Stock Transfer Using a

Stock Transport Order

SAP MM
 Stock Transport Process in SAP
• Companies with plants in multiple
locations typically have the requirement
to transfer stock between plants. The
STO (stock transport order) process is
used to handle this transfer
systematically in SAP.
• However if these plants belong to
different Company Codes then we need
to use the Intercompany STO process.
This requires several configuration steps
and prerequisites to be in place for this
solution to work and entities can benefit
from the ability to monitor stock in
transit, traceability through document
flow and ability to account for delivery
costs on the stock transport order.
Basic Scenarios
STO can be categorized into four types
depending on different scenarios.
Types of Stock Transport Order
•Stock Transport Order Without Delivery.
•Stock Transport Order with Delivery via Shipping.
•Stock Transport Order with Delivery and Billing Document/Invoice.
•Intra Company
•Inter-company STO with SD Delivery, Billing & LIV
 Stock Transport Order Without Stock Transport Order with Stock Transport Order with
Delivery Delivery Delivery and Billing Document

Order type MM-PUR Order type UB Order type UB Order type NB

Item category U Item category U •Item category BLANK (cross-company-code)
•Item category U (intra-company-code
without billing document)

Movement type MM-IM GI: 351GR: 101 GI: 641(2 steps) GI: 643(2 steps)
(One-step procedure not supported) GI: 647(1 step)GR: 101 GI: 645(1 step)GR: 101

Delivery type in SD ‑ NL NLCC

Schedule line category in SD ‑ NN NC

Billing type in SD ‑ ‑ IV

Document type MM-IV ‑ ‑ RE

Price Valuation price(supplying plant) Valuation price(supplying plant) Pricing in SD and MM

Planning using Purchase order Purchase order Purchase order

Stock after Goods issue Stock in transit Stock in transit (Stock in transit CC)

Delivery costs yes yes yes

Cross-company-code using Company code clearing Company code clearing Revenue account;GR/IR clearing
 Stock needs to be transferred from one storage location to
another. Both storage locations are in the same plant.
We need to configure “Stock Transport Order” between two storage locations.
Benefits:
•Freight costs can be planned and mentioned before hand in the order itself.
•Freight invoice can be posted with reference to this order.
•The order can be integrated with MRP.
•A receipt can be planned at the receiving storage location.
•The received material can be posted to quality inspection stock / blocked stock.
•The entire process can be monitored via the order history.
Steps for configuration:
Step 1: Activate Stock Transfer between Storage Locations
Step 2: Assign Delivery Type and checking rule according to storage
Step 3: Define Shipping Data for Stock Transfer between Storage Locations
Step 4: Define Rule for Determination off Shipping Point
Step 5: Shipping Point Assignment According to Storage Location
Step 6: Maintain the Material for Both the Storage Locations
Configuration steps with screenshots and menupath:

Step1: Activate Stock Transfer between Storage Locations

SPRO->Material Management->Purchasing->Purchase Order->set up stock transport order->set up stock transport order between storage locations-> ‘Activate Stock transfer between storage locations’
Step2: Assign Delivery Type and checking rule according to storage
SPRO->Material Management->Purchasing->Purchase Order->set up stock transport order->set up stock transport order between storage locations->Assign Delivery Type and Checking Rule According to
Storage
Step3: Define Shipping Data for Stock Transfer between Storage Locations
SPRO ->Material Management ->Purchasing ->Purchase Order ->set up stock transport order ->set up stock transport order between storage locations -> Define Shipping Data for Stock Transfers between
Storage Locations
Step4: Define Rule for Determination off Shipping Point
SPRO->Material Management->Purchasing->Purchase Order->set up stock transport order->set up stock transport order between storage locations -> Set-up Storage-Location –dependent shipping point
determination->Define rule for determination of shipping point
Step5: Shipping Point Assignment According to Storage Location
SPRO->Material Management->Purchasing->Purchase Order->set up stock transport order->set up stock transport order between storage locations-> Set-up Storage-Location –dependent shipping point
determination-> Assign Shipping Points According to Storage Location
Step 6: Maintain the Material for Both the Storage Locations
Maintain the Material master for the issuing and receiving storage locations.
Inter-company STO with SD Delivery, Billing &
LIV
Selling Company (Vendor)
Purchasing Company(Customer) Supplying Company Code:DE00
Company Code:US00 Delivering / Supplying Plant: HD00
Receiving Plant: DL00 Sto. Loc: RM00
Sto. Loc: RM00 Sales Area: DS00, WH, AS
Purchase Organization: US00
Shipping Point : HD00

