In general, a customer places an order for a particular product(s). After confirming the order for availability, there are specific steps to execute the delivery process. The sub-steps of this process are picking, packing and post good issues in SAP. These steps are elaborated in this article in a simple format which is useful for end users.
We will see how to pick the goods from the warehouse, how to pack the picked goods and how to deliver the packed goods to a customer. The relevant transaction codes are listed in the article as well.
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General overview of the delivery process
Before going through the steps involved in creating picking, packing and post good issue let us discuss about picking, packing and post a good issue in SAP.
Picking
After the confirmation of order, then there is a need to pick the exact quantity of goods from stock as mentioned in the order by the customer. This material picking is done by means of transfer order in the SAP warehouse management system. This is called Picking. Picking can be done in one of the below ways.
- Picking of goods individually.
- Picking as per defined intervals.
- Automatic Picking in SAP SD module
Packing
After picking the goods from the warehouse, the picked goods should be packed in order to exchange the goods between merchant and customer. This is called Packing. Packing can be done in SAP using transaction code VL02N. Packing can be done in two ways in SAP.
- Manual Packing
- Automatic Packing
Post goods Issue
After packing the goods, the packed goods are delivered to the customer. This is called as Post Good Issue (PGI). It is the final step of shipment processing. Post-Good Issue can be done in SAP using transaction code VL02N.
In our example we are going to create picking, packing, and post a good issue for a sales order 14424 in SAP. Below are the steps we will execute for this order to create picking, packing and post good issues in SAP.
- Create outbound delivery with reference to a sales order
- Create picking request
- Creating Packing
- Execute Post Goods Issue
These steps are defined in details below.
#Step 1: Creating outbound delivery.
When the goods have to be moved from company warehouse to customer location, creation of outbound delivery is the first step.
- The outbound delivery document is generated in this step facilitates picking, packing and post good issue.
- Enter transaction code VL01N in the SD Master Data Screen.
- In the below screen enter Shipping point is nothing but a plant, selection date, and order number.
- In our example, as we are going to create delivery to an order 14424 order number is 14424, Shipping point is 1200, and selection date is 11.06.2018.
- Click on enter and then click on save
- The following message is displayed.
- In our example delivery, 80017173 has been saved.
#Step 2: Creating picking request
In some scenario, it may be mandatory to create a picking request. In other cases, you can simply edit the line item in delivery document and indicate the picking quantity.
- Enter transaction code LT03 in the SD Master Data Screen.
- Enter Warehouse number, plant, and Delivery.
- In our example warehouse number is 012, plant is 1200, and delivery is 80017173 which was generated in the above step.
- In the below screen, click on Save.
- The following message is displayed.
- In our example transfer order 0000005072 is created.
#Step 3: Execute Packing
You can use this step to pack the goods and make it ready for the carrier to execute shipment. You can use packing material for this step.
- Enter transaction code VL02N in the SD Master Data Screen.
- Enter an outbound delivery number and click on pack symbol.
- In our example, enter outbound delivery is 80017173
- In the below screen enter packaging materials and click on enter.
- Click on save.
#Step 4: Creating Post Good Issue
Post Goods Issue needs be done to create material document as well as accounting entries. It marks the step that the goods has moved out of warehouse and is now in transit. Based on the incoterms, In some cases, the ownership of the goods changes at this stage.
- Enter transaction code VL02N in the SD Master Data Screen.
- Enter outbound delivery and click on post good issue.
- In our example, outbound delivery is 80017173.
By following the above steps, you can create picking, packing, and post good issue in SAP. We sincerely hope that this was useful and any comment of feedback will be very helpful.
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