V.

HARI
SAP MM CONSULTANT

INTER STO PROCESS

Inter STO Process
Inter STO, or intercompany stock transport order allows you to transfer Materials
between two plants belongs to the different company code which are
geographically apart. (i.e.) With Delivery with Billing.
The Inter STO Process is also called as MM-SD Integration Cycle.
For Inter Process STO we required SAP SD Consultants support. SD Consultant
create a Customer Master data for the receiving plant.
The receiving plant creates a stock transport order (STO) and sends it to the
supplying plant. Then, The Supplying Plant send the Materials to Receiving Plant.
The supplying plant act as a Vendor and Receiving Plant acts as a Customer.

Company A Company B

Supplying Plant Receiving Plant

Stock Transfer
Order

Unrestricted Use Stock-in-Transit Unrestricted Use

Goods Issue Postings Goods Receipt Postings

(Mvt Type 645/643) (Mvt Type 101)

Invoice Verification Invoice Posting

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Here are the steps involved in the intra STO process in SAP MM:
1. Create a stock transport order (STO) in the receiving plant.
2. Send the STO to the supplying plant.
3. The supplying plant delivers the material to the receiving plant.
4. The receiving plant posts a goods receipt.
5. The receiving Plant posts an Invoice receipt.
Inter Company STO Process:
Structure:
Here, for example, I’ve taken the Company Codes 3000 & 4500 with their
respective Prerequisites

Company Code 3000 4500

Delivery From
Plant 3000 Plant 3000 4500 4510
Purchase Org 3000 4500
Sales Org 3000 4500
Distribution Channel 10 01
Division 00 00

Create a Customer data: XD01

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Customer data 4510 was created

Back End Setting for Intra STO

Step 1: Define Shipping Data for Plants

OLMEPRCHASE ORDERSETUP STODEFINE SHIPPING DATA FOR

PLANTS

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Execute the Define Shipping Data for Plants:

Select the Supplying Plant 3000

Assign the Sales org, Distribution channel and division

Then, Save it

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Select the Receiving Plant, Assign the Customer Data, Sales Org, Distribution
channel & Division

Then, Save it

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Step 2: Assign Delivery type & Checking Rule

OLMEPURCHASE ORDERSETUP STOASSIGN DELIVERY TYPE
AND CHECKING RULE

Execute Assign Delivery Type & Checking Rule

And Assign the Delivery Types as NLCC & Checking Rule as 01 for Supplying
Plant

Then, Save it.

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Step 3: Assign Document Type, One-Step Procedure, Under delivery

Tolerance

OLMEPURCHASE ORDERASSIGN DOCUMENT TYPE, ONE-STEP

PROCEDURE, UNDER DELIVERY TOLERANCE

Assign the Document Type NB with Supplying Plant 3000 & Receiving Plant
4510 by selecting the new entries option

If you select the check box of one step it will act as one step procedure unless it
remains as two step procedure, then, Save it.

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Process:

3000 Company Code 4500

3000 Inter STO 4510

Supplying Plant Receiving Plant

STO
2. OBD – VL10D 1. Purchase Order

3. PGI – VL02N Stock in Transit 5. GR w.r.t.OBD

4. Billing – VF01 6. MIRO

 Create a Vendor Master Data to represent the Supplying Plant in Receiving

Company Code
 Create a Customer Master Data to represent the receiving Plant in Supplying
Company Code
Step 1: Creation of Materials along with Sales Views – MM01
Select the Sales views along with the Basic views

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Assign the Sales org & Distribution Channel

In Sales views we have to give the appropriate inputs like divisions, Tax, Loading
Group, Availability check, item catg. group, Gen.item Catg.group

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Then, Save it

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Extended the Materials to Receiving Plant 4510

Then, Save it
Step 2: Create a Vendor Master Data – XK01

Vendor 0000100403 has been created for company code 4500 purchasing
organization 4500

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Then, XK02  Purchasing view, Go to Extra & Add Purchasing Data option

Enter the Supplying Plant 3000

Then, Save it

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Check the Stock of the Material in supplying plant 3000

The stock should be maintained in supplying plant

Step 3: Create a Purchase Order / Stock Transport Order – ME21N

The Shipping tab has appeared because of the delivery type in the back end
configuration
Standard PO created under the number 4500017429

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Step 4: Create an Outbound Delivery – VL10D

The VL10D transaction can be used to create outbound deliveries for purchase
orders and It also allows you to specify the shipping conditions

After Execute, Have to Select the checkbox and hit the Background to run the
outbound process of the material

Select the Log Details to show the documents

Outbound Delivery is Created 80015185

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Step 5: Post Goods Issue – VL02N

Select the Picking tab and Enter the Picked quantity Value & hit Post Goods Issue

Replen.Cross-company 80015185 has been saved

After OBD, PGI the Mvt Type 643 is Recorded, Check in Purchase Order
History

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Check the Material in Stock in Transit – MB5T

After PGI, The Materials are in Stock-in-transit state since this STO Process is two
step method

Step 6: Billing – VF01

Select Execute

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Here, The Price will flow from the purchase order. If

not the SD Consultant will do the Copy Control.