Master Data
Master Data: 2. Create Customer to represent Plant DL00
1. Create Vendor to represent Delivering Plant HD00 3. Create Material Master
4. Extend Material Master Note : Check Sufficient stock
5 to 17. Configuration Transactions:
Transactions : Step 2: Post Outbound Delivery against Purchase
Step1. Create Purchase Order Order (VL10D)

Step 5. Goods Receipt is posted automatically with PGI Step 3 :. Pick and PGI (VL02N)

Step6. Post Logistics Invoice Verification (MIRO) Step 4. Post Billing Document (VF01)
 Step 1 : Create Vendor Master
• Create Vendor Master to represent Supplying plant(HD00) in receiving company code(US00) & Pur.Org (US00).
• In Purchasing Data (BP Role FLVN01 ), Goto Vendor General Tab. Here Maintain the supplying plant(HD00) so that it is linked to the vendor
master.
• Note: A Plant can only be assigned to one vendor number. So we have to extend the same vendor number to different Pur.Org if required.
 Step 2 : Create Customer Master
• Create Customer Master to represent Receiving Plant(DL00) in Supplying Company Code(DE00) & Sales Area(DS00, WH, AS).
• In Sales Area Data, Shipping tab, Maintain Delivery Priority, Shipping Condition & Delivering Plant(HD00) as shown below.
• Configuration: SPRO> Enterprise Structure> Assignment> Sales and Distribution > Assign Sales org –Dist Channel - Plant
 Step 3 : Create Material Master
• Create Material Master with following views, in Supplying Plant(HD00),
Sto.Loc.(RM00), Sales Org(DS00), Dist.Ch(WH).
• Basic Data 1 , Sales : Sales Org. Data 1, Sales : Sales Org. Data 2, Sales : General/Plant Data,
General/Plant Storage 1, Accounting 1

• In Basic Data1 View maintain Division(AS)

• In Sales Org1 View, Maintain Delivering Plant(HD00) & Tax Details 0
• Note: If You are not able to see tax condition types or not maintaining any tax indicators then
it is not possible to Create a delivery against STO. Same applies to Customer Master in Step2.

• In Sales Org2 View, Maintain General Item Category Group Norm (Standard
Item) & Item category Group Norm (Standard Item)
• Note: The Item Category group maintained here is preferred over general item category group and
used to determine ‘Item Category in Delivery’ NLC(For Inter Company) & NLN(For Intra-Company).

• In Sales General Plant Data, maintain Availability Check Group(01),

Transportation Group(0001), Loading Group(0001).
 Step 4 : Extend Material Master
• Extend the Material Created in Step3 to Purchasing plant(DL00) & Sto.Loc(RM00) with below selected views.
• Basic Data 1 , Purchasing, General/Plant Storage 1, Accounting 1
 Inter-company STO with SD Delivery, Billing & LIV- Configuration
Selling Company (Vendor)
Purchasing Company(Customer) Supplying Company Code:DE00
Company Code:US00
Delivering / Supplying Plant: HD00
Receiving Plant: DL00 Sto. Loc: RM00
Sto. Loc: RM00 Sales Area: DS00, WH, AS
Purchase Organization: US00
Shipping Point : HD00
5. Define Shipping Data – For Supplying
5. Define Shipping Data – For Receiving Plant(DL00), assign Plant(HD00), assign Sales Area(DS00, WH, AS)
Customer Number created in Step2- which is used for
representing Purchasing Company Plant (DL00) in selling 10: Define Shipping Point Determination
company. 11. Define Item Category Determination in
6.Create Checking Rule Deliveries

