is visible in the PO screen only for STOs, showing delivery type, shipping point, customer code, etc.

Stock in Transit appears after delivery is created but before GR is posted.

For invoicing, pricing condition types must be maintained in both MM and SD.

Movement types: 641 for two-step STO, 647 for one-step STO.

Interview Tip: Understand differences between one-step and two-step STO, movement types, PO type, delivery type, and configuration controls.

Summary Table of Key Data

Concept Value / Example Supplying Plant ZZ01 Receiving Plant ZZ02 Company Code ZZ (example) PO Type UB Delivery Type NL Checking Rule B Item Category NLN Schedule Line Category NN Movement Type (Two-Step) 641 Movement Type (One-Step) 647 Transaction Codes ME21N (PO), VL10D / V1D (Delivery), MIGO (GR), VF01 (Invoice) Master Data Setup Create receiving plant as customer, maintain material in both plants Configuration Shipping data, delivery type assignment, document type assignment, pricing procedure

Speakers / Source

Speaker: The video features a single SAP instructor from the YouTube channel “SAP Formula”, who explains the concept of Two-Step Stock Transfer Order in SAP SD/MM with practical examples and configuration steps.

End of Summary