STO Return Process Overview
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Shashank Mani TripathiSTO Return Process Overview
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Shashank Mani TripathiCommon questions
Powered by AIThe 'return indicator' in the item details of a Stock Transport Order initiates the return order process. It allows the system to recognize the return order, which is marked by a negative quantity on the standard SAP list display functions and affects the Material Requirements Planning (MRP) elements by showing 'Return' with a negative quantity in MD04 for the returning plant . Additionally, it triggers another movement type (161) during the posting in the physical return process .
In the STO return process, if a batch is specified in the Stock Transport Order, it is automatically copied over during the receipt transaction. If not specified, it must be entered manually in MIGO during the physical return process and in the Return Delivery during the receipt process. This management ensures traceability and accurate stock handling .
In the return delivery process, the storage location must be entered manually. Additionally, if the batch is not maintained in the Stock Transport Return Order, it should also be entered manually during the Return Delivery. These steps ensure accurate processing and handling of returned materials .
The main difference between creating deliveries for third-party returns and STO return deliveries lies in their basis; STO return deliveries are based on purchase orders, whereas third-party returns are based on sales orders. Both types utilize the return indicator from the Purchase Order driving the creation of the return delivery, but the storage location and batch information for STO return deliveries need manual input if not specified initially .
During the physical return process, the returned quantity is deducted from the stock in the returning plant and moved to 'stock in transit cross company.' This is facilitated by using the normal purchase order receipt transaction (MIGO), where the return indicator triggers a movement type 161 .
To initiate a Stock Transport Order return process, there must be no stock left in transit, and the original Stock Transport Order must be fully received. Additionally, the delivery complete indicator must have been set .
A company might choose to scrap goods instead of returning them if the cost benefits outweigh those of the return process. The decision to handle goods as such may be influenced by logistical constraints, financial assessments, and operational efficiency considerations, as returning goods may involve additional processes and expenses that are avoidable through scrapping .
The 'Post Goods receipt' option facilitates the receiving of returned materials from stock in transit into the supplying plant. It generates an inspection lot, but this lot is not stock relevant, meaning that the stock doesn't enter quality inspection. This step is crucial to ascertain what actions to take next, such as blocking, reworking, scrapping, or reintegrating the stock into the warehouse .
The storage bin '062-RETURNS' is used at the Warehouse Management level as the issue location for returned materials. It is the designated area for storing materials destined for return, including those from both STO returns and third-party deliveries, ensuring organized stock handling and movement .
A receiving inspection lot in the STO return process is not stock relevant, meaning the stock does not go into quality inspection automatically upon receipt. This requires the receiving plant to decide on the stock's fate, such as blocking, reworking, scrapping, or putting it back into the warehouse. The inspection lot serves to initiate a quality control process while allowing flexibility in stock handling .