7. Define Checking Rule : Assign Checking Rule and Step 12: Assign Sales pricing procedure
Availability check group
8. Assign Delivery type & Checking rule
9: Assign Document type, One Step Procedure & Under
delivery Tolerance
Step 5 : Define Shipping Data & Assign Customer Number to Plant DL00
• SPRO > Materials Management > Purchasing > Purchase Order >
Setup Stock Transport Order

• Define Shipping Data for Plants

• For Supplying Plant(HD00), assign Sales Area(DS00, WH, AS) as shown below.

• For Receiving Plant(DL00), assign Customer Number created in Step2.

Step 6 : Create Checking Rule
If required Create a Checking Rule by entering a two digit code & Description.
Ex. B – SD Delivery(Standard)
Step 7:Define Checking Rule : Assign Checking Rule and Availability check group
• Define Checking rule Created in Step6 in combination with Availability Check Group(01) assigned
in material master Step3. Here select the stocks, receipts & requirements as per requirement.
Step 8: Assign Delivery type & Checking rule
• Configure Delivery Type & Availability Check Procedure by Plant

• Here Assign Delivery type(NLCC) & Checking rule(B) to the Purchase order Document type(NB) &
Supplying plant(HD00) Combination as shown below.
Step 9: Assign Document type, One Step Procedure & Under delivery Tolerance
• Here for Supplying & Receiving Plant(HD00 & DL00 respectively) Combination Assign PO Document Type(NB).
• Select One step Check box to post the Goods receipt while doing PGI itself. Otherwise Goods Receipt have to be carried
out in another step.
• If You Select tolerance limits check box, then SAP closes the STO by marking final delivery Check box, if delivered
Quantity is within the under delivery tolerance limits maintained in delivery tab of PO.
• It depends on Partial deliveries allowed or not. Then the remaining quantity will not be shown as open in requirements.
Step 10: Define Shipping Point Determination

• SPRO > Logistics Execution > Shipping > Basic Shipping Function > Shipping point and Goods Receiving
Point Determination > Assign Shipping Points.
• Here assign
• Shipping Point(HD00) for the Combination of
• Shipping Condition(01) (customer master step2),
• Loading Group(0001) (material master step3) &
• Supplying Plant(HD00).
Shipping Point Determination (OVL3)
Step 11: Define Item Category Determination in Deliveries

• SPRO > Logistics Execution > Shipping > Deliveries > Define Item Category Determination in Deliveries.
• Here assign
• Item Category (NLC – Replenishment delivery inter Company) for the combination of
• Delivery Document type (NLCC),
• Item Category Group (NORM),
• Usage V (Purchase order) &
• Higher level item category group ( ‘ ‘-blank)
• Item Category (NLC) as shown below.
Step 12: Assign Sales pricing procedure

• SPRO > Sales and Distribution > Basic Functions > Pricing > Pricing Control > Define and Assign Pricing
Procedures > Set Pricing Procedure Determination.
• Assign Sales pricing procedure ICAA01 to the combination of
• Sales Area(DS00, WH, AS),
• Document pricing grp ‘A‘ (Standard - for billing document type IV) &
• Customer pricing grp ‘1’ (Standard)
• Pricing Procedure : ICAA01 (Inter-company billing)
Step-13 Sales Tax Setup in SD
• make sure you have proper sales tax setup in
• SD > Basic Functions > Taxes > Define Tax Relevancy of Master
Records
• Customer & Material Master is assigned to tax indicators.
Step 14- Create condition record for output tax condition type in
Transaction VK11. Ex. MWST output tax
Step 15-Create Condition Record for Condition
type PR00 with the sales price in Transaction VK11
Step 16-Create Condition Record for Condition type
PB00 with the sales price in Transaction MEK1
Maintain reference condition type as PR00 with application M(Purchasing) in V/06

so that MEK1 value for PR00 will be replicated in SD automatically.

