Shipment Process

[vidyasagar24]

Dear SAP Gurus,

I am practicing the SAP Logistics Execution (Shipment Process). As far as I know, the following is the process for shipment management.

1) Outbound Delivery

2) Shipment Document

3) Shipment Cost Document

My questions are...

1) Why should we create shipment cost document?.

2) If company is having their own shipment team, what is the use of forwarding agent?

3) After shipping process, what is process of transportation?

We generally call as Shipping and Transporting (Logistics Execution). Then....

1) What is the standards process for transportation?

Please reply the correct process of Shipping and Transportation..

Best Regards

Vidya Sagar.

[former_member182609]

Please find my comments below .The comments I have provided only basic idea.Try in web you will get lot of information.

My questions are...

1) Why should we create shipment cost document?.

This is required to settle the Shipment expenses to the transporting Vendor.Once You need to transfer shipping cost document after shipment process.System will creates Service entry sheet once shipping cost transfer. Based on services accepted the payment can be made to Vendor.

2) If company is having their own shipment team, what is the use of forwarding agent?

It is not mandatory to use shipment process for all the implementation.Some times they use their own existing to use for  their shipping process.Also If Business has own fleet then based on routes they can use their own Forwarding  agent.

3) After shipping process, what is process of transportation?

Following steps are  involved in Transportation process- Shipment,Shipment Cost,Service entry sheet,PO and Invoice.

We generally call as Shipping and Transporting (Logistics Execution). Then....

Shipping process steps -Delivery (Outbound and Inbound ),Picking and packing

1) What is the standards process for transportation?

Shipment,Shipment Cost,Service entry sheet,PO and Invoice.

[vidyasagar24]

Dear Mr. Sridhar,

Thank you for your reply. Please answer the following question.

If company has their own forwarding agent, in such case, do we have to create the shipment cost document?

Best Regards

Vidya Sagar

[MANIS]

Even if you have your own carrier or forwarding agent you will always want to analyze your investment , expenditure and Return on Investment

[former_member182609]

If they are implemented the Transportation process.Please note that depends on Business requirement.If Business wants to track the expenses which spent on particular transport then they will create shipping cost document.So that they can show the expenditure against particular cost centre.