Copy control - VTFL

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Select the Item category NLC, it is in display mode, so that we can make it change
mode by selecting the Pen option as change mode

Then, Change the Price Source to A (Purchase Order)

Then, Save it.

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After Billing, Check the Stock of the Materials in the Supplying Plant 3000

Step 7: Goods Receipt – MIGO with Respect to OBD / PO

Material document 6000000198 posted

Now, Check the Stock in Supplying Plant & Receiving Plant

Now, the Stock delivers to the Receiving Plant 4500

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Step 8: MIRO

Document no. 5105608784 created (Blocked for payment)

Document Flow

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RETURN INTER STO PROCESS

Return Inter STO Process
The return inter STO process is used to return goods from one plant to another
within the same company with different Company codes.

The process is as follows:

1. Create a return STO in the plant where the goods are being returned (Receiving
Plant).
2. In the return STO, enter the original STO number, the material number, and the
quantity being returned.
3. Create a delivery for the return STO.
4. Post the goods receipt for delivery.
5. Create an internal credit memo to reverse the original invoice.

Receiving Plant Supplying Plant

` 1.Return STO Created 2.Return Delivery

at Receiving Plant created
with vendor of
supplying plant

3. Stock get
Decremented at
Receiving Plant

4. Return stock get

incremented
incremented in
supplying plant

Goods Receipt Posting

Mvt Type Posting 161
Scenario
A vendor delivers goods to the company. The goods are damaged and the
Company wants to return them. Then, the company creates a return STO to send
the goods back to the vendor.

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Process:

3000 Company Code 4500

Return Inter STO

3000 4510
Supplying Plant Receiving Plant

Return STO
2. OBD – VL10D 1. Return STO Order
(RETURN DELIVERY)

3. PGI – VL02N Stock in Transit 5. GR w.r.t.OBD

4. Billing – VF01 6. MIRO

Back-end Configuration:
Setup Returns Order to the Supplying Plant
OLMEPURCHASE ORDER RETURNS ORDER STORE RETURN /
RETURN PLANT TO PLANT

Execute it.

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Assign delivery type to the supplying plant for return order

Here, NCR is the Return Delivery Type for Cross Company

Then, Save it.

Turn off the Availability check for the Supplying plant
SPROSAP REF.IMG LOGISTIC
EXECUTIONSHIPPINGDELIVERIESDEFINE ITEM CATEGORIES
FOR DELIVERIES

Execute it.

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Select the Item Categories NCRN for return inter STO Process

Turn off the Availability check, by selecting X

Then, Save it.

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Activate Cost Determination for item categories

The determine cost indicator is used to determine the cost of the returned materials.
If the determined cost indicator is set to automatic, then the cost of the returned
materials will be determined automatically based on the current standard price. If
the determined cost indicator is set to manual, then the cost of the returned
materials must be entered manually. it leads to inaccuracy in pricing and errors.
SPROSAP REF.IMG SALES & DISTRIBUTIONBASIC FUNTIONS
PRICING PRICING CONTROLDEFINE PRICING BY ITEM CATEGORY

Select the Item category NCRN & check the Determine cost

Then, Save it.

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Define Shipping Data for plants

OLME PURCHASE ORDER SET UP STO DEFINE SHIPPING DATA
FOR PLANTS

Shipping Data for Supplying Plant

Shipping Data for Receiving Plant

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Process
Step 1: Create Return STO – ME21N
I have taken the Same Material AB357 & Vendor 0000100403 has been created for
company code 4500 purchasing organization 4500
Here, have to Check the return option to return the Material to the Vendor.
Before creating a return STO we have to check the material stock in both Plants

Supplying Plant - 3000 - 150 units

Receiving Plant - 4510 - 50 units
Now create a Return STO

Here the Delivery Type is NCR

Standard PO created under the number 4500017430

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Check the Material Stock, it is in on-order stock with Negative sign, it indicates
return stock

Step 2: Return Delivery – VL10D

After Execute, Have to Select the checkbox and select the Background to run the
outbound process of the material

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Select the Log Details to show the documents

Outbound Delivery 80015186 is Created

Step 3: Post Goods Receipt – VL02N

Enter the Storage location & select Post Goods Receipt & Save it

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Check the Material Stock, The 50 Units of Quantity is in Stock-in-Transit now

Check Stock in Transit – MB5T

Execute it.

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Step 4: Goods Receipt – MIGO w.r.t.PO /OBD

Here Mvt Type 161 is Recorded for Return STO

Now check the Material Stock, the material send back to the Supplying Plant 3000
from the Receiving plant 4510

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Step 5: Billing – VF01

Enter

Here, The Price will flow from the purchase order. If not the SD Consultant will do
the Copy Control. So that the price will fetch from the pricing documents

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Step 6: Invoice – MIRO

In invoice Process, have to select Credit Memo instead of invoice because of
Returning the Materials to the vendor so that the vendor should pay back to us for
the returning the material

Document no. 5105608785 created

Document flow

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