Note: To adopt price from purchasing into billing create a condition type with same name as PB00.
In copy control enter reference as application purchasing & condition type PB00.
Step 17-Assign Pricing Procedure for
Delivery
• SPRO IMG Logistics Execution Shipping -Basic Shipping functions--
Pricing-Define Pricing Procedures for delivery
Testing
• Make sure You have sufficient stock in issuing storage location(RM00) of supplying plant (if not
then add special stock using movement type 561)
Transactions
• Step 1: Create Purchase Order
• Step 2 : Generate Outbound delivery against purchase order
• Step 3: Note down outbound delivery document number
• Step4: In Transaction VF01 Create billing document with reference to
outbound delivery.
• Step 5: Goods Receipt has been automatically posted with PGI
• Step 6: In transaction MIRO carry out Logistics Invoice verification in
receiving company code(DL00).
Step 1 : Create Purchase Order
• Create Purchase Order in Transaction ME21N with
• Document type NB,
• Vendor(_______),
• Material(_____),
• PurOrg(US00)
• Pur Grp(N00),
• Company Code(US00),
• Receiving Plant(DL00).
• Note: If you are using one step procedure then enter the receiving storage location(RM00).
• Here Observe the shipping tab with the above details as shown.
• Here first of all SAP checks for any plant assigned in vendor Master, if not assigned then it will be a standard PO

• Note: You Can process inter Company STO by using PO document type UB
with Clearing accounts, without delivery, w/o billing, w/o invoice(Mov. types
351 &101). If You are using document type NB then it is only possible with
delivery & trigger point is vendor master.
Step 2 : Generate Outbound delivery against
purchase order (VL10D)
• Here make sure that delivery date is in between the dates entered. &
enter the shipping point triggered in PO shipping tab. Then Execute.
• Then Select the Purchase order line item & click on back ground.

• Note: If you are able to see an extra line item with status green proceed to next step or else click on
Documents button as shown above.
Stock Overview
Step 3:Click on documents & note down the outbound delivery document number.

Go to Transaction VL02N. Enter the outbound delivery document number & Click enter. Here in picking tab
enter the issuing storage location & picked Quantity.

Check the Delivery item Category NLC. In Goods Movement tab observe the movement type 643( two
step). In item Conditions Tab Observe conditions as shown below.
Note(movement type 645 is for one step procedure)
Conditions Tab
 Post Goods Issue
If You are not able to process PGI, then check WM is activated in storage location or if one step procedure check
PO whether receiving storage location entered or not.
Check The Accounting Document where stock account from BSX is credited & Cogs Account from GBB-VAX is
debited with the price as per supplying plant material master
MMBE
 Step4. In Transaction VF01 Create billing
document with reference to outbound delivery.

Create Condition record for Condition type PI01 in transaction VK11.

The Condition type PR00 & PI00 are for Information purpose only & the Condition type IV01 is the main condition type
which is based on PI01.
Make Sure Account determination has been done and Save the billing document. Observe the accounting document.
Where Customer account is debited with the sum of revenues(credited) & Tax(credited).
Step 5: Goods Receipt has been automatically posted with PGI

• Check the accounting document. Where stock account from BSX is

debited & GR/IR account from WRX is Credited with the price in PO.
Step 6 . In transaction MIRO carry out Logistics
Invoice verification in receiving company code(DL00).

Post the invoice & observe the accounting document. Where the vendor account is credited with the sum of
amount entered in PO to GR/IR A/c(debited) & Input tax account(debited)